German medical practices experienced varied financial performance throughout 2023, according to data released by the Federal Statistical Office (Destatis). Average revenues across all practices reached €804,000, representing a 1.0% increase compared to 2022 (€796,000).
However, this revenue growth was accompanied by a significant rise in expenditures. Average operational costs per practice increased by 5.8% (€466,000 in 2022 to €493,000 in 2023), mirroring a broader increase in consumer prices which rose approximately 5.9% year-on-year.
Consequently, the average net income per medical practice declined by 6.3%, falling to €310,000 in 2023 from €331,000 the previous year. It’s important to note that these averages are heavily influenced by practices with particularly high earnings, expenditures and net income. The median figure reveals a different picture, with half of all medical practices reporting a net income of no more than €219,000.
The net income figure does not directly correlate to the individual income or profit of the physicians; rather, it represents the overall financial result of the practice, excluding factors such as practice acquisitions and insurance premiums for practice owners.
Dental practices demonstrated a more positive trend, achieving a substantial 13.2% increase in average revenue per practice (€894,000 in 2023, up from the previous year). While costs also rose considerably (+11.7%), the average net income per practice saw a robust increase of 16.9%, reaching €284,000.
Psychotherapeutic practices experienced a contrasting situation, with a 5.5% decrease in average revenue per practice, settling at €121,000. A significant reduction in average operational expenses (-12.5% to €35,000) mitigated the impact, leading to a slight decrease of 2.3% in the average net income, now standing at €86,000.
Staffing levels within these practices also presented varied trends. Psychotherapeutic practices saw an average decrease in personnel from 1.9 to 1.7 individuals. Likewise, the average number of personnel in general medical practices slightly decreased from 9.9 to 9.7. Only dental practices saw an increase in average personnel, rising from 10.0 to 10.1 individuals in 2023.
