Cleveland Clinic posts $422M profit in Q3 as staff expenses rise due to latest surge of COVID-19
by Robert King | November 27, 2021
Cleveland Clinic generated $422 million in profits for the third quarter of the year as staffing costs and other expenses increased by nearly 13% compared to the same period in 2020.
The hospital system generated a total of $3 billion in the third quarter of the year compared to $2.7 billion in the third quarter of 2020. This was thanks to $2.7 billion in net patient service revenue and $148 million in operating income.
Cleveland Clinic’s net patient revenue increased by 15% to $363.2 million for the third quarter compared to the same period in 2020. The system’s acute admissions increased by 5%, and total surgical cases increased by 4.8%.
The $422 million in profits is below the $600 million it generated in the same period in 2020.
However, total operating expenses increased to $333.8 million, an increase of nearly 13%.
“The growth in expenses is primarily due to the increase in patients served,” according to the system’s earnings report released Monday. “In order to offset the impact of the COVID-19 pandemic, the system has taken measures to reduce costs and expenditures, including restricting travel, reducing purchased/administrative service expenses and other controllable costs.”