San Diego-based Scripps Health recorded an operating income of $52.2 million (4.1% operating margin) in the first quarter of fiscal 2026, down from an operating income of $67.3 million (5.5% margin) during the same period last year.
Scripps reported total operating revenue of $1.3 billion for the three months ended Dec. 31, up from $1.2 billion during the same period last year. Patient service revenue was $1.1 billion, up from $1 billion. Scripps did not record California Provider Fee income in the first quarter due to the delay in program approval for calendar years 2025 and 2026. The system reported $42.8 million in provider fee revenue during the first quarter last year.
Total operating expenses were $1.22 billion, up from $1.16 billion during the same quarter last year. Wages and benefits totaled $522.5 million, up from $492.5 million, primarily driven by staffing increases. Supply expenses were $244.1 million, up from $215.1 million. Scripps did not record a provider fee expense in the first quarter of 2026 due to the delay in program approval, but recorded an expense of $35.9 million during the first quarter last year.
Scripps had 420 days cash on hand as of Dec. 31, up from 418 on Sept. 30.
The system reported a net income of $118.3 million in the first quarter of 2026, up from $4.8 million last year.
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