How Have Hospitals Fared Financially So Far in 2024?
Health systems' financial results suggest the start of sustained recovery, but persistent challenges remain, including rising expenses and less-than-ideal reimbursement rates from payers.
Providers’ Finances Are Steady, But Cost Pressures Still Loom
A new report showed that financial margins have leveled off for both hospitals and physician groups in recent months. However, costs for drugs and labor continue to climb.
Improving the Healthcare Financial Experience to Help Care Flow
Zelis CEO Amanda Eisel shares her perspective on how the company is solving the problems of a fragmented health financial system to benefit all.
Hospital Operating Margins Are Growing — But Not For All
Hospitals’ finances improved in April compared to both the month prior and the same time frame last year, according to a new report from Kaufman Hall. The report also noted that there is a widening gap between the highest- and lowest-performing organizations.
Why Are Most Provider-Sponsored Health Plans Unprofitable?
The "vast majority" of provider-sponsored health plans are unprofitable, Flare Capital Partners Principal Parth Desai pointed out during a recent interview. He said most of these plans aren’t able to cover the large number of lives required to ensure a viable risk pool and maintain a healthy operating margin.
The Case for Asset Stewardship: How Healthcare Wastes Millions of Dollars on Endoscope Ownership
U.S. healthcare is unnecessarily spending millions of dollars on scopes—dollars that could be better spent opening up new service lines, investing in medical equipment, or hiring nurses for improved patient care.
Health System Credit Downgrades: Unpacking the Challenges and Exploring Solutions
The significance of credit ratings for health systems cannot be overstated. They serve as a warning sign indicating organizations need to transform. Health systems can no longer rely on top-line revenue to address their inherited problems. It is clear that a fresh approach to cost management is required to break away from past practices and chart a new course toward financial viability and sustainability.
Using Data to Help Healthcare Practices Succeed
A new report from Relatient, A Data-Driven Guide to Patient Access Succes, highlights how focusing on data accuracy and relevance can enhance the performance of healthcare practices.
Managing Creditor Relationships During Cash-Flow Hardships
Many new to financing negotiations try to paint a rosy picture and offer unrealistic terms or revenue expectations to improve a soured relationship. This will quickly backfire and result in defaults, which not only incurs additional costs, but can rupture trust and spoil relationships.
Hospitals’ Operating Margins Fell In July After 4 Months of Growth
Hospital finances worsened in July as volumes dropped, according to a new report. Following four months of growth, hospitals' median year-to-date operating margin index fell 1.3%, down from 1.4% in June. Hospital finances still remained in a better place than they were last year, given hospitals’ median operating margins were -0.98% in July 2022.
Hospital M&A Activity Remained Strong in Q1 With 15 Deals Announced
Hospital M&A activity remained strong during the first quarter of 2023, according to a new report from Kaufman Hall. Hospitals and health systems announced 15 M&A transactions in the first quarter of 2023, which almost matches the 17 transactions announced in the fourth quarter of 2022.
Tax Breaks Far Outweigh Community Spending at Most Nonprofit Hospitals
A new report from Lown Institute examined the finances of 1,773 private nonprofit hospitals across the U.S. For more than three-quarters of these hospitals, their spending on charity care and community investment was less than the money they received in tax breaks in 2020. These combined deficits totaled $14.2 billion, which is enough money to relieve 18 million Americans’ medical debt or prevent 600 at-risk rural hospitals from closing, according to the report.
Tips for Greater Healthcare Practice Success in 2025
Join us on February 26 at 3 pm ET, and we’ll dive into the key areas where practices are losing time and money and provide solutions to overcome them.
Which Trends Dominated Hospital M&A Activity Last Year?
M&A activity among health systems picked up last year — key trends included cross-market mega-mergers and academic medical centers expanding their community hospital networks. Despite tough economic conditions, Kaufman Hall experts expect this activity to continue growing in 2023.
2023 Will Be a Year of Shrinking Margins and More Consolidation for Hospitals, Expert Says
Inflation and shrinking operational margins are among the key factors that will influence hospitals and health systems’ strategies in 2023. To deal with this, more hospitals will merge with other systems, predicted Tina Wheeler, Deloitte’s leader for its healthcare sector.
Medicare Needs to Pay for Some of Hospitals’ Discharge Delays, AHA Says
Hospitals are struggling to discharge patients in a timely manner, according to the American Hospital Association. This is often because there are no available spots for patients being transferred to outpatient facilities. To remedy the increased costs hospitals face as a result of this issue, an AHA exec said Medicare should establish a temporary per diem payment for cases in which a patient is ready for discharge but is unable to be discharged appropriately.
Can Hospitals Succeed in VBC and Improve Their Overall Financial Health? An Oxymoron, It Is Not
Here are three proven strategies for hospital executives to create an overall winning proposition (while keeping patients at the center of it).
Trends that will Shape Healthcare in 2023: Hospital Closures, Scaling Retail Clinics & More
Consumer research firm Forrester recently predicted major trends that would shape healthcare in 2023. Healthcare stakeholders should prepare for key changes, such as care becoming even more inaccessible for rural patients and additional retail entrants into the clinic space.