CommonSpirit Health releases financial results for its fiscal year 2025 third quarter ended March 31

CHICAGO (May 15, 2025) – CommonSpirit Health released financial results for its fiscal year 2025 third quarter ended March 31, 2025. The results show improvement on a year-to-date basis versus prior year, driven primarily by increased patient volumes. Despite positive indicators such as strong volumes, lower length of stay, and higher productivity, CommonSpirit’s finances continue to be impacted by expenses growing at a faster pace than revenue, and ongoing challenges with payers related to inadequate reimbursement rates, payment delays, and increases in claim denials. 

CommonSpirit reported operating revenues of $10 billion and operating expenses of $10.1 billion for the quarter ended March 31, 2025, compared to revenues of $9.3 billion and expenses of $9.6 billion for the same period last year, all normalized for the California provider fee program. The health system recorded an operating loss of $85 million (-0.9% margin) and EBITDA of $434 million (4.3% margin), again normalized for the California provider fee, compared to an operating loss of $365 million and EBITDA margin of 1.8% for the same period in the prior year. 

For the nine-month period ending on March 31, 2025, CommonSpirit’s EBITDA was $1.3 billion with an EBITDA margin of 4.5%, when normalized for the California provider fee. During the same period in the prior year, CommonSpirit’s EBITDA was $914 million, with an EBITDA margin of 3.3%.   

Volumes increased in the quarter, with adjusted admissions rising 4.1% and outpatient visits increasing 6.3%, compared to the same period in the prior year. Emergency Room visits increased 2.1% compared to the same period in the prior year. 

CommonSpirit continues to see that steady financial results dovetail with consistent clinical excellence and positive patient experience. In Spring 2025, 82 percent of eligible hospitals received ‘A’ or ‘B’ grades in The Leapfrog Group’s Hospital Safety ratings. Additionally, CommonSpirit has been recognized with the prestigious John M. Eisenberg Patient Safety and Quality Award for National Innovation in Patient Safety and Quality from The Joint Commission. The Eisenberg Award is considered one of the highest national honors in health care quality and patient safety.  Additionally, In spring 2025, all three rating agencies affirmed CommonSpirit’s “A-” rating with a stable outlook. 

“Our team members' dedication to providing high-quality care, improving efficiency, and finding innovative solutions is driving results,” said CommonSpirit CFO Dan Morrissette. “While we are encouraged, we remain focused on implementing strategies to address ongoing challenges with payer reimbursements and inflationary pressures.”