ZACKS·2026-02-20 18:10Core Viewpoint - Universal Health Services, Inc. (UHS) is expected to report its fourth-quarter 2025 results on February 25, 2026, with earnings estimated at $5.91 per share and revenues of $4.48 billion [1]. Earnings Estimates - The fourth-quarter earnings estimate has seen two upward revisions in the last 60 days, indicating a year-over-year increase of 20.1% [2]. - The Zacks Consensus Estimate for quarterly revenues suggests a year-over-year growth of 9% [2]. Full-Year Projections - For the full year 2025, the revenue estimate for UHS is $17.36 billion, reflecting a 9.7% year-over-year increase [5]. - The consensus estimate for full-year EPS is $21.80, indicating a growth of 31.3% year-over-year [5]. Recent Performance - UHS has consistently beaten consensus earnings estimates in the last four quarters, with an average surprise of 15.2% [5]. Earnings Prediction Model - The current Earnings ESP for UHS is 0.00%, and it holds a Zacks Rank of 2 (Buy), which does not strongly indicate an earnings beat this time [6]. Factors Influencing Q4 Results - UHS is projected to achieve 20.1% EPS growth and 9% revenue growth for Q4 2025, driven by strong performance in Acute Care and Behavioral segments [9]. - The Acute Care Hospital Services segment is expected to generate net revenues of $2.51 billion, representing an 8.3% year-over-year growth [10]. - The Behavioral Health Care Services segment is estimated to have net revenues of $1.97 billion, indicating a 10% increase from the prior year [11]. Operating Income Expectations - The operating income for Acute Care Hospital Services is projected to grow by 11.2% year-over-year, while the Behavioral Health Care Services segment is expected to see a 20.9% increase [11]. Cost Pressures - Rising total operating expenses are anticipated to increase by nearly 8%, primarily due to higher salaries, wages, and supply costs, which may impact margins and create uncertainty around earnings beats [12]. - Salaries, wages, and benefits are expected to rise by 8.4% year-over-year, while supply expenses are projected to increase by 6.7% [12]. Industry Performance Comparison - Other companies in the medical sector, such as HCA Healthcare, Ensign Group, and Encompass Health, have reported their fourth-quarter results, with varying degrees of success influenced by similar cost pressures [13][14][15].