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…
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,…
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…
Global growth stalls as tariffs, debt, policy shifts throttle recovery, World Bank warns
Editor's Note The global economy is losing steam, with the World Bank forecasting the weakest growth in a non-recession year since 2008—citing protectionist trade policies, stubborn debt, and rising interest rates as key drivers of the downturn. According to the Axios June 9 article, the World Bank’s latest economic outlook…
Healthcare employment up in April, but overall job market raises concerns
Editor's Note Healthcare employment in the US rose by 177,000 from April to May, the May 2 announcement from the Bureau of Labor Statistics (BLS) reports. The unemployment rate, meanwhile, is unchanged at 4.2%—a narrow range that has been maintained since May 2024, according to the BLS news release. In…
Report: Health system margins shrink as hospital revenue grows
Editor's Note Operating margins for health systems declined across the US in early 2025 even as hospitals reported steady revenue growth, according to a February 27 report from Strata Decision Technology. The median operating margin for U.S. health systems dropped to 1.0% in January, down from 2.1% in December, marking…
Session: Riding the Wave—Considerations to Making Anesthesia Profitable in Today's Labor Market
Editor's Note The OR Business Management Conference this year for the first time offered a lineup of sessions that was fully dedicated to content relevant to ambulatory surgery centers (ASCs). In this session, Collin Pick, MSN, CRNA, ARNP, CMPE, chief of anesthesia, Physician Partners of America, explored the ongoing anesthesia…
Understanding bipartisan push for site-neutral Medicare payments aiming to curb healthcare costs, consolidation
Editor's Note Amid growing concerns over healthcare spending and affordability, there is bipartisan interest in aligning Medicare payments for outpatient services across various care settings through "site-neutral" payments, KFF June 14 reports. As a June 2023 Modern Healthcare article explains, last year Congress reviewed legislation to expand site-neutral payment policies,…
Survey: Healthcare supply chain leaders focused on staffing, savings, standardization
Editor's Note Addressing pressure on margins, inconsistent processes, and staffing issues are top priorities for healthcare supply chain leaders recently surveyed by symplr, a provider of enterprise healthcare operations software. Published February 27, the State of Healthcare Supply Chain Survey offers insight from nearly 100 VPs of Supply Chain, Chief…
Hospitals seeing worst margins since beginning of pandemic, Cleveland Clinic posts near $1B loss
Editor's Note In this National Hospital Flash Report, published in August 2022 by healthcare consulting company Kaufman, Hall and Associates, LLC, experts say “that 2022 is shaping up to be the worst year financially for US hospitals and health systems since the beginning of the COVID-19 pandemic,” Becker’s Hospital CFO…
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