Hospitals' latest financial results point to the beginning of a slow and sustained recovery Fitch said in an Aug. 12 report.
"The labor picture has been on an upward trajectory for the last year with less usage of external contract labor, lower pricing per hour compared to calendar 2022 and a higher number of new hires over 'leavers,'" Kevin Holloran, senior director and sector head at Fitch, said. "Some of the labor improvements can be tied to near universal higher levels per capita of salary, wage and benefits, changes healthcare leadership has been very happy to make."
Here are 10 nonprofit health systems that reported operating gains the three months ended June 30:
Note: This is not an exhaustive list.
Oakland, Calif.-based Kaiser Permanente reported an operating income of $908 million in the second quarter, up from $741 million in the same period last year. Its operating margin grew from 2.9% in the second quarter of 2023 to 3.1% in the second quarter of this year.
Rochester, Minn.-based Mayo Clinic reported an operating income of $449 million (8.9% margin) in the second quarter, a substantial improvement on the $300 million operating gain (5.9% margin) it posted in the same period last year.
Orlando (Fla.) Health posted an operating income of $158.3 million (8.7% margin) for the three months ended June 30, up from $118.2 million (7.9% margin) in the same quarter last year, according to its Aug. 23 financial report.
New York City-based New-York Presbyterian reported an operating income of $100.6 million (3.8% margin) in the second quarter, a $76.8 million decrease from the $177.5 million operating gain (6.5% margin) for the same period in 2023.
New Hyde Park, N.Y.-based Northwell Health reported operating income of $76.8 million (1.7% margin) in the second quarter of 2024, down from the second quarter of 2023's $169.2 million (4% margin).
Cleveland Clinic saw an operating income of $45.3 million at a 1.2% margin in the second quarter of 2024 for the three months ended June 30, a 312% increase from a $21.4 million operating loss (-0.6% margin) during the second quarter of 2023.
West Des Moines, Iowa-based UnityPoint Health reported $33.9 million in operating income (2.6% margin) in the second quarter, reversing a $4.2 million operating loss (-0.4% margin) in the same period last year.
Louisville, Ky.-based Norton Healthcare reported an operating income of $30.2 million (2.6% margin) in the second quarter, compared to a $7.9 million gain (0.9% margin) in the same period last year.
Cincinnati-based Bon Secours Mercy Health reported $30.1 million in operating income (0.9% margin), a more than $123 million improvement on the $92.9 million operating loss (-3.1% margin) posted in the second quarter of 2023.
Midland, Mich.-based MyMichigan Health saw an operating income of $26.7 million (6.6% operating margin) in the quarter ended June 30, a 454.8% increase from an operating income of $4.8 million (1.4% operating margin) during the same time period in 2023.