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HOSPITAL FINANCIAL INTELLIGENCE
Puerto Rico Hospital Liquidity and Revenue Cycle Position
Published July 2026
Executive Summary
Puerto Rico hospitals reported significant growth in cash and receivables from 2011 through 2024, while accounts payable declined modestly. Viewed together, these indicators provide a broader picture of liquidity, collection exposure, and short-term financial obligations across the hospital sector.
01
Reported cash on hand increased by approximately 170.1%, reaching about $485.7 million.
1. Puerto Rico Hospital Cash on Hand
Reported cash on hand increased by 170.1% over the period. In the most recent year, Puerto Rico hospitals reported approximately $485.7M in cash on hand. This measure provides a broad liquidity signal and helps illustrate how hospitals’ cash position evolved before and after the pandemic-era volatility. The amounts included are limited to reported figures in the General Fund column in the cost report of each hospital, excluding special purpose funds, endowments, or plant funds (the General Fund Column is to be used by hospitals which do not maintain fund-type accounting records, other additional columns are available in the cost report worksheets for those which do use it). These amounts represent cash on deposit in banks and immediately available for use in financing activities, amounts on hand for minor disbursements and amounts invested in savings accounts and certificates of deposit.
2. Accounts Receivable, Allowance, and Net Accounts Receivable
Gross accounts receivable increased by 45.1%, allowance increased by 67.1%, and net accounts receivable increased by 29.7%. In the most recent year, hospitals reported approximately $1,415.9M in gross receivables, $670.9M in allowance for doubtful accounts, and $744.9M in net accounts receivable. Viewing the three together helps distinguish reported receivables from the portion hospitals do not expect to collect.
3. Puerto Rico Hospital Accounts Payable
Reported accounts payable declined by 12.1% over the period. In the most recent year, hospitals reported approximately $445.9M in accounts payable. This metric helps frame short-term obligations and can be interpreted alongside liquidity and receivables trends.
Higher reported cash balances suggest improved aggregate liquidity, but the growth in receivables and doubtful-account allowances indicates continued collection risk. Liquidity should therefore not be evaluated through cash alone. Cash, receivables, allowances, and payables must be examined together to understand the sector’s actual short-term financial position.
02
Gross accounts receivable increased by approximately 45.1%.
03
Net accounts receivable increased by approximately 29.7%.
04
Accounts payable declined by approximately 12.1%, ending near $445.9 million.