We’re going to be hearing a lot of teeth gnashing and seeing a lot of hand wringing from the dialysis providers about a move within the US Congress to bind Medicare’s dialysis services payment in a single fee for service. This proposal would eliminate the erythropoiesis stimulating agent (ESA) over-prescription rate virtually overnight. The providers are going to wine about how hard it is to turn a profit under Medicare’s system (dialysis patients automatically qualify for Medicare regardless of age; most, but not all, take advantage of the government’s single-payer coverage).
DaVita Inc., the largest provider of dialysis services in the US, reports that its second-quarter profit has nearly doubled. According to an Associated Press account, the company’s net income grew to US$125 million, or US$1.17 per share, up from US$63.2 million, or US$0.60 per share, a year ago. Excluding sales of securities and a product supply agreement gain, profits were US$88.7 million, or US$0.83 per share.
I’d say that’s sufficient profit under the Medicare system.
0 responses. Comments closed for this article.