Even as the Federal Reserve's consumer price index shows inflation dropping, health systems say they are still seeing the lingering effects of higher prices in their earnings reports.
Here is what three health systems are saying about inflation:
- Boston-based Mass General Brigham reported a $476 million profit. While the inflationary pressure is less intense than in previous quarters, the health system said it is still feeling its effects."The labor and supply cost pressures that began to intensify last spring have moderated but continue to impact operating performance," Mass General Brigham's management said.
- Cleveland Clinic reported a $21.4 million operating loss in the second quarter. The health system's expenses rose 9.4 percent as the health system said, "elevated inflation will continue to compress margins for most providers."
- Renton, Wash.-based Providence posted a $202 million loss in the second quarter. The cost of medical supplies for the health system increased by 9 percent since the same period last year. Providence said that it was working with the payer community to increase reimbursement as it looks to combat inflation.