JPM Healthcare conference (#JPMHC21) day one is in the books. If there was one theme from provider presenters it was __________. Answer below. What are your thoughts?
I listened to 11 providers present to bondholders and institutional investors on their journey through COVID, their financial outlook, and plans moving forward.
COVID hit the financials of every healthcare organization. The CARES act funding was extremely helpful to fill the three-month hole in most of their financials.
Some weathered the storm just fine. What was the difference between health systems that showed financial strength even in the face of the pandemic? One word. Diversification. All systems talked about diversification, but the financials of 2020 will reveal each health system's progress on their business and revenue diversification journey.
Simple conclusion. 2021 - 2025 will be loaded with revenue/business diversification efforts from health systems.