Memorial Sloan Kettering's drug expenses soar 28% through Q3

Alia Paavola - Print  | 

Memorial Sloan Kettering Cancer Center in New York City saw its drug expenses climb 28.3 percent in the first nine months of 2018 in comparison to the same period last year, according to recently released financial documents.

The amount the cancer center spent on drugs in the first nine months hit $655.39 million, up from $510.98 million the year prior.

Overall expenses rose as well, from $3.06 billion in the first nine months of 2017 to $3.42 billion in the same period in 2018.

"Operating expense growth has been driven by our expanded regional ambulatory care network, increased staffing in advance of further expansion planned for 2019 and increasing cost of pharmaceuticals," the financial report reads.

Memorial Sloan Kettering saw its operating revenues rise to $3.54 billion in the first nine months of 2018, up from $3.27 billion in the same period last year. Operating income for the first nine months ended Sept. 30 was $125.75 million, compared to $205.64 million in the same period of 2017.

The rising expenses, including pharmaceutical cost, was a big reason for the drop in net income.

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