Comparative Analysis of Financial Resilience between Profit-Oriented and Non-Profit Private Hospitals Following Health Financing Policy Reforms

Devid Leonard (STIKES Dharma Landbouw Padang, Indonesia)
Dartisah (Institut Kesehatan dan Teknologi Kartini Batam, Indonesia)

Journal of Health Service Administration and Hospital Management
Vol. 2 No. 2 (2026): July, 2026

Changes in health incentive policies, particularly adjustments to payment mechanisms and National Health Insurance (JKN) claims, require private hospitals to strengthen financial resilience while maintaining service quality. Differences in institutional orientation between non-profit and profit-oriented hospitals may influence their capacity to adapt to these policy changes. This study aimed to analyse differences in financial resilience between non-profit and profit-oriented private hospitals following changes in health incentive policies. A quantitative study with a composite cross-sectional design was conducted at Ibnu Sina Islamic Hospital Bukittinggi (non-profit) and Madina Hospital Bukittinggi (profit-oriented). A total of 48 monthly financial reports from January 2023 to December 2024 were analysed using total sampling. Financial statements served as the primary data source, while structured interviews with financial managers were conducted solely to verify financial policy implementation and support the interpretation of quantitative findings. Interview data were not included in the statistical analysis. Univariate analysis described financial indicators, and differences between hospitals were examined using the Independent Samples t-test with a 95% confidence level. The non-profit hospital demonstrated a significantly higher current ratio than the profit-oriented hospital (2.29 ± 0.38 vs. 1.81 ± 0.34; t(46)=4.61; p<0.001; Cohen's d=1.33). Conversely, the profit-oriented hospital achieved a significantly higher operating margin (13.1 ± 3.4% vs. 9.2 ± 2.7%; t(46)=4.40; p<0.001; Cohen's d=1.27). Composite financial resilience analysis also showed a significant difference between the two hospitals (p=0.002). Institutional orientation significantly influences financial resilience after changes in health incentive policies. Non-profit hospitals demonstrate stronger liquidity, whereas profit-oriented hospitals achieve higher operational profitability. Strengthening revenue diversification, cost efficiency, cash flow management, and adaptive financial strategies is essential to improve resilience under evolving health financing policies.