Persistent expenses drove Ascension to $1.8B operating loss

Improving volumes, especially outpatient surgeries and emergency room visits, failed to outpace growing expenses in the nine-month period.

By Sydney Halleman • May 30, 2023

Healthcare provisions of the debt limit deal: COVID-19 funding clawbacks, no Medicaid work requirements

Congressional Republicans and the White House reached a deal over the weekend to raise the debt ceiling that includes healthcare policy wins for both sides of the aisle.

By Rebecca Pifer Parduhn • May 30, 2023

Securing mergers and acquisitions in healthcare

Netskope’s Damian Chung outlines how healthcare organizations can avoid cyber risks when executing acquisitions or partnerships.

By Damian Chung • May 26, 2023

CVS could lose up to $1B next year from MA star ratings drop

Just 21% of CVS’ MA members are currently in plans with a star rating of at least four, down from 87% at the end of 2021, the payer disclosed.

By Rebecca Pifer Parduhn • May 26, 2023

Walgreens laying off 10% of corporate workforce

The cuts, affecting more than 500 employees, come as the pharmacy chain expands in consumer-focused care delivery.

By Emily Olsen • May 26, 2023

Cleveland Clinic outpaced expense growth to return to profitability in Q1

The health system noted that growing expenses are still a concern, with labor costs like overtime increasing.

By Emily Olsen • May 25, 2023

Digital health funding holds steady in Q1 after year of decline

The sector defied trends seen in the larger venture capital market, where funding continues to fall. But investment is still at years-low levels.

By Emily Olsen • May 24, 2023

Providence narrowed losses as patient volumes increased

The Renton, Washington-based health system said inflation, labor shortages, delayed reimbursement from payers and supply chain problems are still affecting its bottom line, but its financial outlook is improving.

By Emily Olsen • May 23, 2023

Pharma-backed report targets federal clinics for benefiting financially from 340B drug discounts

Those grantees on average are reimbursed almost four times more for 340B prescription drugs than what they pay, and make billions in 340B drug margin, according to the report, which was funded by Gilead Sciences.

By Rebecca Pifer Parduhn • May 23, 2023

Intermountain posts $549M profit after revenue grew in Q1

The health system’s expenses, though, climbed 44% to $3.7 billion, with a large portion coming from employee compensation and benefits.

By Emily Olsen • May 23, 2023

Mayo Clinic grew profits in Q1, despite rising expenses

The Rochester, Minnesota-based academic medical system reported increased admissions and revenue in the first quarter. Operating expenses also grew, largely due to salary and benefit costs.

By Emily Olsen • May 19, 2023

HCA to acquire 41 urgent care clinics in Texas

The purchase, which includes clinics in Dallas, Austin, San Antonio, Houston and El Paso, will boost the for-profit health system’s urgent care footprint.

By Emily Olsen • May 19, 2023

CommonSpirit’s operating losses swell, sparking job cuts

Better investment returns due to a rebound in the financial markets helped mitigate CommonSpirit’s net loss, which reached $231 million in the quarter.

By Rebecca Pifer Parduhn • May 16, 2023

Envision Healthcare files for Chapter 11 bankruptcy

The physician staffing firm suffered from declining profits amid hurdles from the COVID-19 pandemic, prolonged legal battles with health insurers over reimbursement and regulatory crackdowns on surprise billing.

By Sydney Halleman • May 15, 2023

Cano divesting non-core assets to bolster cash flow, CEO says

The primary care provider, which has been embroiled in a boardroom fight, is focused on improving profitability in its core Medicare Advantage business.

By Susan Kelly • May 11, 2023

Bright Health affirms intention to sell California MA plans as it reports Q1 results

By selling its Brand New Day and Central Health MA plans, Bright Health, which would no longer be in the insurance business following the sale, intends to focus on its consumer care products, CFO Cathy Smith said.

By Brian T. Horowitz • May 10, 2023

Oscar Health will exit from California

The insurer plans to exit the state this year after consistently recording medical loss ratios over 100%, executives said on an earnings call.

By Sydney Halleman • May 10, 2023

Envision Healthcare planning Chapter 11 bankruptcy filing, WSJ reports

The potential filing comes after Envision has struggled in recent years, including in legal battles with UnitedHealthcare.

By Sydney Halleman • May 10, 2023

Premier explores strategic alternatives, including a sale

The group purchasing organization lowered its revenue outlook last week due to softer demand from its customers amid excess inventory levels.

By Susan Kelly • May 9, 2023

Kaiser posts $1.2B in Q1 net profit after $961M net loss in prior-year quarter

The first-quarter report comes weeks after the operator announced its plans to acquire Geisinger Health and form a new nonprofit with the purpose of acquiring and operating other nonprofit systems.

By Sydney Halleman • May 8, 2023

Synchrony, Wells Fargo, Bread Financial lead medical credit card market

The medical credit card industry has expanded in recent years as healthcare providers promoted the cards to patients, the Consumer Financial Protection Bureau said in a report.

By Tatiana Walk-Morris • May 8, 2023

Cigna raises full-year guidance on $46.5B in Q1 revenue

CFO Brian Evanko said that, while Cigna is “not yet seeing signs of economic pressure,” it expects higher levels of overall disenrollment in the back half of the year.

By Shannon Muchmore • May 5, 2023

Hospital margins continue to stabilize but remain below pre-pandemic levels

Rising expenses and thin operating margins have left hospitals vulnerable to a potential recession or a new public health emergency.

By Sydney Halleman • May 4, 2023

CVS lowers 2023 earnings outlook on Oak Street, Signify deal costs

The company’s recent big-ticket acquisitions are taking a toll on its financial outlook, though management told investors Wednesday the company still expects to reach its prior earnings targets for 2024 and 2025.

By Rebecca Pifer Parduhn • May 3, 2023

Lower patient acuity, expenses drove CHS to $51M loss in Q1

CHS continued to grapple with heightened expenses in the quarter, including a sequential increase in salary and benefit expenses and supply costs, according to executives.

By Sydney Halleman • May 2, 2023