Mayo Clinic finished 2024 with a record operating income.

According to annual financial results released this week, the Rochester-based health system had an operating income of $1.293 billion last year. That surpassed 2023’s income by nearly 20% and set a new record for Mayo.

Revenue, meanwhile, climbed to $19.8 billion, marking a 10% year over year increase. Expenses also increased, hitting $18.5 billion. Unsurprisingly, staff salaries and benefits remain the biggest chunk of expenses for Mayo. In 2024, the system paid out $10.5 billion in that area.

“Our staff are our greatest strength, and we invested significantly in them in 2024 and took intentional steps to demonstrate how much we value their commitment,” said Mayo chief administrative officer Christina Zorn in a news release issued Wednesday.

Mayo remains the largest health system in Minnesota, and the largest employer in the state. Today, the system employs around 57,000 people in Minnesota. Including Mayo’s operations in other states, the nonprofit had nearly 83,000 employees.

The post-Covid years have been a bumpy ride for several health systems in the state, with several grappling with financial losses in the years following the onset of the pandemic. But Mayo never recorded a loss throughout the pandemic, though its operating income did take a hit.

For its part, Mayo evidently remains in expansion mode. In addition to its ongoing $5 billion redesign program for its Rochester campus, the health system is looking to beef up its presence in Arizona. Earlier this week, Mayo unveiled plans to spend $1.9 billion on its campus in the southwestern state. Plans call for increasing clinical space on the campus by about 60%.

The Arizona upgrades are part of Mayo’s wider “Bold. Forward. Unbound.” plan, which also calls for investments in Mayo’s hospital in Jacksonville, Florida. The overarching idea is to “achieve seamless integration of physical spaces and digital capabilities to meet patients’ unmet and evolving needs across all sites,” according to Mayo.

Mayo’s financial performance is likely to be a boon for the city of Rochester, which itself has been seeing notable population growth within recent years.