During the first quarter of 2022, the increase in COVID-19 cases – the most severe since the beginning of the pandemic – led to a significant increase in the demand for care and related testing. COVID-19 expenses paid an additional $1.4 billion. Those expenses, along with the costs of providing care to our members that were put on hold earlier in the pandemic, were the primary drivers of the additional expenses. In the first quarter of 2022, Kaiser Permanente provided care for more than 688,000 patients with COVID-19, including more than 26,000 hospitalized patients, performed 2.5 million COVID-19 diagnostic tests, provided 1.3 million home COVID-19 tests, and provided 1.4 million vaccines. doses. Additionally, like the rest of the industry, Kaiser Permanente experienced significant increases in labor costs during the first quarter of 2022, compared to the same period last year and compared to the end of 2021.
“I am incredibly proud of the exceptional individuals at Kaiser Permanente, who have repeatedly come forward to provide quality care and service to our members and communities through unparalleled challenges,” said President and CEO Greg Adams. “While in the first quarter, the ongoing effects of the pandemic strained our workforce, communities, and operations, our operating model, which provides both care and coverage, has enabled us to continue to provide that care even in the face of an unprecedented increase in omicron and global labor shortages. Industry. Our core operating performance remains solid and in line with expectations.”
In the other income and expense category, quarterly losses totaled $889 million, driven largely by investment losses, compared to income of $1.0 billion in the same period in the prior year. For the quarter, there was a net loss of $961 million compared to net income of $2.0 billion in 2021.
Total capital expenditure in the first quarter was $872 million, compared to $906 million in the same period in the previous year. During the first three months of 2022, Kaiser Permanente opened a new 220,000-square-foot medical facility in Timonium, Maryland, that features 24-hour advanced urgent care and a 24-hour pharmacy, along with an ambulatory surgery center.
“While an increase in pandemic-related expenses, increased overall costs, and investment market losses took their toll on our finances this quarter, Kaiser Permanente got through this challenging time to provide quality care and continued to invest in our integrated model including ongoing capital investments to serve our best-served people. “We have taken control of discretionary spending, improved COVID-19 testing, addressed the backlog of surgeries, and managed outpatient medical expenses,” said Executive Vice President and Chief Financial Officer Cathy Lancaster. We are well positioned to continue to provide high-quality, affordable care and to remain vigilant of the resources entrusted to us in this dynamic environment.”
As of March 31, 2022, membership is 12.6 million, reflecting growth of more than 88,000 members since December 31, 2021. Medicaid enrollees represent approximately 33,000 new Kaiser Permanente members.