Tag: Profit Margins

HFMA warns affordability crisis is driving up provider bad debt

Editor's Note According to a Healthcare Financial Management Association (HFMA) analysis, the US healthcare system is in “serious condition,” with affordability collapsing and provider financial risk escalating, HealthLeaders September 19 reports. The group’s new Healthcare Vitals Tracker scored the industry just 35.9 out of 100, compared to a peak of…

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By: Tarsilla Moura
September 24, 2025
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Ascension swings to profit as outpatient push, cost cuts take hold

Editor's Note Ascension posted a $917.7 million net income for fiscal 2025 and credits ambulatory growth and tighter spending controls, Healthcare Dive September 19 reports. The nonprofit system reversed a $1.07 billion loss from the prior year and said results reflect “operational discipline,” including improved labor productivity and reduced spend…

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By: Tarsilla Moura
September 24, 2025
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CMS’s plan to phase out inpatient-only list could bolster rural ASCs

Editor's Note The proposal from the Centers for Medicare & Medicaid Services (CMS) to eliminate the Medicare Inpatient Only (IPO) list over 3 years could significantly expand opportunities for ambulatory surgery centers (ASCs), with rural facilities among those positioned to benefit most, Ambulatory Surgery Center News August 12 reports. The…

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By: Tarsilla Moura
August 26, 2025
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Leveraging technology to streamline ASC operations, optimize patient care

As we celebrate National ASC Month, it is worth recognizing how central ambulatory surgery centers (ASCs) have become to modern healthcare. Today, there are more than 12,000 ASCs across the US, including over 6,500 Medicare-certified facilities operating some 18,800 surgical suites. With over 80% of all surgical procedures being performed…

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By: Emily Spooner
August 19, 2025
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Hospital margins improve as outpatient revenue accelerates, but costs loom

Editor's Note Hospital operating margins rose in June as outpatient revenue growth fueled stronger financial performance, though rising bad debt and non-labor expenses continue to pressure stability, according to Kaufman Hall’s latest National Hospital Flash Report. HealthLeaders August 18 covered the findings. As detailed in the article, the median year-to-date…

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By: Tarsilla Moura
August 18, 2025
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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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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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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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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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Bad debt climbs as patient defaults, denials impact hospital revenue growth

Editor's Note Bad debt—payments hospitals expected to collect but ultimately had to write off—is increasing across hospitals as patients struggle to pay their share of healthcare costs and insurers raise the rate of claim denials, Modern Healthcare reported June 19. Citing a Kaufman Hall analysis of data from about 700…

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By: Matt Danford
June 23, 2025
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