Altamonte Springs, Fla.-based AdventHealth recorded an adjusted operating income of $555 million (9.3% operating margin) during the first quarter of 2026, compared to an adjusted operating income of $581.1 million (10.9% margin) during the same period last year.
AdventHealth’s adjusted operating income figures exclude Federal Emergency Management Agency funds received during the three months ended March 31, 2026 and 2025. The system recognized $5.1 million in FEMA pandemic reimbursement during Q1 2026, compared to $382.7 million in Q1 2025.
The system reported adjusted total operating revenue of $6 billion in Q1 2026, an 11.3% increase year over year. Revenue growth was driven by same-store volume growth, increased capacity across multiple markets and the expansion of advanced services.
Adjusted total operating expenses were $5.4 billion, a 13.2% increase year over year. Increased expenses were tied to higher volumes and inflation, which were partially offset by ongoing operational performance improvement initiatives.
AdventHealth noted in its report that it has begun seeing early evidence of payer mix shifts related to HR 1, including movement from commercial coverage toward government-sponsored programs and uninsured populations. The system expects those trends to continue developing throughout 2026 as patients evaluate and transition among available coverage options.
Without excluding the FEMA funding, AdventHealth recorded an operating income of $560.2 million (9.4% operating margin) in the first quarter of 2026, down from an operating income of $963.8 million (16.8% margin) during the same period last year.
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