Los Angeles-based Cedars-Sinai posted $259.2 million in operating income for the year ended June 30, representing a 36.1 percent drop from the $405.7 million it reported in the previous year, according to its most recent annual financial report.
Total revenue for the year ended June 30 was $6.9 billion, up from $5.8 billion the previous year, while total expenses increased from $5.4 billion in 2021 to $6.6 billion in 2022.
During the same period, salaries and related costs increased 20.3 percent year over year to $3.3 billion. Supply costs increased 29 percent year over year to $2.3 billion.
The five-hospital system reported $437.5 million in investment losses for the year ended June 30, down from a gain of $589.7 million the previous year, resulting in a net profit of $317.9 million, down from $1.1 billion the year prior.
However, Cedars-Sinai could see a significant capital boost in the third quarter. If Merck completes its $10.8 billion acquisition of Prometheus Biosciences, the health system — a shareholder in the pharma company — could receive $800 million.