- The Mayo Clinic reported $1.06 billion in operating income for 2019, up substantially from $617 million in 2018. That was on revenue of $13.8 billion for the year, an increase from $12.6 billion the prior year, according to financial documents released Tuesday.
- The increases were driven by volume growth. The Minnesota-based nonprofit saw 1.2 million patients throughout the year. Inpatient admissions jumped 2.1% year over year while surgical patients increased 3.6%.
- The organization pointed to diversified sources as helping expand revenue opportunities, including its network of clinics, which expanded to 44 throughout the world last year. Its venture capital arm and laboratory offerings brought revenue of $1.29 billion for the year.
Mayo Clinic, which has been named the country's top hospital for four years in a row, touted growth in a number of service lines. Expenses were also up across the board and increased 6.4% year over year.
Other major nonprofits reported volume growth for 2019 as well. The gains helped swing CommonSpirit Health to its first gain in operating income since the merger that created the system. Ascension, meanwhile, noted volume increases in outpatient services.
Mayo hospital revenue was nearly $6.2 billion for the year, up from $5.6 billion in 2018. Clinic revenues were also up, but senior care and nursing home numbers dragged slightly from the prior year. Overall medical service revenue was up 9.4% year over year.
Looking forward, the system notes its $50 million investment in a part of a joint venture to operate Sheikh Shakhbout Medical City hospital in Abu Dhabi will be funded in the first quarter of this year.
Mayo increased its research investment by 8% year over year to $891 million in 2019. Investment in capital projects was at $723 million, including $293 million for new facilities and technology plus $430 million for maintenance or replacement.
Mayo Clinic CEO Gianrico Farrugia called the year "exceptional" in a statement, allowing the system to "reinvest boldly in all areas of our mission." The nonprofit provided $96 million in charity care in 2019, a year-over-year increase of 23%, and $590 million in total uncompensated care.
However, the results, including income of more than $1 billion, come as nonprofit providers face heightening public scrutiny from politicians, patient advocates and regulators over mounting profits and their tax-free status.