Why leaders are thinking positively about 2025 healthcare finances

Most healthcare leaders have a generally positive outlook on financial performance in 2025, according to VMG Health's "Health System Leader Expectations" survey for 2025. 

Here are five key takeaways from the report:

1. As much as 90% of healthcare leaders expect financial performance to be similar to or better than in 2024. 

2. "Increased utilization" was selected by 77% of respondents as a main driver of positive financial performance. "Payer mix shift" and "success with commercial contracting" were also top responses, with 56% frequency.

3. Related to value-based full or partial risk arrangements, 33% of health systems expect more of these arrangements in 2025, and 23% of respondents expect more Medicare Advantage contracts.

4. Outpatient surgery was selected by 63% of health system leaders as a potential area where they would consider a joint venture partner strategy. Behavioral health was selected by 56% of respondents. 

5. Fewer respondents selected labor costs as an expected financial challenge compared with 2024 data, and 53% of respondents selected "easing of labor pressure" to account for positive financial performance.

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