Industry · SC
McLeod Health Reports 9.7% Operating Income Decline in FY2026
McLeod Health, based in Florence, South Carolina, reported operating income of $137.5 million for fiscal 2026 (ended June 30), down 9.7% from $152.2 million the prior year, with an operating margin of 7.27%. Total revenue rose 8% to $2.26 billion while total expenses increased 9.4% to $2.13 billion. Net income totaled $321.6 million, a 5.1% decrease from $338.8 million in fiscal 2025. The system ended the year with $3.81 billion in total assets, about 422 days cash on hand, and long-term debt of $406.9 million, down $9.4 million from the prior year.
Why it mattersHealth plans and providers contracting with McLeod Health may want to monitor its margin compression as expenses outpace revenue growth, which could affect negotiating leverage and financial stability.