Orlando (Fla.) Health recorded an operating income of $94.7 million operating income (3.9% operating margin) in the second quarter of 2025, down from $126.9 million (7.2%) during the same period last year, according to its May 23 financial report.
Four things to know:
1. The system attributed the 25.4% decrease to the integration and transition-related costs of the hospitals it acquired in October. Orlando Health acquired five Alabama hospitals from Tenet Healthcare and three Florida hospitals from Steward Health Care.
2. Orlando Health reported total operating revenue of $2.4 billion for the three months ended March 31, up from $1.7 billion during the same period last year. Net patient service revenue increased 40.7% year over year to $2.1 billion. The increase was attributed to the hospitals the system acquired in Florida and Alabama.
3. Total operating expenses were $2.3 billion in the second quarter of 2025, up from $1.6 billion during the same period in 2024. The 40.7% increase was attributed to the costs associated with the acquisitions, as well as increased volumes, labor, supply and medical malpractice costs.
4. Orlando Health reported a net income of $132.9 million in the quarter, down from $328.9 million during the same period last year.
