Despite facing headwinds such as increased labor and supply costs, several health systems reported operating gains for the period ended June 30, after posting operating losses during the same period last year.
Here are six systems that returned to positive operating margins in their most recent reporting periods. Because systems report on different fiscal calendars, the figures below span quarterly, six-month, nine-month and full fiscal-year results.
Quarter ended June 30
San Diego-based Sharp HealthCare recorded operating income of $36.2 million (2.3% operating margin), up from an operating loss of $21.5 million (-1.5% margin) during the same period last year.
Six months ended June 30
Gaithersburg, Md.-based Adventist HealthCare recorded operating income of $18.2 million (3% operating margin), up from an operating loss of $205,000 (-0.1% margin) during the same period last year.
New York City-based Memorial Sloan Kettering Cancer Center recorded operating income of $216.6 million (4.7% operating margin), up from an operating loss of $113.2 million (-2.7% margin) during the same period last year.
New Orleans-based Ochsner Health recorded operating income of $32.5 million (0.8% operating margin), up from an operating loss of $42.7 million (-1.1% margin) during the same period last year.
Nine months ended June 30
New Haven, Conn.-based Yale New Haven Health System recorded operating income of $33 million (0.5% operating margin), up from an operating loss of $40.2 million (-0.7% margin) during the same period last year.
Fiscal year ended June 30
West Reading, Pa.-based Tower Health recorded operating income of $8.5 million (0.4% margin), a $29.1 million swing from an operating loss of $20.6 million (-1% margin) in 2025.
At the Becker's 11th Annual IT + Revenue Cycle Conference: The Future of AI & Digital Health, taking place September 14–17 in Chicago, healthcare executives and digital leaders from across the country will come together to explore how AI, interoperability, cybersecurity, and revenue cycle innovation are transforming care delivery, strengthening financial performance, and driving the next era of digital health. Apply for complimentary registration now.