In this year’s third quarter, Kaiser Permanente grew its operating revenues by 9% and more than doubled its operating income compared to the year prior, the organization recently shared.
The country’s largest nonprofit health system and its subsidiaries logged $34.7 billion in operating revenues and $34.2 billion in operating expenses for the three months ended Sept. 30, 2026, according to a release outlining topline financial numbers.
Its operating income was $495 million (1.4% operating margin), as compared to the prior year’s $218 million (0.7% operating margin). That’s a bit tighter than the system reported in 2026’s earlier quarters, though the organization often notes that its margins tend to thin out as the year progresses due to health plan enrollment cycles and seasonal expense increases.
Beyond its recently announced plans to add Oklahoma system Integris Health to Risant Health, its subsidiary value-based care platform, the organization said that widespread affordability concerns are fueling a focus on operational efficiencies and driving its investments in value-based care.
CEO Greg Adams said in the release that Kaiser’s rates “are 12% to 18% lower than our competitors’, on average, when comparing similar products. We’re advancing value-based care by expanding access to health management resources and coordinating care around measurable outcomes, not volume. Our employees and physicians deliver better health outcomes every day, and I’m grateful for their commitment to our members and patients.”
Kaiser and Risant’s capital spending during the quarter was $1.2 billion, down slightly from last year’s $1.3 billion, and spans more than five dozen projects in active design and construction “including seven major hospital construction projects.”
“We made progress on infrastructure projects to comply with hospital seismic regulations,” Executive Vice President and Chief Financial Officer Kathy Lancaster said in the release. “We also continued to invest in the facilities and technology members need to receive care in the setting they prefer, including inpatient, ambulatory and telehealth services.”
Kaiser said it collected $1.8 billion in investment and other income during the most recent quarter, down from almost $2.4 billion it reported in Q3 2025. That gap left its net income at about $2.3 billion, below the prior year’s $2.6 billion.
Kaiser and Risant’s membership was almost 13.4 million as of the end of the quarter, on par with the end of Q2. The system also outlined “nearly $1.0 billion in charitable grants, loans and investments to strengthen the healthcare infrastructure of communities” that included about $315 million in financial assistance and charity care.
Kaiser Permanente reported $127.7 billion of operating revenue in 2025 and has been growing fast with affiliate acquisitions through Risant Health, helping fuel a 44% jump in revenue since 2020. Last year, it logged $1.4 billion in operating income (1.1% operating margin) across 12 months, as well as a $9.3 billion in net income and $4.8 billion of capital spending.
The organization’s quarterly financial update comes ahead of a more granular regulatory disclosure, typically filed within a few additional weeks. That document could include additional information about its plans for Risant to absorb $3.3 billion, Oklahoma City-based Integris Health, which comprises 10 acute and 10 specialty hospitals. That deal is expected to close early next year, though its announcement was short on any financial details.