Navigate Up

UPMC/University of Pittsburgh Schools of the Health Sciences
​​​​​​​

For Journalists

Vice President & Chief Communications Officer, Public Relations
Telephone: 412-647-6647
Senior Director
Telephone: 412-586-9771

Additional Resources

UPMC Quarterly Disclosure (PDF) for the period ended
December 31, 2017

Calendar Year 2017 financial results support slides (PDF)​​​

​UPMC’s Strong Financial Results Reflect Demand for UPMC’s Clinical Care Along with Growth in UPMC Insurance Membership

UPMC Calendar Year 2017 Results:

  • Operating revenues grew to $16 billion.
  • Net income reached $1.3 billion.
  • UPMC Insurance Services Division, the largest medical insurer in western Pennsylvania, grew to 3.4 million members.
  • UPMC continues to advance patient care with capital expenditures and business investments totaling $736 million.
  • $7.5 billion cash and investments provides for long-term sustainability.

PITTSBURGH, March 1, 2018 — UPMC’s strong financial results for Calendar Year 2017 reflect the increasing demand for UPMC services along with the growth of UPMC insurance membership.

For the 12 months ended Dec. 31, 2017, UPMC’s operating revenues increased to $16 billion. Net income reached $1.3 billion, driven by strong operating and investing results, and augmented by the affiliation with UPMC Pinnacle, reflecting Pinnacle’s strong financial position being consolidated into UPMC operations.

Operating income, which is reinvested in programs that support UPMC’s mission of advancing patient care, was $245 million. UPMC’s Insurance Services Division—the largest medical insurer in western Pennsylvania—grew 8 percent to 3.4 million subscribers. UPMC’s admissions and observations increased 14 percent compared to a year ago.

UPMC’s earnings before interest, depreciation and amortization (EBIDA)—a key measure of financial performance and the ability to generate the necessary resources for reinvestment—were $789 million.

UPMC spent $736 million on capital expenditures and business investments during the calendar year as it continues to make significant advancements in facilities, equipment, technology, education and operational strategies to enhance patient care. In November 2017, UPMC announced that it will invest $2 billion to create three new specialty hospitals for cancer, heart and vascular, and vision and rehabilitation.

“UPMC’s financial strength supports our preferred provider status in this region and enables us to continue investing back into the organization to meet the increasing demand for UPMC’s advanced care,” added Robert A. DeMichiei, UPMC executive vice president and chief financial officer. “Meanwhile, UPMC’s continued growth and emergence as the largest medical insurer in western Pennsylvania is extraordinary. Our successful provider-led IDFS (integrated delivery and finance system) model has resulted in this region’s clear shift from one the nation’s least competitive insurance markets to one of the most competitive, low-cost, pro-consumer markets,” added DeMichiei.

“We are increasingly seeing people choose their insurance specifically so they can have affordable access to UPMC’s physicians, facilities and services,” said Diane P. Holder, UPMC executive vice president and president, UPMC Insurance Services Division. “People’s choice of providers often drives their choice of insurers as long as the insurer is focused on customer service and is cost-competitive. This has been the key to UPMC’s growth and success, benefitting the region’s consumers and employers.”

The largest non-governmental employer in Pennsylvania, UPMC supports nearly one in four hospital jobs in the Commonwealth. UPMC maintains its assurance that the retirement plans of its 80,000 employees system-wide are fully funded with a $118 million contribution during the calendar year to its pension plans.

About UPMC

A $16 billion world-renowned health care provider and insurer, Pittsburgh-based UPMC is inventing new models of patient-centered, cost-effective, accountable care. UPMC provides more than $900 million a year in benefits to its communities, including more care to the region’s most vulnerable citizens than any other health care institution. The largest nongovernmental employer in Pennsylvania, UPMC integrates 80,000 employees, more than 30 hospitals, 600 doctors’ offices and outpatient sites, and a 3.4 million-member Insurance Services Division, the largest medical insurer in western Pennsylvania. As UPMC works in close collaboration with the University of Pittsburgh Schools of the Health Sciences, U.S. News & World Report consistently ranks UPMC Presbyterian Shadyside on its annual Honor Roll of America’s Best Hospitals. UPMC Enterprises functions as the innovation and commercialization arm of UPMC, and UPMC International provides hands-on health care and management services with partners on four continents. For more information, go to UPMC.com.​​​

UPMC | Affiliated with the University of Pittsburgh Schools of the Health Sciences Supplemental content provided by Healthwise, Incorporated. To learn more, visit www.healthwise.org

For help in finding a doctor or health service that suits your needs, call the UPMC Referral Service at 412-647-UPMC (8762) or 1-800-533-UPMC (8762). Select option 1.

UPMC is an equal opportunity employer. UPMC policy prohibits discrimination or harassment on the basis of race, color, religion, ancestry, national origin, age, sex, genetics, sexual orientation, gender identity, marital status, familial status, disability, veteran status, or any other legally protected group status. Further, UPMC will continue to support and promote equal employment opportunity, human dignity, and racial, ethnic, and cultural diversity. This policy applies to admissions, employment, and access to and treatment in UPMC programs and activities. This commitment is made by UPMC in accordance with federal, state, and/or local laws and regulations.

Medical information made available on UPMC.com is not intended to be used as a substitute for professional medical advice, diagnosis, or treatment. You should not rely entirely on this information for your health care needs. Ask your own doctor or health care provider any specific medical questions that you have. Further, UPMC.com is not a tool to be used in the case of an emergency. If an emergency arises, you should seek appropriate emergency medical services.

UPMC
Pittsburgh, PA, USA | UPMC.com