Hospital Margins Are Increasing — And So Are Prices

Higher patient volumes, along with less reliance on contract labor, have led health systems to see significant financial improvement in the first quarter of 2024. At the same time, rising hospital prices are likely keeping overall inflation elevated in the United States. According to a STAT+ analysis of 20 large nonprofit health systems, 16 reported higher operating and net margins in the first quarter of 2024 compared to the same period in 2023. These higher margins are largely due to increased patient volumes and reduced reliance on expensive contract labor.

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Source: https://www.advisory.com/daily-briefing/2024/05/28/hospital-finances

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