Hospitals and health systems nationwide closed the second year of the pandemic caught in a vise of rising volumes and ballooning expenses, as COVID-19 cases climbed to new highs and critical labor shortages and supply chain issues continued to plague providers. Many organizations ended 2021 in a stronger position compared to lows seen in 2020, as hospital leaders have learned to better navigate the pandemic’s volatility. However, overall hospital performance remains below pre-pandemic levels on most metrics.
From December 2019 to December 2021, hospitals saw:
- Median change in Operating Margin (without CARES) drop 14.7%
- Total Expense per Adjusted Discharge rise 25.4%
- Labor Expense per Adjusted Discharge jump 26.8%
- Adjusted Discharges decline 4.7%
Read More from this Report Series


National Hospital Flash Report: July 2022
U.S. hospitals and health systems are now halfway through an enormously difficult year. While margins were up in June compared to May, expenses remain at historic highs, leaving...
Research Report


National Hospital Flash Report: June 2022
Kaufman Hall analysis shows some improvement in revenues and volumes from April to May ‘22, but hospitals continue to perform below pre-pandemic levels.
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Hospital Finance Podcast features Kaufman Hall’s Erik Swanson
Erik Swanson discusses the key findings from the most recent National Hospital Flash Report and the continued financial struggles of hospitals nationwide in a new Hospital Finance Podcast episode.
Podcast