Chattanooga Times Free Press file photo of Erlanger at Hutcheson building.

For the first time in more than three years, Erlanger at Hutcheson made a profit in July, but reported consolidated losses due to expenses at its clinics.

July's financial report shows a significant improvement for the hospital, administrators said at a Monday finance meeting.

The hospital lost nearly $10 million in the first nine months of the fiscal year and even more the previous year. In May 2011, Erlanger Health System took over management of the hospital and extended a $20 million line of credit.

The July financial report showed increases in patients served, births, surgeries and outpatient visits compared to the same time last year.

The losses at physician clinics were due to start-up expenses that had not been budgeted, as the hospital adds more clinics, executives said.

"We expect to see hospital revenues stabilize as a result of these additional services and are very pleased with our progress so far," Hutcheson CEO Roger Forgey said in a news release.