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Most nonprofit hospitals and health systems had ‘strong’ cash reserves in 2022, KFF finds

In 2022, most American nonprofit hospitals and health systems had sufficient cash reserves to cover prolonged operating expenses, with an average of 218 days’ worth in hand, a KFF analysis found. Despite issues like inflation, labor shortages, and investment losses, approximately 75% of these institutions maintained a robust cash cushion. However, around 10% reported vulnerable cash levels. Analysis revealed that negative operational margins did not equate to poor financial health if robust cash reserves were in place.

Source: www.healthcaredive.com –

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