Group 1 - Universal Health Services, Inc. (UHS) will have its Executive Vice President and Chief Financial Officer, Steve Filton, participate in a fireside chat at the KeyBanc Capital Markets Virtual Healthcare Forum on March 18, 2025 [1] - A live webcast of the presentation will be available on the company's website, with a replay accessible for 90 days after the conference for those unable to attend live [2] - UHS is one of the largest providers of hospital and healthcare services in the United States, operating acute care hospitals, behavioral health facilities, outpatient facilities, and ambulatory care access points across the U.S., Puerto Rico, and the United Kingdom [3]

Financial Data and Key Metrics Changes - The company reported net income attributable to Universal Health Services per diluted share of $4.96 for Q4 2024, with adjusted net income per diluted share at $4.92 [6] - Adjusted admissions to acute care hospitals increased by 2.2% year-over-year, while same facility net revenues in the acute care segment rose by 8.7%, driven by a 5.3% increase in net revenue per adjusted admission [6] - Operating expenses were well managed, with premium pay declining from $153 million in Q1 2022 to $60 million in Q4 2024, consistent with the previous two quarters [7] - Cash generated from operating activities was $658 million in Q4 2024, compared to $452 million in Q4 2023, and $2.067 billion for the full year 2024, up from $1.268 billion in 2023 [9] Business Line Data and Key Metrics Changes - Same facility revenues at behavioral health hospitals increased by 11.1%, primarily due to an 8.7% increase in revenue per adjusted patient day [8] - The company opened West Henderson Hospital in Las Vegas in late 2024 and plans to open Cedar Hill Medical Center in Washington DC soon, expecting these facilities to be EBITDA positive in 2025 [10] Market Data and Key Metrics Changes - The company experienced a $35 million increase in reserves for self-insured professional and general liability claims due to unfavorable trends [9] - The company had $1.17 billion of available borrowing capacity under its $1.3 billion revolving credit facility as of December 31, 2024 [12] Company Strategy and Development Direction - The company aims for mid-single-digit EBITDA growth in 2025, with expectations of stable salary and wage trends [13] - There is a focus on expanding outpatient presence and broadening the continuum of care, with significant investments in technology for behavioral hospitals [14] - The company acknowledges uncertainty in the political environment regarding Medicaid reimbursement, which could impact future forecasts [15] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in solid demand for behavioral services, forecasting same facility adjusted patient day growth of 2.5% to 3% in 2025 [14] - The company anticipates a more stable operating environment in 2025, with reduced pressures on operating expenses compared to previous years [21] - Management noted that the current political climate has created uncertainty, particularly regarding Medicaid reimbursement [15] Other Important Information - The company repurchased $599 million of its own shares in 2024, representing approximately 32% of shares outstanding since January 1, 2019 [11] - The company expects total consolidated Medicaid supplemental payments to decrease slightly compared to 2024 [13] Q&A Session Summary Question: What is driving the higher underlying growth in 2025 despite state supplemental payments forecasted to be down year over year? - Management indicated that core EBITDA growth is driven by solid volume growth, robust pricing, and effective expense control [20] Question: Why is the guidance range wider than usual? - Management acknowledged that items beyond their control, such as government reimbursement changes, contributed to the wider range [24] Question: What is the main reason for the decline in DPP payments? - The decline is primarily due to recognizing DPP payments related to prior periods in 2024 [29] Question: How adequate are the malpractice reserves? - Management stated that they have moved towards the higher end of the range for reserves, hoping for conservatism built into those reserves [32] Question: What are the drivers for the acceleration in behavioral same store patient days? - Management noted that the decline in outpatient day volumes in December was temporary and expects growth to rebound [39] Question: What is the expected impact of the flu season on Q1? - Management indicated that while the flu season has been busy, it typically does not significantly impact earnings [131] Question: What is the targeted leverage ratio? - Management stated that they historically operate at a leverage level in the high twos, approaching three [60] Question: What is the expected contribution from DPP programs in guidance? - Management estimated that about half of the DPP money is in the forecast, with some programs still pending approval [95]

Financial Performance - Reported net income attributable to Universal Health Services (UHS) for Q4 2024 was $332.4 million, or $4.96 per diluted share, a significant increase from $216.4 million, or $3.16 per diluted share in Q4 2023, representing a 53.8% increase[1]. - For the full year 2024, reported net income attributable to UHS was $1.142 billion, or $16.82 per diluted share, compared to $717.8 million, or $10.23 per diluted share in 2023, marking a 59.0% increase[6]. - Net income attributable to UHS for Q4 2024 was $332.397 million, compared to $216.378 million in Q4 2023, marking a year-over-year increase of 53.8%[35]. - For the twelve months ended December 31, 2024, net income attributable to UHS reached $1.142 billion, up from $719.307 million in 2023, representing a growth of 58.7%[35]. - Adjusted net income attributable to UHS for the same period was $1,128,135, up 52.7% from $739,365 in 2023[43]. Revenue Growth - Net revenues for Q4 2024 increased by 11.1% to $4.114 billion, compared to $3.704 billion in Q4 2023[1]. - Full year net revenues for 2024 rose by 10.8% to $15.828 billion, up from $14.282 billion in 2023[6]. - Total revenues for UHS in the fourth quarter of 2024 reached $4,113,722, a 11.1% increase compared to $3,703,546 in the same quarter of 2023[49]. - For the twelve months ended December 31, 2024, net revenues for All Acute Care Hospital Services reached $8,922.3 million, a 10.4% increase from $8,081.4 million in 2023[52]. - Net revenues for the three months ended December 31, 2024, increased to $1,792.7 million, a 10.9% rise from $1,615.5 million in the same period of 2023[56]. EBITDA and Cash Flow - Adjusted EBITDA net of noncontrolling interests for Q4 2024 was $614.6 million, up from $473.4 million in Q4 2023, reflecting a 29.8% increase[5]. - EBITDA for the year ended December 31, 2024, was $2,247,864, reflecting a 31.1% increase from $1,713,629 in 2023[49]. - Net cash provided by operating activities for the full year 2024 was $2.067 billion, a substantial increase of $799 million from $1.268 billion in 2023[15]. Shareholder Returns - The company repurchased approximately 1.25 million shares at a cost of $249.6 million during Q4 2024, and approximately 2.98 million shares for $598.5 million throughout the full year 2024[19]. Forecasts and Projections - The 2025 forecasted range for net revenues is between $17.020 billion and $17.364 billion, with adjusted EBITDA net of noncontrolling interests projected between $2.357 billion and $2.484 billion[23]. - The forecasted EPS-diluted for 2025 is expected to be between $18.45 and $19.95 per share[23]. - Estimated net revenues for 2025 are projected to be between $17.020 billion and $17.364 billion, reflecting an increase of 7.5% to 9.7% compared to 2024's net revenues of $15.828 billion[30]. - Adjusted EBITDA net of NCI for 2025 is expected to range from $2.357 billion to $2.484 billion, representing a growth of 4.9% to 10.6% over the 2024 figure of $2.246 billion[30]. - Diluted EPS is forecasted to be between $18.45 and $19.95, indicating an increase of 11.1% to 20.1% from the adjusted net income of $16.61 per diluted share for 2024[30]. Operational Metrics - Revenue per adjusted admission for acute care services increased by 5.3% in the fourth quarter of 2024 compared to the same period in 2023[49]. - Operating expenses for Same Facility Acute Care Hospital Services totaled $1,976.9 million, representing 89.4% of net revenues, compared to 92.8% in the prior year[51]. - Income from operations for Same Facility Acute Care Hospital Services increased to $233.9 million, or 10.6% of net revenues, up from $147.3 million, or 7.2% of net revenues, in the same quarter last year[51]. - The number of hospitals owned and leased increased to 28, a 3.7% rise from 27 in the previous year[59]. - Average licensed beds in acute care facilities increased to 6,707, a 0.5% increase from 6,674 in the prior year[59]. Challenges and Risks - A significant portion of revenues is derived from government programs, which are subject to regulatory changes that could materially impact future results[32]. - The company faces potential adverse effects from increased interest rates, which have raised interest expenses and reduced free cash flow[32]. - Interest expense for the twelve months ended December 31, 2024, was $186.109 million, a decrease from $206.674 million in 2023, indicating a reduction of 9.9%[35].

Financial Performance - Universal Health Services (UHS) reported revenue of $4.11 billion for the quarter ended December 2024, reflecting an 11.1% increase year-over-year [1] - Earnings per share (EPS) for the quarter was $4.92, up from $3.13 in the same quarter last year [1] - The reported revenue exceeded the Zacks Consensus Estimate of $3.99 billion, resulting in a surprise of +2.99% [1] - The company delivered an EPS surprise of +17.42%, with the consensus EPS estimate being $4.19 [1] Key Metrics - Behavioral health services generated net revenues of $1.79 billion, surpassing the average estimate of $1.74 billion by three analysts, representing an 11% increase year-over-year [4] - Acute care hospital services reported net revenues of $2.32 billion, compared to the average estimate of $2.26 billion, also reflecting an 11.1% year-over-year change [4] - Operating income for Behavioral Health Care Services was $361.04 million, exceeding the two-analyst average estimate of $329.70 million [4] - Operating income for Acute Care Hospital Services was $218.84 million, compared to the estimated $198.43 million by two analysts [4] Stock Performance - Shares of Universal Health Services have returned +0.2% over the past month, while the Zacks S&P 500 composite experienced a -2.3% change [3] - The stock currently holds a Zacks Rank 4 (Sell), indicating potential underperformance relative to the broader market in the near term [3]

Group 1 - Universal Health Services (UHS) reported quarterly earnings of $4.92 per share, exceeding the Zacks Consensus Estimate of $4.19 per share, and up from $3.13 per share a year ago, representing an earnings surprise of 17.42% [1] - The company posted revenues of $4.11 billion for the quarter ended December 2024, surpassing the Zacks Consensus Estimate by 2.99%, compared to year-ago revenues of $3.7 billion [2] - UHS has outperformed the S&P 500 with a 5.3% increase in shares since the beginning of the year, while the S&P 500 gained 1.3% [3] Group 2 - The current consensus EPS estimate for the upcoming quarter is $4.11 on revenues of $4.08 billion, and for the current fiscal year, it is $17.69 on revenues of $16.64 billion [7] - The Zacks Industry Rank for Medical - Hospital is currently in the bottom 33% of over 250 Zacks industries, indicating potential underperformance compared to higher-ranked industries [8]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K (MARK ONE) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2024 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File No. 1-10765 UNIVERSAL HEALTH SERVICES, INC. (Exact name of registrant as specified in its charter) Delaware 23-2077891 (State or other jurisdict ...

Consolidated Financial Results - The reported net income attributable to Universal Health Services, Inc. (UHS) for Q4 2024 was $332.4 million, or $4.96 per diluted share, compared to $216.4 million, or $3.16 per diluted share in Q4 2023, reflecting a significant increase [1][6] - Net revenues for Q4 2024 increased by 11.1% to $4.114 billion, up from $3.704 billion in Q4 2023 [1][6] - For the full year 2024, reported net income attributable to UHS was $1.142 billion, or $16.82 per diluted share, compared to $717.8 million, or $10.23 per diluted share in 2023 [6][10] Adjusted Financial Metrics - Adjusted net income attributable to UHS for Q4 2024 was $329.9 million, or $4.92 per diluted share, compared to $214.9 million, or $3.13 per diluted share in Q4 2023 [2][7] - For the full year 2024, adjusted net income attributable to UHS was $1.128 billion, or $16.61 per diluted share, compared to $739.4 million, or $10.54 per diluted share in 2023 [7][10] Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) - EBITDA net of noncontrolling interests for Q4 2024 was $620.2 million, compared to $476.9 million in Q4 2023 [5][10] - Adjusted EBITDA net of noncontrolling interests for Q4 2024 was $614.6 million, up from $473.4 million in Q4 2023 [5][10] - For the full year 2024, EBITDA net of noncontrolling interests was $2.248 billion, compared to $1.714 billion in 2023 [10][10] Acute Care Services Performance - In Q4 2024, adjusted admissions at acute care hospitals increased by 2.2%, while adjusted patient days increased by 0.1% compared to Q4 2023 [11][12] - Net revenue per adjusted admission increased by 5.3%, and net revenue per adjusted patient day increased by 7.5% in Q4 2024 compared to Q4 2023 [11][12] - For the full year 2024, net revenues from acute care services increased by 8.5% compared to 2023 [12] Behavioral Health Care Services Performance - In Q4 2024, adjusted admissions at behavioral health care facilities increased by 2.0%, and adjusted patient days increased by 1.6% compared to Q4 2023 [13][14] - Net revenue per adjusted admission increased by 8.7%, and net revenue per adjusted patient day increased by 9.1% in Q4 2024 compared to Q4 2023 [13][14] - For the full year 2024, net revenues from behavioral health care services increased by 10.7% compared to 2023 [14] Cash Flow and Liquidity - Net cash provided by operating activities for the full year 2024 was $2.067 billion, compared to $1.268 billion in 2023, reflecting a $799 million increase [16] - As of December 31, 2024, UHS had $1.17 billion of aggregate available borrowing capacity under its revolving credit facility [17] Stock Repurchase Program - During Q4 2024, UHS repurchased approximately 1.25 million shares at an aggregate cost of approximately $249.6 million [19] - For the full year 2024, UHS repurchased approximately 2.98 million shares at an aggregate cost of approximately $598.5 million [19][20] 2025 Operating Results Forecast - UHS forecasts net revenues for 2025 to be between $17.020 billion and $17.364 billion, representing an increase of 7.5% to 9.7% over 2024 [24][26] - Adjusted EBITDA net of noncontrolling interests is estimated to be between $2.357 billion and $2.484 billion, reflecting an increase of 4.9% to 10.6% over 2024 [24][26] - The forecasted EPS-diluted range for 2025 is estimated to be between $18.45 and $19.95, representing an increase of 11.1% to 20.1% over 2024 [24][26]

Core Points - Universal Health Services, Inc. (UHS) is scheduled to have presentations at multiple healthcare conferences in March 2025 [1][2] - The company operates a wide range of healthcare facilities, including acute care hospitals and behavioral health facilities, across the United States, Puerto Rico, and the United Kingdom [3] Conference Details - Steve Filton, Executive Vice President and CFO, will present at the TD Cowen 45th Annual Health Care Conference on March 3, 2025, at 9:10 am (ET) in Boston, MA [1] - Following that, he will present at the Leerink Partners 2025 Global Healthcare Conference on March 10, 2025, at 1:00 pm (ET) in Miami Beach, FL [1] - Additionally, there will be a presentation at the Barclays 27th Annual Global Healthcare Conference on March 11, 2025, at 8:50 am (ET) in Miami Beach, FL [2] Company Overview - UHS is one of the largest providers of hospital and healthcare services in the nation [3] - The company operates various types of facilities, including outpatient and ambulatory care access points [3]

VANCOUVER, British Columbia, Nov. 26, 2024 (GLOBE NEWSWIRE) -- Among a group of 31 high-income countries that have universally accessible health care, Canada has among the lowest availability of doctors, hospital beds, and most medical technologies—and some of the longest wait times, finds a new study released today by the Fraser Institute, an independent, non-partisan Canadian public policy think-tank. "There is a clear imbalance between the high cost of Canada's health-care system and the value Canadians ...

Facilities and Operations - As of September 30, 2024, the company owned and/or operated 361 inpatient facilities and 49 outpatient facilities across 39 states, Washington, D.C., the U.K., and Puerto Rico[68]. - Average daily census for acute care facilities increased to 4,277.4 for the three-month period ended September 30, 2024, compared to 4,177.7 for the same period in 2023[85]. - Average daily census for behavioral health care services was 17,590.7 for the three months ended September 30, 2024, compared to 17,240.3 in the same period of 2023[97]. - Total admissions for acute care facilities increased to 81,731 for the three-month period ended September 30, 2024, compared to 80,074 for the same period in 2023[85]. - The occupancy rate for the facilities was 73% for the nine-month period ended September 30, 2024, compared to 72% in the prior year[101]. Financial Performance - Net revenues increased by 11.2%, or $400 million, to $3.963 billion for the three-month period ended September 30, 2024, compared to $3.563 billion in the same period of 2023[80]. - Income before income taxes increased by $121 million, or 55%, to $342 million during the three-month period ended September 30, 2024, compared to $221 million in the third quarter of 2023[80]. - Net income attributable to UHS increased by $92 million, or 55%, to $259 million during the three-month period ended September 30, 2024, compared to $167 million in the same period of 2023[80]. - Net revenues for the nine months ended September 30, 2024, are $9,384,032 thousand, compared to $11,454,260 thousand for the twelve months ended December 31, 2023, indicating a decline[180]. - Net income for the nine months ended September 30, 2024, is $689,397 thousand, an increase from $556,423 thousand for the twelve months ended December 31, 2023[180]. Revenue Sources - Net revenues from acute care hospitals and outpatient facilities accounted for 57% of consolidated net revenues for the three-month periods ended September 30, 2024 and 2023[69]. - Behavioral health care facilities in the U.K. generated net revenues of approximately $230 million for the three-month period ended September 30, 2024, compared to $203 million for the same period in 2023[69]. - The company experienced a $975 million, or 9.4%, increase in net revenues from acute care hospital services and behavioral health services on a same facility basis[82]. - For the nine-month period ended September 30, 2024, net revenues from acute care hospital services increased by $610 million, or 10.2%, due to a $497 million increase in Same Facility revenues[92]. - Net revenues from behavioral health services increased by $527 million, or 11.5%, during the nine-month period ended September 30, 2024, compared to the same period in 2023[105]. Expenses and Costs - The company experienced significant increases in hospital-based physician-related expenses, particularly in emergency room care and anesthesiology, which could adversely impact future results[72]. - Salaries, wages, and benefits accounted for 48.3% of net revenues in Q3 2024, compared to 50.1% in Q3 2023[80]. - Other operating expenses increased to $1.090 billion, representing 27.5% of net revenues in Q3 2024, up from 26.4% in Q3 2023[80]. - Salaries, wages, and benefits expense increased by $39 million, or 4.6%, but as a percentage of net revenues, it decreased to 41.6% in Q3 2024 from 43.5% in Q3 2023[87]. - Other operating expenses increased by $102 million, or 17.2%, in the third quarter of 2024, attributed to a $55 million increase related to acute care hospital services and a $47 million increase in provider tax assessments[92]. Regulatory and Legislative Risks - The company faces risks related to potential changes in healthcare legislation that could impact reimbursement levels and operational costs[74]. - The Budget Control Act of 2011 has resulted in Medicare payment reductions of up to 2% per fiscal year, extended through 2032, impacting the company's financial outlook[75]. - The company is particularly sensitive to potential reductions in Medicaid and other state-based revenue programs, receiving approximately $100 million annually from multiple states[75]. - The Managed Care Rule could have a material adverse impact on the company's future results of operations if implemented as proposed[150]. - The Medicaid DSH payments are scheduled to be reduced by $8 billion annually from FFY 2025 through FFY 2027, with delays in implementation due to recent legislation[153]. Cash Flow and Financing - Net cash provided by operating activities increased by $593 million to $1.409 billion for the nine-month period ended September 30, 2024, compared to $815 million for the same period in 2023[166]. - The company spent $718 million on net cash used in financing activities during the first nine months of 2024, compared to $312 million in the same period in 2023[169]. - The company generated $2.210 billion from additional borrowings during the first nine months of 2024, including $1.200 billion from a new tranche A term loan facility[169]. - The company incurred a pre-tax charge of approximately $6 million related to the costs of extinguishing debt during the three and nine-month periods ended September 30, 2024[163]. - The company anticipates sufficient capital resources to fund its operating, investing, and financing requirements for the next twelve months[174]. Insurance and Liabilities - As of September 30, 2024, the company has approximately $221 million in aggregate insurance coverage remaining under commercial policies for matters applicable to the 2020 policy year[74]. - Total liabilities as of September 30, 2024, are $7,333,860 thousand, a slight decrease from $7,515,013 thousand on December 31, 2023[179]. - Off-balance sheet arrangements as of September 30, 2024, total $154 million, including $130 million related to self-insurance programs[183]. - The company has goodwill of $3,262 million as of September 30, 2024, compared to $3,267 million on December 31, 2023[179]. - The carrying value of the company's debt was approximately $4.7 billion as of September 30, 2024, down from $4.9 billion at December 31, 2023[174].