Cedars-Sinai reports $41M loss amid higher expenses, investment costs

Los Angeles-based Cedars-Sinai, which operates more than 300 locations including five hospitals in the greater Los Angeles area, said it recorded a net loss of $41 million in the third quarter amid ongoing increased expenses — mainly from labor and supply costs — as well as investment losses.

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The $41 million deficit was despite improved revenues for the three months ending Sept. 30, 2022, of $1.78 billion compared to $1.63 billion in the same period last year. 

While salary costs climbed 14 percent to $830 million for the quarter compared to the same period in 2021, materials and supply costs rose almost 10 percent to total $676 million. Investment losses also contributed significantly to quarterly performance with a net loss totaling $75 million related to future capital and operating needs.

Cedars-Sinai last month joined a $31 million funding round for Vita Therapeutics, a company that uses genetics to develop new cellular therapies to treat muscular dystrophy and cancer.

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