Tag: Finance

Hospital margins stable despite rising drug, supply costs

Editor's Note US hospitals and physician practices demonstrate steady financial performance through the second quarter of 2025, with health system operating margins holding at a median 1.2% year-to-date, according to new data from Strata Decision Technology analyzing more than 1,850 hospitals and 152,000 physicians. DotMed reported the news August 4,…

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By: Matt Danford
August 11, 2025
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Providers call for deeper reform despite CMS proposing payment hikes in 2026

Editor's Note CMS is boosting 2026 Medicare outpatient payments by 2.4%, but provider groups warn the increase barely scratches the surface of mounting financial strain. Alongside the payment bump, the agency is proposing a two-track physician reimbursement model that ties rates to value-based care participation. While some see these moves…

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By: Tarsilla Moura
July 23, 2025
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Rehab hospitals face scrutiny over safety, profits

Editor's Note Although for-profit rehab hospitals have become highly profitable, a recent KFF Health News report highlights serious safety violations, including patient deaths due to carbon monoxide poisoning, medication errors, and falls.  Published July 15, the article delves into recent data and inspections of these facilities, particularly those run by…

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By: Matt Danford
July 17, 2025
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Five underreported health changes in 'big beautiful bill'

Editor's Note Although the newly enacted One Big Beautiful Bill Act is best known for major Medicaid cuts and a temporary Medicare Physician Fee Schedule increase, it also carries significant policy changes that could affect providers, patients, and the physician workforce, MedPage Today reported July 11. The article lists five…

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By: Matt Danford
July 16, 2025
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Hospital M&A climbs as rural, outpatient shifts reshape care strategies

Editor's Note Hospital mergers and acquisitions saw a slight increase in Q2 2025, but broader shifts in healthcare affiliations and delivery models continue to gather momentum, according to a July 10 Kaufman Hall analysis of M&A activity for the second quarter of 2025. The report recorded eight hospital and health…

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By: Matt Danford
July 15, 2025
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Children’s hospitals warn of care limits as Medicaid changes take hold

Editor's Note Children’s hospitals are warning that newly enacted federal healthcare cuts will force them to scale back essential services and programs, jeopardizing care for the very populations Medicaid was designed to protect. The law, signed by former President Donald Trump and detailed in a July 9 article in Modern…

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By: Matt Danford
July 14, 2025
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Inflation pushes health systems toward financial austerity

Editor's Note US hospitals and health systems are facing growing financial pressure as inflation drives costs faster than reimbursement can keep up, according to a July 10 article in Health Affairs.   Although growing steadily, healthcare spending has been largely stable when measured as a percentage of gross domestic product…

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By: Matt Danford
July 11, 2025
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Medicare faces automatic cuts as GOP tax law triggers PAYGO penalties

Editor's Note President Donald Trump’s “One Big Beautiful Bill” could trigger more than $500 billion in Medicare cuts over the next decade unless Congress waives automatic spending rules, according to a July 9 article in Modern Healthcare. As detailed in the article, the legislation’s projected $3.4 trillion increase to the…

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By: Matt Danford
July 10, 2025
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Health systems slash jobs amid mounting financial pressures

Editor's Note A recent report in Becker’s Hospital Review outlines six recent examples of hospitals and health systems laying off workers in response to deepening financial strain. In a separate report, the outlet listed 11 hospitals and health systems that received credit rating downgrades from Fitch Ratings or Moody’s Investors…

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By: Matt Danford
July 1, 2025
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Healthcare finance leaders shift focus to external threats amid regulatory, economic uncertainty

Editor's Note A new Deloitte report shows healthcare finance leaders are increasingly focused on external business pressures, especially federal policy changes, tariffs, and economic volatility, Chief Healthcare Executive reported June 24. In contrast to prior surveys, where workforce and internal operations were top concerns, 84% of leaders now cite external…

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By: Matt Danford
June 26, 2025
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