Tag: Profitability

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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Healthcare leaders project revenue gains from value-based care despite persistent hurdles

Editor's Note Nearly two-thirds of healthcare organizations expect increased revenue from value-based care (VBC) arrangements in 2024, signaling growing confidence in the model despite concerns over financial risk and infrastructure gaps, according to a May 19 report in Healthcare Finance. The findings are based on a nationwide survey of 168…

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By: Matt Danford
May 23, 2025
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Scrubs to startups: Nurse entrepreneur turns Navy-taught leadership into consulting mastery

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The kind of Navy-taught leadership Brian Dawson, MSN, RN-BC, CNOR, CSSM, taps into is straightforward. “If you’re going to lead 3,500 people to move to the left when you need them to, you better know how to get them to see your goals as their goals,” he says during a…

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By: Tarsilla Moura
May 21, 2025
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Low-income patients billed despite hospital tax breaks

Editor's Note Nonprofit hospitals, which are legally required to provide free or discounted care to qualifying patients, attempt to collect hundreds of millions of dollars from low-income patients annually while receiving significant tax breaks meant to ensure affordable care, according to a May 12 article from CBS News.   As…

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By: Matt Danford
May 13, 2025
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ASCA 2025: How accounting becomes an ASC revenue generator

Editor's Note Terry A. Bohlke, MSHA, CPA, CMA, CASC, emphasized that Rocky Mountain High Surgery Center is a pseudonym “to protect the innocent,” but the numbers he presented at the 2025 Ambulatory Surgery Center Association (ASCA) Conference & Expo in Denver last week were real enough. Based on actual scenarios…

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By: Matt Danford
May 6, 2025
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Health system mega-mergers fall short amid cost, quality concerns

Editor's Note Chasing size through mega-mergers no longer guarantees sustainability for health systems, according to an April 15 article in HealthLeaders. Many of the nation’s largest systems are reporting significant losses, while emerging evidence links consolidation to stagnant or declining care quality and worsening workforce challenges. The article highlights financial…

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By: Matt Danford
April 15, 2025
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