Operational Efficiency and Liquidity Within Hurricane Prone Hospitals in the United States: A Regional Study

Natural disasters, in particular hurricanes, are linked to hospitals' financial performance, how various parameters affect hospitals' financial metrics, and financial indicators that are extremely relevant in establishing hospitals' sustainability in any eventual emergency (Mah & Andrew, 2022; Schick et al., 2025). Most notably, hurricanes have led to the shutting down of hospitals in rural settings because rural health systems, especially hospitals, have unique issues when they face disasters (Traynor, 2020; Desai et al., 2019). Days Cash on Hand is a key financial indicator used to mark a hospital's capability to recover from a financial crunch, such as a calamity. Data were obtained from the 2023 American Hospital Association (AHA) Annual Survey. The Bonferroni multiple comparisons test reveals that government-owned hospitals keep 101.75 days' worth of cash on hand, whereas private hospitals keep 40.75 days' worth of cash on hand. This results in government hospitals holding 61 more days of cash on hand than their private counterparts.

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Publication Details

Journal
International Journal of Financial Research
Published
2026-01-22
DOI
https://doi.org/10.5430/ijfr.v17n1p27
Primary Topic
Disaster Response and Management
Type
article
Field-Weighted Citation Impact
0.00

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article

Operational Efficiency and Liquidity Within Hurricane Prone Hospitals in the United States: A Regional Study

George Raul Audi, Rima Tawk, Hanadi Hamadi, Margaret Capen
International Journal of Financial Research
Disaster Response and Management
article

Operational Efficiency and Liquidity Within Hurricane Prone Hospitals in the United States: A Regional Study

George Raul Audi, Rima Tawk, Hanadi Hamadi, Margaret Capen
article en

Abstract

Natural disasters, in particular hurricanes, are linked to hospitals' financial performance, how various parameters affect hospitals' financial metrics, and financial indicators that are extremely relevant in establishing hospitals' sustainability in any eventual emergency (Mah & Andrew, 2022; Schick et al., 2025). Most notably, hurricanes have led to the shutting down of hospitals in rural settings because rural health systems, especially hospitals, have unique issues when they face disasters (Traynor, 2020; Desai et al., 2019). Days Cash on Hand is a key financial indicator used to mark a hospital's capability to recover from a financial crunch, such as a calamity. Data were obtained from the 2023 American Hospital Association (AHA) Annual Survey. The Bonferroni multiple comparisons test reveals that government-owned hospitals keep 101.75 days' worth of cash on hand, whereas private hospitals keep 40.75 days' worth of cash on hand. This results in government hospitals holding 61 more days of cash on hand than their private counterparts.

International Journal of Financial ResearchVol. 17(1)
University of North Florida (US), East Carolina University (US), American Association of Colleges of Pharmacy (US), University of Health and Allied Sciences (GH), Florida Agricultural and Mechanical University (US)
National Institutes of Health, National Institute on Minority Health and Health Disparities
Climate action
Openalex Percentile: Top 82%
Disaster Response and Management
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