Forbes Lists 25 Most Profitable Hospitals

Forbes recently released a list of the 25 most profitable hospitals in America, 24 of which have profit margins of 25 percent or more.

The report, based on CMS data analyzed by the American Hospital Directory, likens these highly-profitable hospitals to companies like Pfizer and GE, both of which have similar profit margins. Comparatively, the median operating margin for a 200-plus bed hospital was – 0.7 percent last year, according to the report.

More than half of the 25 hospitals on the list (all have 200 or more beds) are owned by for-profit operators, such as CHS and HCA.

Here are the top 5:

1.    Flowers Medical Center (Dothan, Ala.) — 53 percent operating margin.
2.    Del Sol Medical Center (El Paso, Texas) — 45 percent operating margin.
3.    Rochester (Minn.) Methodist Hospital — 37 percent operating margin.
4.    St. Luke's Hospital (Cedar Rapids, Iowa) — 36 percent operating margin.
5.    Seton Medical Center Austin (Texas) — 34 percent operating margin.

notes that at least one hospital disputed the figures. Flowers Hospital said it overstated its revenue by $180 million in its CMS report, according to the Forbes piece.

Read the Forbes list of the most profitable hospitals.

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