University Hospitals swings from loss to 2.6% margin in 2025

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Cleveland-based University Hospitals recorded an operating income of $191.8 million (2.6% operating margin) in 2025, up from an operating loss of $172.6 million (-2.7% margin) in 2024, according to its March 31 financial report. 

University Hospitals reported total operating revenue of $7.3 billion in the 12 months ended Dec. 31, up from $6.4 billion during the same period last year. Net patient service revenue was $6.5 billion, up from $5.9 billion. Other revenue was $785.2 million, up from $492.7 million. Other revenue included $182 million from its January sale of approximately 50 outpatient laboratories to Quest Diagnostics. 

Total operating expenses were $7.1 billion, up from $6.6 billion. Salaries, wages and employee benefits were $3.8 billion, up from $3.6 billion. Purchased services were $346.1 million, down from $374.4 million. Patient care supplies totaled $1.9 billion, up from $1.6 billion.  

The system reported a net income of $465.9 million in 2025, up from $18.1 million in 2024. 

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