Transaction Accounting Issues for Not-For-Profit Hospitals

Breakdown of Public Hospital Assets

Public Hospital Assets

 Presented is the asset breakdown of publicly traded hospitals.  Fixed assets and goodwill are generally the largest components of a hospitals assets.  The increase in transactions in the industry has driven goodwill to comprise a significant portion of the balance sheet.

100.0%

80.0%

60.0%

40.0%

20.0%

0.0%

Current Assets

Fixed Assets

Goodwill

Intangible Assets, net

Other Assets

Asset Allocation of Public Hospitals

CYH

HCA

HMA

LPNT

THC

UHS

SSY

Median Average

Current Assets Fixed Assets

20.9% 39.2% 0.6% 31.1% 8.3% 100.0%

29.4% 46.0%

69.6% 19.8% 5.8% 0.2% 4.7% 100.0%

25.6% 41.4% 1.3% 30.4% 1.3% 100.0%

24.1% 46.9% 7.5% 18.6% 2.9% 100.0%

17.9% 41.1% 1.1% 36.1% 3.7% 100.0%

42.1% 25.6% 32.8% 43.9% 41.4% 39.7% 4.6% 3.0% 3.5% 0.7% 19.8% 19.6% 8.7% 4.7% 4.9%

Intangible Assets, net

n/a

Goodwill

19.8% 4.8% 100.0%

Other Assets Total Assets

100.0%

Source: Capital IQ

The Impact of the Affordable Care Act and Transaction Accounting Issues for Not-For-Profit Hospitals

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