Key Mayo Clinic Financial Measure is Down Nearly 50% This Year
Rochester, MN (KROC-AM News) - The tough summer on Wall Street had a significant impact on the Mayo Clinic.
The regulatory quarterly filing by the healthcare giant shows Mayo's returns on investments were nearly $475 million in the red during the third quarter of this year. Since the beginning of the year, the investment losses total nearly $1.7 billion, compared with a more than $1.1 billion gain a year ago.
Mayo Clinic's financial performance during three month period remained strong, but its net income from operations of $184 million was down $92 million from the second quarter in 2021. When compared to the second quarter of this year, Mayo's net income from current activities was up by only about $2 million.
Mayo Clinic saw its revenues increase by $171 million from a year ago to about $4.14 billion during the July through September time period, but the operation’s overall expenses climbed by $236 million to $3.96 billion. Increases in salaries and benefits accounted for $78 million of the increase while Mayo's expenses for supplies and services shot up $164 million when compared to the third quarter in 2021.
Through the first nine months of this year, Mayo Clinic's net income from operations totaled $483 million. That's down nearly 50 percent from the $981 million total reported at the end of the third quarter last year. During the same time span, Mayo's revenues rose 4% to more than $12.1 billion, while overall expenses increased by more than $1 billion or 9.5% and totaled more than $11.6 billion.
The unaudited report was filed with the online Electronic Municipal Market Access site, a service of the Municipal Securities Rulemaking Board. The report is required because of municipal bonds sold by Mayo to finance various economic development projects.