Universal Health Services Q3 2024 10-Q Filed

Ticker: UHS · Form: 10-Q · Filed: Nov 8, 2024 · CIK: 352915

Sentiment: neutral

Topics: healthcare, 10-Q, financials, hospitals

TL;DR

UHS 10-Q filed for Q3 2024. Financials look solid, keep an eye on behavioral health segment.

AI Summary

Universal Health Services, Inc. (UHS) filed its 10-Q for the period ending September 30, 2024. The company reported on its financial performance, including revenue from its Behavioral Health Services and Acute Care Hospitals. Key financial data and operational highlights for the third quarter and year-to-date periods are detailed within the filing.

Why It Matters

This filing provides investors and analysts with the latest financial performance data for Universal Health Services, a major healthcare provider, impacting its stock valuation and future investment decisions.

Risk Assessment

Risk Level: medium — The filing details financial performance and operational data for a large healthcare company, which inherently carries medium risk due to industry regulations, patient care, and reimbursement complexities.

Key Numbers

Key Players & Entities

FAQ

What were the key revenue drivers for Universal Health Services in the third quarter of 2024?

The filing details revenue from segments like Behavioral Health Services and Acute Care Hospitals, with specific mentions of "OtherPatientRevenueAndAdjustmentsNetMember" and "UKRevenueMember" for the periods ending September 30, 2024.

Did Universal Health Services experience any significant subsequent events after the reporting period?

Yes, the filing mentions a subsequent event on October 10, 2024, related to "ThePavilionBehavioralHealthSystemMember" and "PunitiveDamagesMember."

What is the fiscal year end for Universal Health Services?

The fiscal year end for Universal Health Services is December 31.

What is the SIC code for Universal Health Services?

The Standard Industrial Classification (SIC) code for Universal Health Services is 8062, which corresponds to HOSPITALS, NEC.

What types of stock does Universal Health Services have?

The filing references "CommonStockMember" and "CommonClassBMember" in relation to the period ending September 30, 2024.

Filing Stats: 4,472 words · 18 min read · ~15 pages · Grade level 18.5 · Accepted 2024-11-08 16:15:28

Key Financial Figures

Filing Documents

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION

Financial Statements (unaudited)

Item 1. Financial Statements (unaudited) Condensed Consolidated Statements of Income – Three and Nine Months Ended September 30, 2024 and 2023 3 Condensed Consolidated Statements of Comprehensive Income – Three and Nine Months Ended September 30, 2024 and 2023 4 Condensed Consolidated Balance Sheets – September 30, 2024 and December 31, 2023 5 Condensed Consolidated Statements of Changes in Equity – Three and Nine Months Ended September 30, 2024 and 2023 6 Condensed Consolidated Statements of Cash Flows - Nine Months Ended September 30, 2024 and 2023 8 Notes to Condensed Consolidated Financial Statements 9

Management's Discussion and Analysis of Financial Condition and Results of Operations

Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations 27

Quantitative and Qualitative Disclosures About Market Risk

Item 3. Quantitative and Qualitative Disclosures About Market Risk 63

Controls and Procedures

Item 4. Controls and Procedures 63

Other Information

PART II. Other Information

Legal Proceedings

Item 1. Legal Proceedings 64

Risk Factors

Item 1A. Risk Factors 64

Unregistered Sales of Equity Securities and Use of Proceeds

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 65

Other Information

Item 5. Other Information 66

Exhibits

Item 6. Exhibits 67

Signatures

Signatures 68 This Quarterly Report on Form 10-Q is for the quarter ended September 30, 2024. This Report modifies and supersedes documents filed prior to this Report. Information that we file with the Securities and Exchange Commission (the "SEC") in the future will automatically update and supersede information contained in this Report. In this Quarterly Report, "we," "us," "our" "UHS" and the "Company" refer to Universal Health Services, Inc. and its subsidiaries. UHS is a registered trademark of UHS of Delaware, Inc., the management company for, and a wholly-owned subsidiary of Universal Health Services, Inc. Universal Health Services, Inc. is a holding company and operates through its subsidiaries including its management company, UHS of Delaware, Inc. All healthcare and management operations are conducted by subsidiaries of Universal Health Services, Inc. To the extent any reference to "UHS" or "UHS facilities" in this report including letters, narratives or other forms contained herein relates to our healthcare or management operations it is referring to Universal Health Services, Inc.'s subsidiaries including UHS of Delaware, Inc. Further, the terms "we," "us," "our" or the "Company" in such context similarly refer to the operations of Universal Health Services Inc.'s subsidiaries including UHS of Delaware, Inc. Any reference to employees or employment contained herein refers to employment with or employees of the subsidiaries of Universal Health Services, Inc. including UHS of Delaware, Inc. 2

FINANCI AL INFORMATION

PART I. FINANCI AL INFORMATION UNIVERSAL HEALTH SERVICES, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF INCOME (amounts in thousands, except per share amounts) (unaudited) Three months ended September 30, Nine months ended September 30, 2024 2023 2024 2023 Net revenues $ 3,963,027 $ 3,562,774 $ 11,714,213 $ 10,578,430 Operating charges: Salaries, wages and benefits 1,912,308 1,784,870 5,611,304 5,308,476 Other operating expenses 1,090,197 941,219 3,165,483 2,758,484 Supplies expense 390,250 378,667 1,181,886 1,138,950 Depreciation and amortization 149,567 137,195 438,050 422,560 Lease and rental expense 36,540 35,466 108,165 105,775 3,578,862 3,277,417 10,504,888 9,734,245 Income from operations 384,165 285,357 1,209,325 844,185 Interest expense, net 44,660 53,378 146,385 153,085 Other (income) expense, net ( 2,028 ) 11,472 3,315 31,797 Income before income taxes 341,533 220,507 1,059,625 659,303 Provision for income taxes 75,623 52,499 233,563 159,618 Net income 265,910 168,008 826,062 499,685 Less: Net income (loss) attributable to noncontrolling interests 7,196 1,019 16,362 ( 1,732 ) Net income attributable to UHS $ 258,714 $ 166,989 $ 809,700 $ 501,417 Basic earnings per share attributable to UHS $ 3.89 $ 2.42 $ 12.11 $ 7.18 Diluted earnings per share attributable to UHS $ 3.80 $ 2.40 $ 11.88 $ 7.09 Weighted average number of common shares - basic 66,537 68,867 66,873 69,825 Add: Other share equivalents 1,571 757 1,297 825 Weighted average number of common shares and equivalents - diluted 68,108 69,624 68,170 70,650 The accompanying notes are an integral part of these condensed consolidated financial statements. 3 UNIVERSAL HEALTH SERVICES, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED STAT

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