Hospital BI
Hospital financial BI: revenue, margin, cash and result
The hospital's financial view in one place: where revenue comes from, what is left after variable costs, how cash is doing and where results drift from plan.
Hospital financial BI answers the questions the CFO and the board ask every month: how much the hospital billed, how much was left after costs that vary with patient care, whether results are within budget and whether cash can withstand payers' payment terms. What sets it apart from an ordinary financial report is the link between those answers: revenue on the dashboard is the same as in the income statement, and a payer's margin can be opened down to the patient account.
The four questions of financial BI
1. Where revenue comes from
Hospital revenue splits by payer (SUS, the Brazilian public health system; private health plans; self-pay), by area (inpatient, emergency, surgical center, diagnostics) and by type of account item (daily rates, fees, supplies, drugs, physician fees). BI needs to show these three views and the variance against the previous period, so that "why did revenue fall?" can be answered in minutes.
2. What is left after variable costs
Contribution margin is revenue minus the costs and deductions that vary with patient care: denials, supplies and drugs, physician fees passed through. It shows whether a payer, specialty or procedure helps cover the hospital's fixed structure. The calculation by payer is detailed in the article on contribution margin by payer.
3. Whether results are within plan
The budget vs. actual income statement shows, line by line, where results drift from the budget, and the variance by cost center points to who is responsible. This is the territory of hospital controllership.
4. Whether cash keeps up with results
A hospital can post a positive result and still have tight cash, because payers pay on terms and part of each account is denied. That is why financial BI tracks the average collection period, the average payment period, receivables by due date and open or denied receivables.
Essential financial KPIs
| KPI | What it shows |
|---|---|
| Gross and net revenue | Billing and what remains after deductions (denials, revenue taxes) |
| Contribution margin (amount and %) | What each payer, specialty or procedure leaves to cover fixed cost |
| EBITDA | Operating result before interest, income taxes, depreciation and amortization |
| Net result | What remains for the period after everything |
| Denial rate | The share of billing rejected by payers |
| Average collection period | How many days, on average, the hospital waits to be paid |
| Default rate | Overdue unpaid balance relative to billing |
| Variance against budget | Where actual drifts from plan |
Definitions and formulas are in the glossary.
How Clic Health handles finance
In Clic Health, the financial view is spread across linked dashboards:
- ADM and Board Command Centers: revenue, margin, EBITDA, result, denial rate, unbilled accounts and average collection period, with the variance against last year.
- Patient Account, Payers and Specialty: margin by encounter, by payer and by specialty.
- Budget vs. actual income statement, budget variance and management income statement: results against plan.
- Collections, Payments and Receivables table: periods and balances.
- Fully open accounts and Write-offs: open or denied receivables and accounts billed as losses.
For hospitals running Tasy, the detail by module is in Tasy financial KPIs.