Four Scripps Health hospitals earned “A” grades in Leapfrog’s fall 2025 Hospital Safety Grades, placing the system among San Diego County’s stronger safety performers at a time when California hospitals are showing uneven financial recovery.
Scripps Green Hospital, Scripps Memorial Hospital Encinitas, Scripps Mercy Hospital San Diego, and Scripps Mercy Hospital Chula Vista received “A” grades from The Leapfrog Group, according to Scripps Health. NBC 7 San Diego reported that Scripps Memorial Hospital La Jolla received a “B.”
Physicians should view these ratings primarily as indicators of patient safety. They do not represent a comprehensive evaluation of specialty expertise, clinical quality, patient access, throughput, or the complexity of cases handled by the facility. Leapfrog says its Hospital Safety Grade assigns “A,” “B,” “C,” “D” or “F” grades to general hospitals based on their ability to protect patients from preventable medical errors, accidents, injuries, and infections.
The Scripps results were part of a strong regional showing. NBC 7 reported that across the San Diego area, 12 hospitals earned “A” grades, six received “B” grades, and one received a “C.” California ranked sixth nationally, tied with Rhode Island, with nearly 45% of the state’s 286 graded hospitals receiving an “A.”
The financial context is more nuanced. Scripps’ systemwide financial performance improved in fiscal 2024, and Fitch Ratings’ 2025 rating update pointed to a second consecutive year of positive operating performance. Fitch reported that Scripps generated approximately $155 million in operating income in fiscal 2025, with an operating EBITDA margin of about 8%. Becker’s Hospital Review previously reported that Scripps’ fiscal 2024 operating income compared with a $36.5 million operating loss the prior year, a $242.7 million turnaround, and that revenue rose 14.1% to $4.9 billion.
That improvement does not erase the broader statewide pressure. A California Health Care Foundation analysis of HCAI data found that California hospitals reported $11.3 billion in net income in 2024. Still, performance varied widely: in the fourth quarter, the bottom quartile of hospitals had a net income margin of -10 %, compared with +12% for the top quartile. HCAI’s hospital financial series tracks operating margins, revenue, expenses, uncompensated care, bed counts, discharges, and staffing hours at the facility level.
The takeaway is not that Scripps’ safety performance is under financial threat. Instead, as California hospitals navigate post-pandemic operational strains, stakeholders should track metrics such as patient volume, staffing density, infection control measures, and the robustness of quality systems.