use the financial Statements for CCHMC on Financial Statement Analysis. compute these ratios for both 2016 and 2017:
- Days cash on hand
- Days Revenue Outstanding in AR
- Current ratio
- Total margin -
- Operating margin
- EBITDA Margin
-Debt Service Coverage Ratio (using the next year's debt service)
- Reinvestment Ratio (Investment in PP&E/depreciation services)
- Long term debt to capitalization ratio
- Average Age of Plant
- Total Asset Turnover
- 
Children's Hospital Medical Center and Affiliates Consolidated Balance Sheets June 30, 2017 and 2016 (dollars in thousands) 2017 2016 $ $ CURRENT ASSETS: Cash and cash equivalents Marketable securities Cash, cash equivalents and marketable securities 143,004 847,810 990,814 148,913 724,580 873,493 Patient receivables, net of allowances of $79,162 in 2017 and $76,358 in 2016 Other receivables, net Inventories and prepaid expenses Total current assets 346,748 139,769 41,854 1,519,185 353,783 130,524 37,773 1,395,573 ASSETS LIMITED AS TO USE - Funds in trust 11,395 10,946 PROPERTY AND EQUIPMENT, net of accumulated depreciation 1,164,232 1,174,544 OTHER LONG-TERM ASSETS 58,839 58,695 2,447,554 1,377,455 INTEREST IN NET ASSETS OF SUPPORTING ORGANIZATIONS (Note 1(b)) Total assets $5,201,205 $4,017,213 $ CURRENT LIABILITIES: Accounts payable and accrued expenses Current portion of long-term debt and capital lease obligations Total current liabilities $ 253,322 36,255 289,577 244,057 34,039 278,096 ACCRUED PENSION BENEFIT LIABILITY (Note 8) 193,078 421,695 SELF-INSURANCE RESERVES 40,133 38,235 LONG-TERM DEBT: Tax-exempt bonds payable Taxable bonds payable Notes payable Capital lease obligations 321,831 396,635 72,584 4,006 343,888 297,327 59,203 6,466 OTHER LONG-TERM LIABILITIES Total liabilities 20,390 1,338,234 19,644 1,464,554 COMMITMENTS AND CONTINGENCIES (Notes 5 and 9) NET ASSETS: Unrestricted Temporarily restricted Permanently restricted (Note 1(b)) Total net assets Total liabilities and net assets See accompanying notes to consolidated financial statements. 1,271,934 1,105,023 1,486,014 3,862,971 $5,201,205 1,036,207 155,558 1,360,894 2,552,659 $4,017,213 Children's Hospital Medical Center and Affiliates Page 1 of 2 Consolidated Statements of Operations and Changes in Net Assets For the Years Ended June 30, 2017 and 2016 (dollars in thousands) 2017 2016 UNRESTRICTED REVENUES, GAINS AND OTHER SUPPORT: Net hospital patient service revenue Provision for bad debt Net hospital patient service revenue less provision for bad debts $1,602,561 (14.763) 1,587,798 $1,611,570 (13,703) 1,597,867 25,798 305.453 36,537 299,516 Capitation revenue Net professional services revenue Net assets released from restriction used for operations- Grant revenue Other restricted net assets used to support operations Investment income Other revenue Total unrestricted revenues, gains and other support 171,766 78,544 21.188 129,761 2,320,308 159,349 83,908 25.469 107,991 2,310,637 EXPENSES: Salaries Employee benefits Supplies, drugs and other Purchased services Depreciation Utilities Interest Total expenses Excess of revenues over expenses 1,093,470 297,491 353,808 219,637 127,399 20,291 27,032 2,139,128 181,180 1.080.585 270.163 359,058 219,330 124,595 18,537 24.883 2,097,151 213,486 3,357 4,150 OTHER CHANGES IN UNRESTRICTED NET ASSETS: Receipts from supporting organizations (Notes 1(b) and 1(c)) Net assets released from restrictions used for purchase of property and equipment Increase in unrestricted net assets before transfers to supporting organizations and pension and post- retirement health liability adjustment 1,118 1,066 185,655 218.702 Transfers to supporting organizations (Note 1c)) Pension and post-retirement health liability adjustment (Note 8) (68,400) 118.472 (23,250) (219,370) Increase (Decrease) in unrestricted net assets 235,727 (23,918) (Continued on next page) Children's Hospital Medical Center and Affiliates Page 2 of 2 Consolidated Statements of Operations and Changes in Net Assets For the Years Ended June 30, 2017 and 2016 (dollars in thousands) 2017 2016 TEMPORARILY RESTRICTED NET ASSETS: Contributions and investment income- Grant receipts Gifts, contributions and other income Income transfers from permanently restricted net assets 158,447 83,583 172,195 82.750 53 254.998 242,030 Net assets released from restriction- Grant expenditures Restricted net assets used to support operations Restricted net assets used for purchase of property and equipment (171,766) (78.544) (1,118) (251,428) (159,349) (83.908) (1,066) (244,323) Gain (Loss) in interest in net assets of supporting organizations (Note 1(b)) Increase (Decrease) in temporarily restricted net assets 945.895 949,465 (290) (2,583) PERMANENTLY RESTRICTED NET ASSETS: Investment income Income transfers based on donor stipulations Gifts and contributions Gain in interest in net assets of supporting organizations Increase in permanently restricted net assets (53) 916 124,204 125.120 1,804 58,006 59.810 1,310,312 33,309 INCREASE IN NET ASSETS NET ASSETS, beginning of year NET ASSETS, end of year 2,552.659 $3,862.971 2.519.350 $2.552.659 See accompanying notes to consolidated financial statements. - 5 - Children's Hospital Medical Center and Affiliates Consolidated Statements of Cash Flows For the Years Ended June 30, 2017 and 2016 (dollars in thousands) 2017 2016 $ 1,310,312 $ 33,309 CASH FLOWS FROM OPERATING ACTIVITIES: Increase in net assets Adjustments to reconcile increase in net assets to net cash provided by operating activities- Depreciation and amortization Loss on disposal of property and equipment Impairment of land Proceeds from sale of donated securities Receipts from supporting organizations Contributions to supporting organizations Contributions restricted for purchase of property and equipment Gain in interest in net assets of supporting organizations lized and realized losses (gains) on marketable securities, net Increase in allowances on receivables Increase in receivables (Increase) Decrease in inventories and prepaid expenses and other assets Increase (Decrease) in accounts payable and accrued expenses (Decrease) Increase in accrued pension liability Increase in self-insurance reserves and other long-term liabilities Net cash provided by operating activities 126,782 2,624 4,404 2,277 (3,357) 68,400 (1,118) (1,070,099) 2,446 2,804 (5,014) 125,292 3,035 3,340 1.247 (4,150) 23,250 (1,066) (57,716) (10,443) 25,898 (18,586) (4,225) 8,130 (228,617) 2,644 218,393 4,100 (34,756) 192,443 1,041 286,238 (122,980) CASH FLOWS FROM INVESTING ACTIVITIES: Expenditures for property and equipment Receipts from sale of fixed assets Purchases of marketable securities Sales and maturities of marketable securities Cash withdrawn from funds in trust Cash invested in funds in trust Net cash used in investing activities (3,023,710) 2,894,200 108,388 (108,837) (252,939) (167,761) 750 (1,891,387) 1,846,247 41,755 (42,865) (213,261) CASH FLOWS FROM FINANCING ACTIVITIES: Issuance of bonds and notes payable Repayment of bonds and notes payable Contributions restricted for purchase of property and equipment Receipts from supporting organizations Contributions to supporting organizations Net cash provided by (used in) financing activities Net (decrease) increase in cash and cash equivalents 189,733 (97,171) 1,118 3,357 (68,400) 28,637 (5,909) 96,175 (127,472) 1,066 4,150 (23,250) (49,331) 23,646 CASH AND CASH EQUIVALENTS, beginning of year 148.913 125,267 CASH AND CASH EQUIVALENTS, end of year $ 143,004 $ 148,913 SUPPLEMENTAL DISCLOSURE OF NON-CASH INVESTING ACTIVITIES: Capital expenditures in accounts payable and accrued expenses Acquisition of property through capital leases $ 12,266 $ 11,131 $ 5,472 See accompanying notes to consolidated financial statements. -6- Children's Hospital Medical Center and Affiliates Consolidated Balance Sheets June 30, 2017 and 2016 (dollars in thousands) 2017 2016 $ $ CURRENT ASSETS: Cash and cash equivalents Marketable securities Cash, cash equivalents and marketable securities 143,004 847,810 990,814 148,913 724,580 873,493 Patient receivables, net of allowances of $79,162 in 2017 and $76,358 in 2016 Other receivables, net Inventories and prepaid expenses Total current assets 346,748 139,769 41,854 1,519,185 353,783 130,524 37,773 1,395,573 ASSETS LIMITED AS TO USE - Funds in trust 11,395 10,946 PROPERTY AND EQUIPMENT, net of accumulated depreciation 1,164,232 1,174,544 OTHER LONG-TERM ASSETS 58,839 58,695 2,447,554 1,377,455 INTEREST IN NET ASSETS OF SUPPORTING ORGANIZATIONS (Note 1(b)) Total assets $5,201,205 $4,017,213 $ CURRENT LIABILITIES: Accounts payable and accrued expenses Current portion of long-term debt and capital lease obligations Total current liabilities $ 253,322 36,255 289,577 244,057 34,039 278,096 ACCRUED PENSION BENEFIT LIABILITY (Note 8) 193,078 421,695 SELF-INSURANCE RESERVES 40,133 38,235 LONG-TERM DEBT: Tax-exempt bonds payable Taxable bonds payable Notes payable Capital lease obligations 321,831 396,635 72,584 4,006 343,888 297,327 59,203 6,466 OTHER LONG-TERM LIABILITIES Total liabilities 20,390 1,338,234 19,644 1,464,554 COMMITMENTS AND CONTINGENCIES (Notes 5 and 9) NET ASSETS: Unrestricted Temporarily restricted Permanently restricted (Note 1(b)) Total net assets Total liabilities and net assets See accompanying notes to consolidated financial statements. 1,271,934 1,105,023 1,486,014 3,862,971 $5,201,205 1,036,207 155,558 1,360,894 2,552,659 $4,017,213 Children's Hospital Medical Center and Affiliates Page 1 of 2 Consolidated Statements of Operations and Changes in Net Assets For the Years Ended June 30, 2017 and 2016 (dollars in thousands) 2017 2016 UNRESTRICTED REVENUES, GAINS AND OTHER SUPPORT: Net hospital patient service revenue Provision for bad debt Net hospital patient service revenue less provision for bad debts $1,602,561 (14.763) 1,587,798 $1,611,570 (13,703) 1,597,867 25,798 305.453 36,537 299,516 Capitation revenue Net professional services revenue Net assets released from restriction used for operations- Grant revenue Other restricted net assets used to support operations Investment income Other revenue Total unrestricted revenues, gains and other support 171,766 78,544 21.188 129,761 2,320,308 159,349 83,908 25.469 107,991 2,310,637 EXPENSES: Salaries Employee benefits Supplies, drugs and other Purchased services Depreciation Utilities Interest Total expenses Excess of revenues over expenses 1,093,470 297,491 353,808 219,637 127,399 20,291 27,032 2,139,128 181,180 1.080.585 270.163 359,058 219,330 124,595 18,537 24.883 2,097,151 213,486 3,357 4,150 OTHER CHANGES IN UNRESTRICTED NET ASSETS: Receipts from supporting organizations (Notes 1(b) and 1(c)) Net assets released from restrictions used for purchase of property and equipment Increase in unrestricted net assets before transfers to supporting organizations and pension and post- retirement health liability adjustment 1,118 1,066 185,655 218.702 Transfers to supporting organizations (Note 1c)) Pension and post-retirement health liability adjustment (Note 8) (68,400) 118.472 (23,250) (219,370) Increase (Decrease) in unrestricted net assets 235,727 (23,918) (Continued on next page) Children's Hospital Medical Center and Affiliates Page 2 of 2 Consolidated Statements of Operations and Changes in Net Assets For the Years Ended June 30, 2017 and 2016 (dollars in thousands) 2017 2016 TEMPORARILY RESTRICTED NET ASSETS: Contributions and investment income- Grant receipts Gifts, contributions and other income Income transfers from permanently restricted net assets 158,447 83,583 172,195 82.750 53 254.998 242,030 Net assets released from restriction- Grant expenditures Restricted net assets used to support operations Restricted net assets used for purchase of property and equipment (171,766) (78.544) (1,118) (251,428) (159,349) (83.908) (1,066) (244,323) Gain (Loss) in interest in net assets of supporting organizations (Note 1(b)) Increase (Decrease) in temporarily restricted net assets 945.895 949,465 (290) (2,583) PERMANENTLY RESTRICTED NET ASSETS: Investment income Income transfers based on donor stipulations Gifts and contributions Gain in interest in net assets of supporting organizations Increase in permanently restricted net assets (53) 916 124,204 125.120 1,804 58,006 59.810 1,310,312 33,309 INCREASE IN NET ASSETS NET ASSETS, beginning of year NET ASSETS, end of year 2,552.659 $3,862.971 2.519.350 $2.552.659 See accompanying notes to consolidated financial statements. - 5 - Children's Hospital Medical Center and Affiliates Consolidated Statements of Cash Flows For the Years Ended June 30, 2017 and 2016 (dollars in thousands) 2017 2016 $ 1,310,312 $ 33,309 CASH FLOWS FROM OPERATING ACTIVITIES: Increase in net assets Adjustments to reconcile increase in net assets to net cash provided by operating activities- Depreciation and amortization Loss on disposal of property and equipment Impairment of land Proceeds from sale of donated securities Receipts from supporting organizations Contributions to supporting organizations Contributions restricted for purchase of property and equipment Gain in interest in net assets of supporting organizations lized and realized losses (gains) on marketable securities, net Increase in allowances on receivables Increase in receivables (Increase) Decrease in inventories and prepaid expenses and other assets Increase (Decrease) in accounts payable and accrued expenses (Decrease) Increase in accrued pension liability Increase in self-insurance reserves and other long-term liabilities Net cash provided by operating activities 126,782 2,624 4,404 2,277 (3,357) 68,400 (1,118) (1,070,099) 2,446 2,804 (5,014) 125,292 3,035 3,340 1.247 (4,150) 23,250 (1,066) (57,716) (10,443) 25,898 (18,586) (4,225) 8,130 (228,617) 2,644 218,393 4,100 (34,756) 192,443 1,041 286,238 (122,980) CASH FLOWS FROM INVESTING ACTIVITIES: Expenditures for property and equipment Receipts from sale of fixed assets Purchases of marketable securities Sales and maturities of marketable securities Cash withdrawn from funds in trust Cash invested in funds in trust Net cash used in investing activities (3,023,710) 2,894,200 108,388 (108,837) (252,939) (167,761) 750 (1,891,387) 1,846,247 41,755 (42,865) (213,261) CASH FLOWS FROM FINANCING ACTIVITIES: Issuance of bonds and notes payable Repayment of bonds and notes payable Contributions restricted for purchase of property and equipment Receipts from supporting organizations Contributions to supporting organizations Net cash provided by (used in) financing activities Net (decrease) increase in cash and cash equivalents 189,733 (97,171) 1,118 3,357 (68,400) 28,637 (5,909) 96,175 (127,472) 1,066 4,150 (23,250) (49,331) 23,646 CASH AND CASH EQUIVALENTS, beginning of year 148.913 125,267 CASH AND CASH EQUIVALENTS, end of year $ 143,004 $ 148,913 SUPPLEMENTAL DISCLOSURE OF NON-CASH INVESTING ACTIVITIES: Capital expenditures in accounts payable and accrued expenses Acquisition of property through capital leases $ 12,266 $ 11,131 $ 5,472 See accompanying notes to consolidated financial statements. -6
