Somerville, Mass.-based Mass General Brigham reported an operating loss of $65 million (-1.2% operating margin) in the second quarter of 2025, down from an operating income of $29.7 million (0.6% margin) during the same period last year, according to its May 15 financial report.
The system attributed $53 million of its $65 million operating loss in the second quarter to a strategic reorganization in February that resulted in the elimination and rescoping of a number of management and administrative roles.
Mass General Brigham said in February that it is facing a projected budget gap of $250 million within two years “due to the same unrelenting pressures affecting many healthcare systems across the country.” About 1,500 employees have reportedly been affected by the overall workforce reductions, according to The Boston Globe.
The system reported total operating revenues of $5.6 billion for the three months ended March 31, up from $5.1 billion during the same period last year. Net patient service revenue was $3.5 billion, up from $3.3 billion. Premium revenue was $637.5 million, up from $570 million.
Operating expenses totaled $5.6 billion in the quarter, up from $5.1 billion during the same period last year. Employee compensation and benefit costs were $2.7 billion, up from $2.5 billion. Supplies and other expenses totaled $1.6 billion, up from $1.4 billion. Medical claims and related expenses were $477 million, up from $377.3 million.
Mass General Brigham reported a net income of $5.5 million in the second quarter, down from $807.3 million during the same period last year.
