In recent years, Hirslanden private hospital group has been facing challenges in treating patients with basic insurance, leading to a decline in profitability. With fewer people being able to afford additional insurance that covers extra costs, more patients with basic insurance are seeking treatment in private clinics.
To combat these challenges, Hirslanden is implementing cost-saving measures, particularly in administration, and focusing on increasing bed occupancy to improve performance. The hospital operator’s two owners, Remgro and MSC, have long-term strategic plans for Hirslanden but there is no clarity on specific expectations from the business.
As Hirslanden repositions itself for the future, it must address cost pressures and increase efficiencies while focusing on automation. Despite these challenges, Hirslanden remains one of the most profitable hospital operators in Switzerland but faces increasing competition and rising costs in the healthcare industry.