Republicans should not squander it.
Republicans should not squander it.
O n July 5, federal funding for abortion providers like Planned Parenthood is set to resume. Trump’s spats with Senate Republicans over the last several months have delayed action to defund Planned Parenthood, and it is unclear if Republicans can or want to pass a third reconciliation bill to defund it before the midterms.
But new tax information about Planned Parenthood’s affiliates shows that abortion providers are facing tremendous financial vulnerability. The back of the nation’s largest abortion provider could be broken — and nationwide abortion numbers tangibly reduced — by decisive action this summer, before Republicans potentially lose one or both congressional majorities this November. Pro-lifers from the White House and Capitol Hill must work together to capitalize on this precious opportunity.
Planned Parenthood is not one organization, but rather a network of nonprofit corporations affiliated with Planned Parenthood Federation of America. Its brick-and-mortar clinics are owned and operated by approximately 50 regional affiliates. There are more than 1 million American abortions annually, and Planned Parenthood performs over 400,000 of them.
As we reach mid-2026, 2024 tax information for nonprofits across the country is now available. The IRS 990 forms for Planned Parenthood’s affiliates reveal deep, nationwide financial weakness that preceded its federal defunding last year. The numbers indicate that Planned Parenthood could face a genuine collapse if federal Medicaid funds are removed for a significant timeframe.
Here are some key takeaways from the financial reports:
- The big picture: Planned Parenthood is in financial trouble. In 2024, Planned Parenthood had $1.917 billion in expenses, and just short of $1.8 billion in revenue. They lost $117 million, with expenses exceeding revenue by 6.5 percent. Excluding its financially vibrant California affiliates (more about that in a minute), Planned Parenthood’s expenses exceeded revenues by more than 10 percent. Planned Parenthood estimated that it was receiving $700 million in federal Medicaid revenue each year before its defunding, over one third of its revenue.
Planned Parenthood was able to survive its first year of the One Big Beautiful Bill Act (OBBBA) defunding by shortening the timeframe from a year to several months with various lawsuits, and by getting handouts from multiple blue state governments. Nonetheless, it still had to close 51 locations (out of approximately 579) over the last year. PP cannot sustain losing out on federal money over a longer term without significant downsizing.
- California is Planned Parenthood’s stronghold, but the network needs federal dollars for it to stay that way. It makes sense that Planned Parenthood would have more clinics and more revenue in America’s most populous state, but Planned Parenthood’s power is disproportionately centered in California. There are seven California-based affiliates, which collectively received $638.1 million in gross revenue in 2024 — almost a third of Planned Parenthood’s entire national revenues. While Planned Parenthood is losing money nationally, its California clinics are thriving.
A staggering $515.7 million of the California clinics’ revenue comes from “program services,” or payment for services provided. Most of this is in the form of Medicaid (in California, Medi-Cal) reimbursements. Nationally, program services represent 58 percent of Planned Parenthood’s revenues; in California, it’s 80 percent. This is because of how lavishly California’s Medi-Cal program subsidizes services that Planned Parenthood provides. While Planned Parenthood benefits from California’s Medi-Cal generosity (and $235 million in bailout money after last year’s federal defunding), the network’s dependence on it presents a threat. Such funding commitments could become unsustainable over the long term without any federal dollars to support it. One wonders if a state with structural budget deficits can sustain giving one favored entity hundreds of millions of bailout dollars every year for the indefinite future.
- Planned Parenthood is struggling in non-California blue states. Outside of California and New Jersey (where donations are anomalously high), the landscape for blue-state Planned Parenthood affiliates is bleak. Inflation, rising health-care costs, and low Medicaid reimbursements have put Planned Parenthood on shaky ground, even on liberal soil.
Planned Parenthood’s affiliates in New York have been wracked by scandal and financial troubles. The five New York–based affiliates lost a combined $31.6 million in 2024, with $159.2 million in revenue and $190.8 million in expenses. The losses chiefly derived from Planned Parenthood of Greater New York, which lost $27.4 million over 2024. In October 2025, this affiliate sold its flagship clinic in Manhattan for $38.1 million. Planned Parenthood blamed the OBBBA for this decision, but its financial struggles long preceded its federal defunding. Governor Kathy Hochul and New York Democrats responded to the OBBBA through funding in the 2026–27 budget to offset $35 million in lost federal funding. Nonetheless, as in California, one wonders if this kind of bailout is sustainable over the long term.
This story repeats in blue state after blue state. In Illinois, Planned Parenthood lost $11.6 million. In the affiliate covering Colorado, New Mexico, and Wyoming, the company lost $10.5 million. Planned Parenthood’s Minnesota clinics (combined with North and South Dakota) lost $12.5 million. Its two New England affiliates lost a combined $10.2 million. - Planned Parenthood is getting crushed everywhere else. With several states outlawing or restricting abortion, and with the Supreme Court clearing the path for states to exclude abortion providers from Medicaid programs, Planned Parenthood faces deep challenges in red and purple states as well. Planned Parenthood is overseeing a managed collapse of several of its red state affiliates: merging some affiliates into others (for example, its Indiana and Kentucky affiliate was absorbed by an affiliate based in Washington State), operating at massive losses, and selling off assets. Planned Parenthood’s Texas and Louisiana affiliates lost $16.7 million in 2024, after losing $27.1 million the year before. In 2025, it closed its Houston mega-clinic, the largest abortion facility in the Western Hemisphere. Planned Parenthood lost $7 million in Florida, $12.4 million in Ohio, $4.3 million in Utah, and $5.9 million in Pennsylvania in 2024.
Without funding, Planned Parenthood will need to start selling off physical properties, as happened this past year. While National Review’s Kathryn Jean Lopez rightly points out that abortion providers don’t necessarily need brick-and-mortar clinics, and that increasing numbers of abortions occur through telemedicine prescriptions of mifepristone sent directly to women’s mailboxes, roughly three-fourths of all abortions still happen within physical clinics, and 37 percent of abortions are still performed surgically. Closing physical sites cannot help but impact total abortion numbers.
Planned Parenthood is weak, and it could be massively downsized by aggressive action in Congress this summer. Republicans are likely to lose control of at least one house of Congress and might not regain a “trifecta” for years. The Senate GOP did not push back last year when the Senate parliamentarian ruled that the OBBBA could only contain one year of abortion provider defunding, likely out of deference to pro-abortion Lisa Murkowski, the necessary 50th vote. But if all 51 pro-life Republicans stand firm, they could press the issue to obtain a longer-term cut — possibly the ten-year cut originally proposed in the OBBBA. Planned Parenthood cannot sustain a decade of defunding without massive downsizing. If Republican senators actually want to tangibly reduce abortion numbers while breaking the back of a critically powerful left-wing interest group, they must act now. To do otherwise would squander a precious opportunity.