Milwaukee-based Froedtert Health reported a small decrease in its operating margin in fiscal 2014 as rising expenses overshadowed a 10.4% increase in revenue.
Like many of its peers, Froedtert booked higher costs from employee compensation, supplies and contract services. It finished the year with an operating margin of 5% (PDF) compared with 5.6% in fiscal 2013.
However, nonoperating income from investments ultimately provided a boost to the bottom line. For the full fiscal year, Froedtert reported a total surplus of $210.3 million on revenue of nearly $1.7 billion compared with last year's surplus of $179.3 million on revenue of $1.5 billion.