Mercy Specialty Hospital - Southeast
dba Mercy Specialty Hospital Southeast Kansas ·
Galena, Cherokee County, KS
· CCN 170203
Licensed to Mercy Specialty Hospital Southeast Kansas
Composite
45.5
rank score
Distress
56
FY2024
Fit
46
vs thesis
Estimated ticket
$2.2M–$4.4M
26 beds ·
within envelope
Ownership
nonprofit
STH
Why it ranks here
- operating margin under 2%
- under 30 days cash on hand
- current ratio below 0.8
- occupancy below 30%
- margin deteriorating sharply
- part of a multi-hospital chain — divestiture candidate
- rural — cheaper but limited density
- small but workable bed count
- very small ticket — sub-scale as a platform asset
- very low occupancy — limited volume to learn from
- nonprofit — expect AG conversion review
Latest financials · FY2024
| Net patient revenue | $39.5M |
| Operating margin | 1.7% |
| Total margin | 2.3% |
| Days cash on hand | 10 |
| Current ratio | -2,378.23 |
| Occupancy | 7% |
Facility
| Beds | 26 |
| Facility type | STH |
| Setting | rural |
| Ownership class | nonprofit |
| Per-bed (low) | $85.0K |
| Per-bed (high) | $170K |
Financial history
| FY | Beds | Net patient rev | Net income | Op margin | Total margin | Days cash | Current ratio | Occupancy | Discharges | Distress |
|---|---|---|---|---|---|---|---|---|---|---|
| 2020 | 36 | $11.7M | $1.6M | 11.7% | 13.2% | 120 | 1.41 | 13% | 356 | 17 |
| 2021 | 36 | $36.4M | $3.0M | 6.9% | 8.0% | 31 | 58.15 | 12% | 666 | 26 |
| 2022 | 36 | $38.1M | $5.3M | 9.8% | 13.5% | 11 | 25.25 | 7% | 386 | 31 |
| 2023 | 26 | $39.2M | $490K | -0.5% | 1.2% | 10 | -81.60 | 8% | 349 | 63 |
| 2024 | 26 | $39.5M | $931K | 1.7% | 2.3% | 10 | -2,378.23 | 7% | 305 | 56 |
Owners
| Owner | Role | % | Since | Type |
|---|---|---|---|---|
| Mercy Health | 5% or greater indirect ownership interest | 100 | 2020-01 | |
| Mercy Health Southwest Missouri Kansas Communities | 5% or greater direct ownership interest | 100 | 2020-01 | chain |
| David Argueta | corporate director | 2026-01 | ||
| Denise Scoffic | corporate officer | 2026-01 | ||
| Dominic Meldi | corporate director | 2026-01 | ||
| Doug Fast | corporate officer | 2026-02 | ||
| Doug Fast | w-2 managing employee | 2026-02 | ||
| Jennifer Brown | corporate officer | 2026-01 | ||
| Jennifer Cohen | w-2 managing employee | 2025-05 | ||
| Jeremy Drinkwitz | corporate officer | 2020-01 | ||
| Jeremy Drinkwitz | corporate director | 2020-01 | ||
| Jeremy Drinkwitz | w-2 managing employee | 2020-01 | ||
| John Mohart | corporate director | 2026-01 | ||
| Patricia Gelbach | corporate director | 2026-01 |
Ownership changes
| Date | Type | Buyer | Seller |
|---|---|---|---|
| 2020-01-26 | change of ownership | Mercy Specialty Hospital... | City Of Galena-Kansas |
Who has been buying in KS
Completed CMS ownership changes in this state. These buyers already cleared the licensure process here — and whoever advised them knows this market.
| Date | Buyer | Seller | Hospital | Beds |
|---|---|---|---|---|
| 2024-09-01 | Mercy Hospital Pittsburg Inc | Ascension Via Christi Hospital... | Via Christi Hospital Pittsburg Inc. | 64 |
| 2023-08-26 | South Central Kansas Regional... | South Central Kansas Regional... | South Central Ks Regional Medical Ct | — |
| 2023-01-01 | Stormont Vail Health Flint Hills Llc | Geary County Hospital | Stormont Vail - Flint Hills | 43 |
| 2022-05-01 | Commonspirit Kansas Inc | Dodge City Healthcare Group Llc | St. Catherine Hospital - Dodge City | 99 |
| 2020-01-26 | Mercy Specialty Hospital Southeast Kansas | City Of Galena-Kansas | Mercy Specialty Hospital - Southeast | 26 |
| 2019-05-01 | Adventhealth Ransom Memorial Inc | Ransom Memorial Hospital | Adventhealth Ottawa | 36 |
| 2018-08-01 | Ukhs Great Bend Llc | Great Bend Regional Hospital Llc | Ukhs Great Bend Campus | 29 |