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Hospital profitability: 34 statistics for 2025 so far

09/15/2025|Source Author|

Nonprofit hospitals are experiencing a markedly uneven financial landscape in 2025, with profitability trends diverging sharply by region and hospital size, according to Kaufman Hall’s latest National Hospital Flash Report.
https://www.kaufmanhall.com/insights/research-report/national-hospital-flash-report-july-2025-data

While overall operating margins are up 4% year to date compared to 2024, the picture is far from uniform. Large hospitals — particularly those with 300 to 499 beds — are driving much of the momentum, posting margin growth of more than 30%, while small facilities under 25 beds slipped into negative territory.

Geographically, the South and Midwest are emerging as bright spots, reporting double-digit operating margin gains of 21% and 15% respectively. In contrast, hospitals in the Northeast/Mid-Atlantic and Great Plains are struggling, with margins declining 6% and 7%. EBITDA performance reflects similar disparities, with growth concentrated in larger hospitals and declines among smaller facilities.

For healthcare executives, these results underscore a widening gap: scale and geography are playing an increasingly critical role in financial resilience. The data suggests that the smallest hospitals and those in certain regions face mounting structural challenges, while larger systems are leveraging size and operational efficiency to capture stronger margins.

Operating margin year to date 2025 vs. 2024

  1. Overall: 4%
  2. West: 9%
  3. Midwest: 15%
  4. South: 21%
  5. Northeast / Mid-Atlantic: -6%
  6. Great Plains: -7%
  7. 0-25 beds: -1.7%
  8. 26-99 beds: 10%
  9. 100-199 beds: 28%
  10. 200-299 beds: 4%
  11. 300-499 beds: 31%
  12. 500+ beds: 23%

Operating EBITDA margin year to date 2025 vs. 2024

  1. Overall: 0%
  2. West: 3%
  3. Midwest: 5%
  4. South: 3%
  5. Northeast / Mid-Atlantic: -5%
  6. Great Plains: -7%
  7. 0-25 beds: -9%
  8. 26-99 beds: 1%
  9. 100-199 beds: 17%
  10. 200-299 beds: 2%
  11. 300-499 beds: 14%
  12. 500+ beds: 11%

The post Hospital profitability: 34 statistics for 2025 so far appeared first on Becker’s Hospital Review | Healthcare News & Analysis.

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