Gross profit per doctor hour: which treatments really pay.

Why revenue misleads

Revenue tells you how much money comes in. It does not tell you how much is left after materials, or how much of the doctor’s time it took to earn it. A €450 treatment that takes 45 minutes can earn less per hour than a €320 treatment that takes 20.

Because the doctor’s calendar is usually the bottleneck, every hour spent on a weaker treatment is an hour not available for a stronger one. That makes gross profit per doctor hour the most useful single figure for deciding what to promote, package or reprice.

The formula

1. Gross profit per treatment = price − variable costs (products, consumables, device wear per use, payment and booking fees).
2. Treatments per doctor hour = 60 ÷ doctor minutes per treatment. Count only the doctor’s time – not the time an assistant spends preparing or following up.
3. Gross profit per doctor hour = gross profit per treatment × treatments per doctor hour.

Sample calculation: three self-pay treatments

Gross profit is the price minus variable costs: €95 for the injectable, €60 for the laser and €15 for the skin analysis.

All figures in euros. The logic works in any currency.

The laser treatment has the highest price but earns less per hour than the injectable. The skin analysis on its own stays well below the break-even line. That does not automatically mean dropping it: if it reliably leads to treatments, it belongs in a package or should be credited against the follow-up treatment.

What to do with the result

• Promote treatments well above the break-even line – in your calendar, on your website and in consultations.
• Repackage treatments below it that lead to further treatments, for example a consultation credited against the first session.
• Reprice or shorten treatments that take a lot of doctor time but earn little – or delegate parts of them where your regulations allow.
• Track it monthly. Gross profit per doctor hour belongs in your monthly practice cockpit.