Northstar Healthcare, an owner and manager of ASCs, has reported its third quarter earnings, with net patient service revenue declining over the prior year third quarter, according to a company news release.
Northstar Healthcare generated net patient service revenue of $2.6 million in the third quarter of 2010 compared with $4.3 million in the prior year period. The company attributed the decline primarily to a 37.7 percent decrease in case volume and a 3.4 percent decrease in net patient service revenues per case. The decline in case volume was driven, in part, by a lack of cases by non-partner physicians at one of Northstar Healthcare's surgery centers.
The company reported a loss from operations of $0.5 million for the third quarter compared with a $3.2 million profit over the prior year third quarter.
Northstar Healthcare recently announced it was bringing Donald Kramer, MD, the founder and first CEO of the company, back on as its CEO and announced that Donna Alexander will serve as the company's chief operating officer, a position she had previously held.
"Transformation in the U.S. healthcare delivery system has accelerated with the passage of the health reform act," said Dr. Kramer in the company news release. "Consolidation is underway and Northstar is very well positioned as a potential merger partner for many physician-owned hospitals looking for alternatives to transactions with large hospitals. We will be aggressively exploring all opportunities."
Northstar currently holds interests in two ASCs in Houston — a 72.5 percent partnership interest in The Palladium for Surgery - Houston and a 60 percent partnership interest in Medical Ambulatory Surgical Suites.
Read the news release about the third quarter for Northstar Healthcare.