The nation’s hospitals saw profitability improvements in July, following significant month-over-month declines in June. Operating Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) Margin rose 77.5 basis points (bps) month over month, while Operating Margin was up 105 bps. This marks the sixth of the past seven months of improved hospital profitability.

While these trends generally are good news for the industry, the improvements do not necessarily mean that hospitals are achieving sufficient margins. Also, margins of individual hospitals do not necessarily reflect those of overall health systems.

Hospital volumes were up across the board in July, following declines in June, but hospitals across the country continued to see expenses rise compared to the same period last year.

Operating EBITDA - July 2019


Read the full National Hospital Flash report for insights on hospital benchmarks, including:

  • Profitability
  • Volume
  • Revenue
  • Expenses
  • Non-operating costs
     

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