Salt Lake City-based Intermountain Health recorded an operating income of $515 million (2.8% operating margin) in 2025, up from $370 million (2.2% margin) in 2024, according to its March 18 financial report.
Five things to know:
1. Intermountain reported total operating revenue of $18.5 billion for the 12 months ended Dec. 31, up from $17.1 billion during the same period last year. The system attributed the increase to volume growth across acute and ambulatory settings and annual rate increases. Additionally, Intermountain’s health plan, Select Health, saw strong enrollment, and new capitation arrangements led to continued growth in premiums and capitation revenues. Patient service revenue was $11.1 billion, up from $10.1 billion. Premiums and capitation revenue was $6.4 billion, up from $6 billion.
2. Total operating expenses were $17.2 billion in 2025, up from $16.1 billion in 2024. Employee compensation and benefits totaled $7.6 billion, up from $7.2 billion. Intermountain said the increase was due to higher volumes and pay increases, partially offset by a reduction in contract labor and productivity improvements. Medical claims were $3.3 billion, up from $3 billion, primarily due to higher membership in the Medicare line of business. Supply expenses held steady at $3.1 billion.
3. As of Dec. 31, Intermountain operated 33 hospitals, up from 32 on the same date in 2024. The system had 58,648 full-time equivalent employees, up from 57,229.
4. Intermountain had 393 days cash on hand as of Dec. 31, up from 370 on the same date in 2024.
5. Intermountain reported a net income of $2.6 billion in 2025, up from $1.7 billion in 2024.
The post Intermountain raises operating margin to 2.8% in 2025: 5 notes appeared first on Becker's Hospital Review | Healthcare News & Analysis.
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