Cleveland Clinic reported an operating income of $52.8 million (1.3% margin) in the first quarter, up slightly from $50.2 million (1.3% margin) in the same period last year, according to financial documents published May 16.
Five things to know:
1. First-quarter operating revenues and expenses increased 8.9% year over year to $4.2 billion and $4 billion, respectively.
2. The health system’s net patient service revenue increased $242.1 million (7.2%) in the first quarter, compared to the same period in 2024. Total patient encounters increased 0.6% year over year, driven by a 3.7% increase in outpatient evaluation and management visits.
3. Cleveland Clinic also implemented annual rate increases on its managed care contracts that became effective in 2025. Other unrestricted revenues increased $101.2 million (20.5%) in the first quarter of 2025 compared to the same period in 2024.
4. Cleveland Clinic reported $36.5 million in investment gains in the first quarter, down from $275.2 million in the first quarter of 2024. After accounting for nonoperating items, the health system reported a net income of $84.6 million in the first quarter, down from $332.8 million in the prior-year quarter.
5. Long-term debt for the system was $4.5 billion as of March 31, 2025, and total assets were $26.1 billion.
