hospitals cannot be profitable, they are a social good, we fund them as a society

l live in Germany, a country with universal healthcare, so basically we do exactly that.
So perhaps "profitability" is the wrong word here.

But funds are still limited, and if the authorities determine that the money is used less efficient in one place than in another, they will consolidate and close the first place (that's happening for the hospital in the picture).

We have reached, or even passed the limits of that aproach, though.
Doctors and hospitals have to be realistically reachable for people and not a 100km away after all...