US Healthcare providers seem to be doing fine under the new healthcare law
According to the recently released Quarterly Estimates for Selected Service Industries (which includes healthcare services) report by US Census Bureau, the estimate of US selected services total revenue for the 4th quarter of 2015* increased by 1.5% when compared with third quarter of 2015 and by 2.1% when compared with the fourth quarter of 2014.
Overall Hospital Revenue Growth
The overall hospital revenues increased by a healthy 6.2% year over year (2015 over 2014). The growth in fourth quarter is 1.9% compared to the third quarter of 2015, and 2.9% compared to the same quarter in 2014.
Ambulatory Services Revenue Growth
The ambulatory healthcare services grew by 1.7% in the fourth quarter of 2015 compared to the third quarter of 2015. But the growth is a substantially higher at 5% compared to the same quarter of last year. The year on year growth is still a healthy 6%.
Physician Offices Revenue Growth
Physician offices revenue increased by 2.2% compared to the third quarter and by 4.2% compared to the same quarter last year. The year on year growth is at 5.6%.
Outpatient Care Services Revenue Growth
The outpatient care centers’ revenues grew at a healthy pace of 8.3% year over year. The quarter on quarter growth is estimated at 3.4% for the fourth quarter and compared to the same quarter last year the growth is at 6.2%
Psychiatric Health Services Revenue Growth
The star performers in the healthcare sector during the fourth quarter of 2015 seem to be those psychiatric health facilities. Their revenues grew at 8.2% compared to the third quarter of 2015 the year on year growth is at 4%. The interesting point to note here is that the taxable psychiatric care facilities grew year on year at 11.7% compared to tax exempt providers who only grew at 1.5%!!
In general, all settings of care in the healthcare industry seem to be doing fine under the new healthcare law.
*(not adjusted for seasonal variation or price changes)