Despite Progress Made in Fiscal 2022, Pottstown Hospital Owner Continues Bleeding Red
Montgomery County and its nearby communities proved to be a tough environment to ailing Tower Health, as evidenced by its fiscal 2022 results. John George diagnosed the healthcare provider’s ongoing issues in the Philadelphia Business Journal.
Tower Health worked diligently to remedy several corporate problems in a fiscally responsible manner by:
- Closing Brandywine and Jennersville hospitals
- Selling Jennersville Hospital in July
- Collaborating to shore up the finances of Children’s Hospital of Philadelphia
And on one level, those measures helped in the macro sense, cutting operating costs by 20 percent.
Tower reported a net operating loss of just under $195 million for its fiscal year-end (Jun. 30). The performance represents about an 80 percent improvement from the prior year’s $243.5 million downturn.
But still, issues remain, especially locally.
In-county Pottstown Hospital, posted a $40.6 million loss, leading the way in the health provider’s financial woes. County-adjacent Chestnut Hill Hospital was also a financial drain, posting red ink of $20.6 million.
Only Reading Hospital reported a plus-side result: $196.5 million.
P. Sue Perrotty, CEO of Tower Health, accounted for the high operating costs by citing multifaceted staffing issues.
Still, she remains upbeat, saying, “We are making great progress from where we began, and we are working like crazy to make more progress.”
More on the current finances of Tower Health are at the Philadelphia Business Journal.
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