Mayo Clinic 2Q Expenses Grew More Than 3X Faster Than Revenues
Rochester, MN (KROC-AM News) - Rising expenses greatly outpaced Mayo Clinic's revenue growth during the second quarter of this year.
A required regulatory filing submitted by the Rochester-based health care giant shows its income from current activities for the three-month period that ended June 30 totaled $182 million. That is down $269 million, or nearly 60% when compared to the second quarter of last year.
Mayo Clinic's overall revenues increased by about 3% from the second quarter of 2021 to about $4.06 billion. On the other side of the ledger, expenses rose more than 11% and totaled $3.878 billion. That number is nearly $390 million above the expense total from the same period last year. Salaries and benefits, which account for more than 40% of Mayo Clinic expenses, rose 7% from last year to almost $2.3 billion.
The volatility on Wall Street did not help Mayo Clinic's financial position. The filing shows net unallocated investment returns were down over $1 billion from the second quarter of last year. That resulted in a more than $500 million decrease in the healthcare provider’s net assets.
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.
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