U.S. provider performance is steady but margin-pressured. Kaufman Hall’s latest National Hospital Flash Report, citing July data, characterizes hospital performance as “generally stable” with non-labor expenses continuing to outpace revenue growth. According to HealthCare Dive, supply expense per calendar day is up 9% year to date, and drug costs are up 10% over the prior year — both weighing on margins despite rising revenue days. Strata Decision’s Q2 report also shows a relatively stable footing, though drug and labor costs remain a challenge as care shifts outpatient.
Reimbursement policy will remain a critical swing factor into 2026. The Centers for Medicare & Medicaid Services finalized the fiscal year 2026 IPPS update for acute inpatient hospitals and posted the rule materials. It also proposed 2026 updates for OPPS/ASC and the Physician Fee Schedule — policy tracks that shape hospital/ASC revenue, as well as physician economics, for the upcoming year.
On the Capex/OEM side, medtech demand indicators are constructive. GE HealthCare reported a 3% year-over-year increase in Q2/25 revenue (2% organic) and lifted full-year guidance, citing U.S. strength. Siemens Healthineers reported a 7.6% year-over-year revenue increase, with imaging up 11.7% in Q3/25, underscoring durable demand for imaging systems.
Trade policy is a watch item. A U.S.–EU framework has centered on 15% tariffs on most EU imports. Industry association MedTech Europe has explicitly urged tariff relief, warning that the framework may apply the 15% rate to certain EU medical-technology exports to the U.S.
FINANCING IMPLICATIONS
• Stable but margin-tight hospitals and growing outpatient tilt favor structures aligned to cash-flow timing (e.g., deferrals and step-ups) for imaging, monitors and surgical capital in hospital and ASC settings, according to Kaufman Hall’s National Hospital Flash Report.
• OEM order momentum for imaging and devices supports utilization-driven projects, which Siemens Healtineers indicates is a plus for usage-based or service-wrapped leases where uptime and maintenance are integral to outcomes.
• Trade policy and tariffs are adding cost volatility, so equipment financiers would be wise to consider covenants or refresh options that hedge parts/pricing and delivery risk on EU-sourced components. •
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