The financial health of Lawrence Memorial Hospital is expected to remain strong in 2005.

Members of the hospital’s board of trustees on Wednesday approved a 2005 budget that projects a nearly 8 percent increase in revenues. Hospital officials are projecting 2005 revenue of $115.6 million, up from an anticipated $107.4 million it will receive in 2004.

Expenses are expected to grow by about 9 percent, but the nonprofit hospital is expected to end 2005 with revenues that are $5.9 million greater than expenses. That would be slightly less than $6.8 million profit the hospital expects to generate this year.

Gene Meyer, president and chief executive of the hospital, said he still considered the projected 2005 profit to be healthy.

“I’m not concerned about a little drop because 2004 was really an exceptional year,” Meyer said.

The hospital is projecting its largest amount of growth to come from an increase in the number of outpatient procedures it performs. The budget calls for a 13 percent increase, or $18 million, in outpatient revenue. The hospital during the past several years has sought to increase outpatient revenue by adding new services, such as radiation therapy for oncology patients, a wound healing center and a sleep center.

The 2005 budget calls for the hospital to purchase several new pieces of equipment that also are expected to boost revenues and patient care. Planned purchases include a $1.6 million magnetic resonance imaging unit to replace an older MRI unit.

Meyer said the purchase would allow the hospital to improve its diagnostic imaging equipment to a level that is as good or better than hospitals in the Kansas City and Topeka areas.

Hospital board members unanimously approved the budget.