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,…
For-profit health systems ramp up ASC expansion to offset tax law cuts
Editor's Note Major for-profit health systems are accelerating investments in ambulatory surgery centers (ASCs) as they brace for long-term revenue reductions under the federal “One Big Beautiful Bill” tax law. Systems including HCA Healthcare, Tenet Healthcare, Community Health Systems (CHS), and Universal Health Services (UHS) outlined aggressive ASC growth strategies…
Anesthesia costs squeeze ASCs as staffing shortages, reimbursement gaps widen
Editor's Note Ambulatory surgery centers (ASCs) continue to face a mounting anesthesia crisis: costs are rising, staffing is tightening, and reimbursement is failing to keep pace. Anesthesia payments have dropped 8.2% over the past decade, while provider salaries have risen by as much as 40%, creating a growing financial burden…
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…
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…
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…
Health systems retreat from partnerships to control costs, refocus on core care
Editor's Note Some health systems are cutting ties with long-standing partners to conserve resources, brace for financial uncertainty, and prioritize core clinical services, Modern Healthcare June 26 reports. With looming federal reimbursement cuts and increasing economic pressures, providers are reassessing the value and sustainability of affiliations formed during more stable…
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…
ASCs deliver lower costs but face uphill payment, regulatory challenges
Editor's Note Ambulatory surgery centers (ASCs) continue to offer significant cost savings over hospital outpatient departments (HOPDs), but payment inequities, regulatory constraints, and growing competitive pressures are straining operations and growth prospects. Recent data show wide cost differentials between settings, Becker’s ASC Review June 20 reports. A Blue Health Intelligence…
DOJ task force, insurers target ASC barriers with parallel reforms
Editor's Note Federal regulators and major insurers are independently moving to ease long-standing burdens on ambulatory surgery centers (ASCs), potentially reshaping the regulatory and administrative landscape in which perioperative leaders operate. According to Ambulatory Surgery Center News June 23, ASC stakeholders are actively engaging with the new Anticompetitive Regulations Task…
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