The Healthcare Performance Trends Report combines analyses of financial, operational, and claims data from healthcare organizations across the country.
Key findings from our Q4 2024 report include:
- Health system operating margins largely recovered following sizable volatility in recent years, but healthcare leaders do not anticipate much margin growth in the year ahead.
- Contract labor expenses dropped dramatically in 2024, even as hospital and health system expenses remained on the rise across most categories throughout the year.
- Overall hospital and health system labor expenses continued to climb, despite lower contract labor costs, as organizations focused on initiatives to retain employed staff
- Health system overhead expenses saw double-digit increases from 2019 to 2024, with revenue cycle expenses seeing the biggest growth.
- Growth in median gross revenues outpaced total expense growth throughout 2024, with the nation’s largest hospitals seeing the greatest YOY revenue increases.