Hospitals notched slightly better operating margins in November, compared to the month before, as expenses eased and outpatient revenue increased, according to a latest analysis from Kaufman Hall.
The positive monthly showing, however, is tempered by weak profit performance over most of 2022, as hospitals absorbed high labor and other costs that outpaced revenues. While the median operating margin rose 12% in November from October, it still slumped 5% year over year and declined 44% for the year to date compared to 2021, according to the data from more than 900 hospitals, Healthcare Dive reports.
“The November data, while mildly improved compared to October, solidifies what has been a difficult year for hospitals amidst labor shortages, supply chain issues, and rising interest rates,” Erik Swanson, Kaufman Hall’s senior vice president of data and analytics, said. Read more.
