Following a transformative year of M&A, Sioux Falls, S.D.-based Sanford Health isn’t taking its foot off the gas in 2026.
“Our growth strategy is fundamentally about strengthening access, improving quality and doing so in a sustainable way,” Nick Olson, executive vice president and CFO of Sanford Health, said during a Becker’s CFO+Revenue Cycle Podcast. “We’re not focused on growth just for growth’s sake, but about building a strong foundation for the future, which we think can enable us to make the necessary investments and weather whatever headwinds may come at us.”
Sanford Health completed its merger with Marshfield (Wis.) Clinic Health System in early 2025. The health system shared plans in late August to acquire Lewis Drug, a family-owned pharmacy and retail chain with 60 locations across Iowa, Minnesota and South Dakota.
Lastly, Watertown, S.D.-based Prairie Lakes Healthcare System also merged with Sanford in late October, bringing its around 800 employees, including 60 providers, under the health system.
Sanford Health comprises 57 hospitals, approximately 290 clinic locations, 150 senior living locations, a health plan, around 4,000 physicians and advanced practice providers, and more than 55,000 employees. It serves more than 2 million patients and approximately 430,000 health plan members.
“We’ve got a lot of intentionality around continuing to integrate those organizations we merged with in 2025,” Mr. Olson said. “We’re going to focus on the rural health transformation program. We’re also going to keep an ear open for other geographically aligned systems that may make sense, that have cultural alignment to Sanford Health.”
Mr. Olson said a key lesson from 2025’s rapid expansion that he is taking into the new year is the power of cultural alignment.
“When teams are culturally aligned, this integration can move faster, buy into change can become easier and decisions become more clear,” he said. “The change that is certainly always present becomes embraced and not a challenge.”
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