Editor's Note The credit outlook for the nonprofit hospital sector improved from “deteriorating” to “neutral” in Fitch Ratings’ 2025 report, the first revision in more than 2 years. Healthcare Dive reported the news December 11.  According to the outlet, Fitch attributes the shift to “steady improvement” in hospital operating margins,…

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Editor's Note Hospitals’ financial outlook is stable, although growth is slowing and certain costs are projected to increase, particularly for cybersecurity, according to two recent Becker’s reports on data from Moody’s Investor Services. The first, published November 14 in Becker’s Hospital CFO Report, notes that “hospitals are facing a stable…

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Editor's Note An S&P report published on August 7 revealed that downgrades of nonprofit hospital ratings outpaced upgrades in 2023, a trend expected to persist despite a slowing pace, Becker’s Hospital CFO Report August 12 reports. The report, which analyzed nonprofit acute healthcare medians, showed a downgrade-to-upgrade ratio of 3.8…

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Editor's Note A new low for median days cash-on hand could spell trouble for US nonprofit hospitals and health systems, Healthcare Dive reported August 12. “Nonprofit hospitals’ cash on hand — the funds immediately available to finance daily operations — is one indicator of financial health,” the outlet reports. “Low cash…

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Editor's Note HCA Healthcare reported nearly $1.5 billion in net income for the second quarter (Q2), exceeding expectations, Modern Healthcare July 23 reports. The Nashville-based system attributed part of this success to a significant reduction in contract labor costs, which dropped by more than 25% compared to Q2 2023. This…

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Editor's Note New findings from health consultant Sg2’s 2024 Impact of Change report projects a 21% increase in ambulatory surgery center (ASC) volume, to reach 44 million by 2034, ASC Focus July 8 reports. An aging population, better diagnostics, and epidemiological factors are driving this demand, Tori Richie, senior consulting…

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Rural hospitals in the US have been facing a prolonged, multifaceted crisis. The literature presents several reasons for why healthcare facilities in rural areas struggle, including shrinking budgets, rising chronic illness and public health issues like addiction and obesity, poor telehealth and broadband access, aging populations, deteriorating mental health, and…

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Editor's Note The median hospital margin of 3.8% for April is an improvement over the previous month and year-over-year, according to the latest National Hospital Flash Report from Kaufman Hall. Compiled by Kaufman and Syntellis Performance Solutions (now part of Strata), the monthly report analyzes 3 years’ worth of both…

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Editor's Note Solid operating margins and an improved payer mix contributed to robust financial outcomes for HCA Healthcare in the first quarter of 2024, including “significant growth” in inpatient admissions, surgeries and emergency room visits, according to an April 29 article on Investing.com. According to the report, outpatient surgery revenue…

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Editor's Note Private payers initially deny reimbursement on 15% of claims, only to later approve more than half of those initial denials, according to a national survey of healthcare institutions published March 21 by Premiere, Inc. Additionally, the denied claims on average tend to be more prevalent for higher-cost treatments…

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