dealflow
envelope $200M

← Targets

Mercy Gilbert Medical Center

Gilbert, Maricopa County, AZ · CCN 030119
Licensed to Dignity Health

Composite
33.5
rank score
Distress
10
FY2024
Fit
72
vs thesis
Estimated ticket
$19.7M–$39.4M
197 beds · within envelope
Ownership
nonprofit
STH

Why it ranks here

  • 90-150 days cash on hand
  • margin deteriorating
  • rural — cheaper but limited density
  • bed count in the target band
  • small ticket — deploys little of the available capital
  • strong occupancy — good iteration surface
  • nonprofit — expect AG conversion review

Latest financials · FY2024

Net patient revenue$397M
Operating margin 3.9%
Total margin 5.9%
Days cash on hand 136
Current ratio 3.47
Occupancy99%

Facility

Beds197
Facility typeSTH
Settingrural
Ownership classnonprofit
Per-bed (low) $100K
Per-bed (high) $200K

Financial history

FYBedsNet patient rev Net incomeOp margin Total marginDays cash Current ratioOccupancy DischargesDistress
2021 197 $323M $28.3M 5.5% 8.5% 68 1.75 86% 14,761 10
2022 197 $370M $30.5M 5.5% 8.0% 8 1.55 100% 16,822 22
2023 197 $382M $33.1M 6.3% 8.5% 134 3.12 100% 17,206 4
2024 197 $397M $23.9M 3.9% 5.9% 136 3.47 99% 19,567 10

Owners

OwnerRole%SinceType
Commonspirit Health
Chicago, IL
5% or greater indirect ownership interest 100 2019-02
Dignity Health
San Francisco, CA
5% or greater direct ownership interest 100 2006-06
Dignity Health
San Francisco, CA
operational/managerial control 100 2019-02
Daniel Morissette corporate officer 2019-02
Daniel Morissette other 2023-09
Eric Sorensen w-2 managing employee 2019-02
Eric Sorensen operational/managerial control 2019-02
John Petersdorf corporate officer 2022-11
John Petersdorf w-2 managing employee 2019-02
Mitch Melfi corporate officer 2021-01
Mitch Melfi corporate director 2021-01
Scott Carswell corporate director 2021-01
Steven Scharmann corporate officer 2022-11
Steven Scharmann w-2 managing employee 2019-02

Ownership changes

No CMS ownership change on record since 2016 — this hospital has not traded in at least a decade.

Who has been buying in AZ

Completed CMS ownership changes in this state. These buyers already cleared the licensure process here — and whoever advised them knows this market.

DateBuyerSellerHospitalBeds
2024-10-03 Honorhealth St Lukes Medical Center Lp Tempe St. Lukes Hospital 74
2024-10-03 Honorhealth Mountain Vista Medical Center Lp Mountain Vista Medical Center 138
2019-02-01 Dignity Community Care Dignity Health Chandler Regional Medical Center 429