Aug 31, 2024

Hey everyone,

I wanted to share some exciting news about the latest trends and developments in the healthcare industry. It’s great to see that both nonprofit and for-profit hospitals are showing positive signs as we enter the second half of 2024.

One of the standout findings is the strong expense management that is leading to the strongest margins we’ve seen post-Covid. This is a promising sign for the healthcare industry as it continues to recover from the impact of the pandemic. Additionally, there is a favorable shift in payor mix trends, with patients moving from Medicaid to Exchange plans, leading to stronger revenue growth.

It’s also encouraging to see that acute care volumes are moderating, and there is a boost in guidance from supplemental payments for UHS in the second quarter. This shows that the healthcare industry is adapting and finding ways to thrive in the current environment.

Nonprofit health systems are also making impressive strides, with Kaiser, Providence, Intermountain, and Advocate all reporting positive revenue and operating income growth. This is a testament to the resilience and innovation within the healthcare sector.

While there are still challenges for some health systems, it’s inspiring to see the overall progress and positive momentum in the industry. As we continue to navigate through these changes, it’s important to celebrate the wins and keep pushing for innovation and improvement.

Stay positive and keep up the great work in the healthcare field!

Summy

Stay Well!