Memorial Sloan Kettering Cancer Center (MSK) issued the following statement regarding its first quarter of 2025 results:
MSK’s financial performance for the first quarter of 2025 resulted in a deficiency of operating revenues over expenses of $(68.8) million and an operating cash flow margin of 0.7%. These results are attributed to increased medical and surgical supply costs, increased pharmaceutical expenses, and planned one-time expenses associated with the go-live of the Epic electronic health record (EHR) system. The Epic EHR system is expected to drive higher patient satisfaction, efficiencies and patient revenues over time.
Despite the cost pressures, operating revenues increased by 4.1% year-over-year, including a 2.6% increase in patient revenue compared to the first quarter of 2024. However operating expenses increased by 9.2%, largely due to one-time EHR implementation costs. While planned expenses generated an operational deficiency, they were necessary to ensure a successful implementation.
MSK continues to execute a fiscal strategy focused on expanding patient access and diligent expense management to ensure long-term financial health and mission-driven growth of the institution.
For more information, please see instructions to access our financial disclosure report available at https://www.dacbond.com/ or https://www.mskcc.org/public-notices/financial-information.