Temple Health reports a $9.9 million operating loss in the first nine months of fiscal 2026

Temple University Health System had an operating loss of $9.9 million in the nine months that ended March 31, the nonprofit health system reported to municipal bondholders Monday.

The results mean that Temple recovered significantly from the $50.5 million loss it had in the first half of fiscal 2026, which ends next month.

“The improvement in performance over the past quarter is largely the result of an overall increase in inpatient and ambulatory patient volume as well as receiving expected state-directed payments,” Temple said in an email.

Here are more details:

Revenue: Temple’s total revenue climbed 13% to $2.6 billion in the first three quarters of fiscal 2026. Much of the increase in revenue came from outpatient services, including pharmacy. State funding — which Temple receives to help defray losses from its role as the biggest safety-net provider in North Philadelphia — increased by $27.7 million.

Expenses: Higher rates for salaries and wages and last year’s opening of Temple Women and Families Hospital contributed to overall expense increases. Temple also said it spent more on temporary staff.

Notable: Temple had just over a $1 billion in cash reserves for operations at the end of March, up from $946.5 million the year before. That translated to 113 days of cash, down from 115 the year before, reflecting an increase in costs.