UPMC Reports Financial Results for H1 2023, Highlights Continued Investment in Patient Care Amidst Industry Challenges
While UPMC’s financial results for the first six months of 2023 reflect the ongoing challenges in the post-pandemic health care environment – including increased costs to deliver high-quality care – UPMC remains strongly positioned as one of the nation’s leading integrated health systems and the region’s most preferred provider and insurer.
UPMC Health Plan enrollment grew 11%, with expansion of behavioral health and Medicaid products into new regions of eastern Pennsylvania. Total operating income decreased compared to a year ago due primarily to increased utilization across several insurance division products as patient volumes increased. Hospital patient admissions and observations grew 2%, and outpatient activity grew 9%.
“With patient preference shifting from inpatient to outpatient care delivery closer to home, we continue to substantially invest to improve access to UPMC’s clinical excellence and community services in ambulatory settings throughout all our regions,” said Edward Karlovich, executive vice president and chief financial officer of UPMC. “UPMC’s $363 million in capital expenditures for the year’s first six months are aimed at supporting the right level of patient-centered, high-quality, cost-effective care in the right places,” Karlovich said. Capital projects include major construction and improvements at UPMC facilities in Central and North Central Pennsylvania, the new UPMC Mercy Pavilion, UPMC Presbyterian, and expansions and enhancements across the health system.
Facing the same workforce challenges as other health systems nationwide, UPMC continues as an industry leader, investing in innovative internal programs to support its employees and creative partnerships with various schools and training programs throughout Pennsylvania to teach and recruit future health care professionals.