【Aging, safety net and fiscal crisis in Japan】No.226: Profit margins of medical corporations that run clinics in metropolitan areas

In Column No. 216, I summarized the financial data on medical corporations that run general clinics and dental clinics in seven local prefectures (Hokkaido, Kochi, Kyoto, Hyogo, Gunma, Tottori, and Nara). One specific finding was that the average operating profit margin of the newest group is remarkably high when they are divided into four groups according to the timing of medical corporations' registrations.

Following this, I compiled the data of medical corporations that operate general clinics and dental clinics in metropolitan areas such as Tokyo, Osaka, and Aichi. Figures 1 and 2 compare the data of the seven local prefectures and that of the metropolitan areas. The average operating profit margin of the newest group in the metropolitan areas was also significantly higher. On the contrary, the medical corporations of the older groups intentionally reduce their profit margins by reversing accumulated surpluses in the form of doctors' salaries.

Figure 1: Profit margins of medical corporations that run general clinics

Figure 2: Profit margins of medical corporations that run dental clinics