UNIVERSAL HEALTH SERVICES, INC. ANNOUNCES FINANCIAL RESULTS FOR THE THREE-MONTH PERIOD ENDED MARCH 31, 2026

Rhea-AI Summary

Universal Health Services (NYSE: UHS) reported Q1 2026 net income attributable to UHS of $348.7 million ($5.65 diluted) versus $316.7 million ($4.80) in Q1 2025. Net revenues rose to $4.495 billion (+9.6%). Adjusted net income was $346.5 million ($5.62 diluted). Adjusted EBITDA net of NCI was $648.3 million. Net cash from operations was $402 million. During Q1 the company repurchased 675,000 shares for ~$127.3 million and amended its credit agreement to increase borrowing capacity by $900 million, including a $400 million delayed draw term loan A expected to fund the Talkspace acquisition.

Positive

• EPS increased to $5.65, up ~17.7% YoY
• Net income rose to $348.7 million, up ~10.1% YoY
• Net cash provided by operations $402 million, up ~11.7% YoY
• Available repurchase authorization approximately $1.298 billion
• Credit capacity increased by $900 million, including a $400 million delayed draw

Negative

• Net revenue growth +9.6% YoY, below a 10% threshold for larger material moves
• Borrowings outstanding of approximately $373 million on the revolving credit facility
• Share repurchases used ~$127.3 million in cash during Q1

News Market Reaction – UHT

-0.15%

-0.15% Session close to close

In the Apr 28 session, UHT declined 0.15%, reflecting a mild negative market reaction.

Data tracked by StockTitan Argus on the day of publication.

Market Context

This announcement details a solid Q1 2026 for Universal Health Services, with net income of $348.7 m...

Analysis

This announcement details a solid Q1 2026 for Universal Health Services, with net income of $348.7 million, EPS of $5.65, and revenues rising 9.6% to $4.495 billion. EBITDA and operating cash flow also improved, while capital deployment included share repurchases and expanded credit capacity tied partly to the Talkspace acquisition. Investors following Universal Health Realty Income Trust may track how UHS’s operating strength and growth initiatives influence its long-term leasing relationship and development pipeline.

Key Figures

Net income Q1 2026: $348.7 million Diluted EPS Q1 2026: $5.65 per share Net revenues Q1 2026: $4.495 billion +5 more

8 metrics

Net income Q1 2026 $348.7 million Reported net income attributable to UHS, Q1 2026

Diluted EPS Q1 2026 $5.65 per share Reported EPS attributable to UHS, Q1 2026

Net revenues Q1 2026 $4.495 billion Net revenues during the first quarter of 2026

Revenue growth 9.6% Net revenue increase vs. Q1 2025

Adjusted net income $346.5 million Adjusted net income, Q1 2026

EBITDA net of NCI $651.7 million EBITDA net of noncontrolling interests, Q1 2026

Net cash from operations $402 million Net cash provided by operating activities, Q1 2026

Share repurchases 675,000 shares / $127.3 million Class B Common Stock repurchased in Q1 2026

Previous Earnings Reports

5 past events · Latest: Feb 25 (Neutral)

Same Type Pattern 5 events

Date	Event	Sentiment	24h Move	Catalyst
Feb 25	Quarterly and annual results	Neutral	+0.2%	UHT reported Q4 and full-year 2025 results with stable FFO and ongoing projects.
Feb 25	Annual results, guidance	Positive	+0.2%	UHS reported strong 2025 results and issued 2026 guidance for revenue and EPS.
Oct 27	Quarterly results, project	Positive	+2.1%	UHT posted Q3 2025 growth in FFO and advanced a major medical office project.
Jul 28	Quarterly results	Negative	-1.9%	UHT reported Q2 2025 declines in net income and FFO versus prior year levels.
Jul 28	Quarterly results, guidance	Positive	-1.9%	UHS delivered strong Q2 2025 results and raised full-year forecast but shares fell.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Pattern Detected

Earnings-related headlines for UHT/UHS have typically produced small moves, with most reactions aligning directionally with the apparent tone of the news.

Recent Company History

Over the past year, earnings updates for Universal Health Realty Income Trust and its key tenant Universal Health Services have highlighted steady revenue, funds from operations and ongoing development projects. Prior releases on Feb 25, 2026 and earlier in 2025 showed modest positive to mixed fundamentals, with price moves generally limited to a few percent either way. Today’s UHS quarterly report extends this pattern of incremental growth, capital deployment, and continued operational execution.

Key Terms

non-gaap, ebitda, asu 2016-09, stock-based compensation, +1 more

5 terms

non-gaap financial

"As reflected on the Schedule of Non-GAAP Supplemental Information ("Supplemental Schedule"),"

Non-GAAP refers to financial measures that companies use to show their earnings or performance without including certain expenses or income that are often added back to give a different picture. It matters because it can make a company's results look better or more favorable, but it may also hide important costs, so investors need to look at both GAAP (official rules) and non-GAAP numbers to get a full understanding.

View in glossary

ebitda financial

"our earnings before interest, taxes, depreciation & amortization ("EBITDA net of NCI","

EBITDA stands for earnings before interest, taxes, depreciation, and amortization. It measures a company's profitability by focusing on the money it makes from its core operations, ignoring expenses like taxes and accounting adjustments. Investors use EBITDA to compare how well different companies are performing financially, as it provides a clearer picture of operational success without the influence of financial structure or accounting choices.

View in glossary

asu 2016-09 regulatory

"recorded in connection with "ASU 2016-09", Compensation – Stock Compensation:"

ASU 2016-09 is a U.S. accounting standards update that changed how companies record employee stock-based compensation and the related tax effects, simplifying when and where tax benefits and forfeitures are recognized. Think of it as a new bookkeeping rule for employee stock awards that treats tax windfalls and lost awards more consistently, which can shift reported profits, tax expense and cash-flow presentation. Investors watch it because those accounting changes can affect earnings volatility and make comparisons between companies or periods clearer or less so.

stock-based compensation financial

"plus/minus depreciation and amortization expense, stock-based compensation expense and gain"

Stock-based compensation is when a company pays employees, directors or consultants with shares or the right to buy shares instead of or in addition to cash. It matters to investors because issuing stock or options spreads ownership thinner (like cutting a pie into more slices), which can reduce each existing share’s claim on profits and can also change reported earnings; investors watch it to assess true cost of running the business and how management is incentivized.

View in glossary

revolving credit facility financial

"increase the borrowing capacity of the revolving credit facility by $200 million to $1.5 billion"

A revolving credit facility is a type of loan that a business can borrow from whenever it needs money, up to a set limit. It’s like having a credit card for companies—allowing them to borrow, pay back, and borrow again as needed, providing flexibility for managing cash flow or funding short-term expenses.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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Consolidated Results of Operations, As Reported and As Adjusted  – Three-month periods ended March 31, 2026 and 2025:

KING OF PRUSSIA, Pa., April 27, 2026 /PRNewswire/ -- Universal Health Services, Inc. (NYSE: UHS) announced today that its reported net income attributable to UHS was $348.7 million, or $5.65 per diluted share, during the first quarter of 2026, as compared to $316.7 million, or $4.80 per diluted share, during the first quarter of 2025.  Net revenues increased by 9.6% to $4.495 billion during the first quarter of 2026, as compared to $4.100 billion during the first quarter of 2025.

As reflected on the Schedule of Non-GAAP Supplemental Information ("Supplemental Schedule"), our adjusted net income during the first quarter of 2026 was $346.5 million, or $5.62 per diluted share, as compared to $319.5 million, or $4.84 per diluted share, during the first quarter of 2025. 

As reflected on the Supplemental Schedule, included in our reported results during the first quarter of 2026 was a favorable net after-tax impact of $2.2 million, or $.03 per diluted share, resulting from the net tax benefit recorded in connection with "ASU 2016-09", Compensation – Stock Compensation: Improvements to Employee Share-Based Payment Accounting, net of the impact of executive compensation limitations pursuant to IRC section 162(m).    

As reflected on the Supplemental Schedule, included in our reported results during the first quarter of 2025 were: (i) an unrealized after-tax loss (included in "Other (income) expense, net") of $3.3 million, or $.05 per diluted share ($4.3 million pre-tax), resulting from a decrease in the market value of certain equity securities (that were sold during the fourth quarter of 2025), and; (ii) a favorable net after-tax impact of $0.5 million, or $.01 per diluted share, resulting from the net tax benefit recorded in connection with ASU 2016-09.     

As calculated on the attached Supplemental Schedule, our earnings before interest, taxes, depreciation & amortization ("EBITDA net of NCI", NCI is net income attributable to noncontrolling interests), was $651.7 million during the first quarter of 2026, as compared to $603.9 million during the first quarter of 2025. Our adjusted earnings before interest, taxes, depreciation & amortization ("Adjusted EBITDA net of NCI"), which excludes the impact of other (income) expense, net, was $648.3 million during the first quarter of 2026, as compared to $598.2 million during the first quarter of 2025.

Acute Care Services – Three-month periods ended March 31, 2026 and 2025:

During the first quarter of 2026, at our acute care hospitals owned during both periods ("same facility basis"), adjusted admissions (adjusted for outpatient activity) were unchanged and adjusted patient days increased by 0.8%, as compared to the first quarter of 2025. At these facilities, during the first quarter of 2026, net revenue per adjusted admission increased by 6.3% while net revenue per adjusted patient day increased by 5.5%, as compared to the first quarter of 2025. Net revenues generated from our acute care services, on a same facility basis, increased by 8.2% during the first quarter of 2026, as compared to the first quarter of 2025.

Behavioral Health Care Services – Three-month periods ended March 31, 2026 and 2025:

During the first quarter of 2026, at our behavioral health care facilities on a same facility basis, adjusted admissions increased by 1.2% while adjusted patient days increased by 1.6%, as compared to the first quarter of 2025. At these facilities, during the first quarter of 2026, net revenue per adjusted admission increased by 6.2% and net revenue per adjusted patient day increased by 5.8%, as compared to the first quarter of 2025. Net revenues generated from our behavioral health care services, on a same facility basis, increased by 7.3% during the first quarter of 2026, as compared to the first quarter of 2025.

Net Cash Provided by Operating Activities and Credit Agreement Amendment/Capital Resources:

Net Cash Provided by Operating Activities:

During the three-month period ended March 31, 2026, our net cash provided by operating activities was $402 million as compared to $360 million during the first quarter of 2025. The $42 million net increase in our net cash provided by operating activities consisted of: (i) a favorable change of $40 million resulting from an increase in net income plus/minus depreciation and amortization expense, stock-based compensation expense and gain on sales of assets and businesses; (ii) a favorable change of $95 million in accounts receivable (due, in part, to delays experienced during the first quarter of 2025 in receipt of funds in connection with certain Medicaid supplemental payment programs in various states); (iii) an unfavorable change of $80 million in other working capital accounts due primarily to the timing of accounts payable disbursements, and; (iv) other combined net unfavorable changes of $13 million.  

Credit Agreement Amendment/Capital Resources:

In April, 2026, and as previously disclosed on Form 8-K as filed with the Securities and Exchange Commission on April 24, 2026, we amended our credit agreement to, among other things, increase our borrowing capacity by an aggregate of $900 million as follows: (i) increase the borrowing capacity of the revolving credit facility by $200 million to $1.5 billion (from $1.3 billion previously); (ii) increase the existing tranche term loan A by $300 million to $1.455 billion (from $1.155 billion previously), and; (iii) initiate a new $400 million delayed draw term loan A which is expected to be drawn upon the closing of our acquisition of Talkspace, Inc. The maturity date for our credit agreement, which is scheduled for September 26, 2029, remained unchanged.     

As of March 31, 2026, we had approximately $373 million of borrowings outstanding pursuant to our revolving credit facility.

Stock Repurchase Program:

In connection with our stock repurchase program, shares of our Class B Common Stock may be repurchased, from time to time as conditions allow, on the open market or in negotiated private transactions. Pursuant to this program, during the first quarter of 2026, we have repurchased 675,000 shares at an aggregate cost of approximately $127.3 million (average price of approximately $189 per share).

As of March 31, 2026, we had an aggregate available repurchase authorization of approximately $1.298 billion pursuant to our stock repurchase program.

Conference call information:

We will hold a conference call for investors and analysts at 9:00 a.m. eastern time on April 28, 2026. A live webcast of the call will be available on our website at www.uhs.com. To participate via telephone, please register in advance at this link. Upon registration, all telephone participants will receive a confirmation email detailing how to join the conference call, including the dial-in number along with a unique passcode and registrant ID that can be used to access the call. A replay of the call will be available for one full year following the live call. Supplemental financial disclosures related to our financial results are available on our website.

General Information, Forward-Looking Statements and Risk Factors and Non-GAAP Financial Measures:

One of the nation's largest and most respected providers of hospital and healthcare services, Universal Health Services, Inc. (the "Company") has built an impressive record of achievement and performance. Growing steadily since our inception into an esteemed Fortune 500^® corporation, our annual revenues during 2025 were $17.4 billion. UHS ranked #271 on the Fortune 500^® and #355 among American companies on the Forbes Global 2000. In 2026, UHS was again recognized as one of Fortune World's Most Admired Companies™ (from Fortune, ©2025, 2026 Fortune Media IP Limited. All rights reserved. Used under license).

Our operating philosophy is as effective today as it was upon the Company's founding in 1979, enabling us to provide compassionate care to our patients and their loved ones.  Our strategy includes building or acquiring high quality hospitals in rapidly growing markets, investing in the people and equipment needed to allow each facility to thrive, and becoming the leading healthcare provider in each community we serve.

UHS is headquartered in King of Prussia, PA, and, through its subsidiaries, has approximately 101,500 employees and operates 29 inpatient acute care hospitals, 346 inpatient behavioral health facilities, 168 outpatient facilities and ambulatory care access points, an insurance offering, a physician network and various related services located in 40 states, Washington, D.C., the United Kingdom and Puerto Rico.

A wholly-owned subsidiary of UHS acts as the advisor to Universal Health Realty Income Trust, a real estate investment trust (NYSE:UHT).  For additional information visit www.uhs.com.

This press release contains forward-looking statements based on current management expectations.  Numerous factors, including those disclosed herein, those related to healthcare industry trends and those detailed in our filings with the Securities and Exchange Commission (as set forth in Item 1A-Risk Factors, and Item 7-Forward-Looking Statements and Risk Factors, in our Form 10-K for the year ended December 31, 2025), may cause the results to differ materially from those anticipated in the forward-looking statements.  These statements are subject to risks and uncertainties and therefore actual results may differ materially.  Readers should not place undue reliance on such forward-looking statements which reflect management's view only as of the date hereof.  We undertake no obligation to revise or update any forward-looking statements, or to make any other forward-looking statements, whether as a result of new information, future events or otherwise. 

Many of the factors that could affect our future results are beyond our control or ability to predict, including, but not limited to:

• A significant portion of our revenues are derived from federal and state government programs including the Medicare and Medicaid programs. Payments from these programs are subject to statutory and regulatory changes, administrative rulings, interpretations and determinations, requirements for utilization review, and federal and state funding restrictions.  Changes to these programs could materially affect program payments which could materially impact our results of operations. In addition, we receive substantial reimbursement from multiple states in connection with various supplemental Medicaid payment programs. Failure to renew these programs beyond their scheduled termination dates, failure of the public hospitals to provide the necessary Inter-Governmental Transfers for the states' share of the Medicaid disproportionate share hospital programs, and the failure of our hospitals that currently receive supplemental Medicaid revenues to qualify for future funds under these programs could cause our actual results of operations for the year ended December 31, 2026 to differ materially from our previously disclosed 2026 operating results forecast.
• Legislation adopted on July 4, 2025, attaches work and community service requirements to eligibility for Medicaid benefits that will have the effect of limiting Medicaid enrollment and expenditures. That legislation also places limits on provider fees used to increase federal Medicaid funding to states and eliminated certain exchange premium tax credits beyond 2025. As these provisions become effective over the next several years, they may be expected to reduce our revenues and likely increase the level of uncompensated care provided by our facilities.
• The increase in interest rates during the past few years has increased our interest expense significantly thereby reducing our free cash flow. As such, although interest rates have moderated more recently, the effects of increased borrowing rates have adversely impacted our results of operations, financial condition and cash flows. We cannot predict future changes to interest rates, however, significant increases in our borrowing rates could have a material unfavorable impact on our future results of operations and our ability to access the capital markets on favorable terms.
• Changes in laws or policies governing the terms of foreign trade, and in particular, increased trade restrictions, tariffs or taxes on imports from where our products or materials are made (either directly or through our suppliers) could have an impact on our competitive position, business operations and financial results.      
• The outcome of known and unknown litigation, liabilities and other claims asserted against us and/or our subsidiaries, including, but not limited to, the matters related to Cumberland Hospital for Children and Adolescents, located in New Kent, Virginia, and the verdict in Washoe County, Nevada, against certain subsidiaries of ours, both of which were previously disclosed in various filings including, most recently, our Form 10-K for the year ended December 31, 2025. Although we can make no assurances regarding the ultimate outcome of these matters, or what damages will ultimately be awarded, the final resolution of these matters could have a material adverse effect on the Company.
• The ability to successfully complete, integrate and realize the benefit and synergies from our proposed acquisition of Talkspace, Inc. 

We believe that adjusted net income attributable to UHS, adjusted net income attributable to UHS per diluted share, EBITDA net of NCI and Adjusted EBITDA net of NCI, which are non-GAAP financial measures ("GAAP" is Generally Accepted Accounting Principles in the United States of America), are helpful to our investors as measures of our operating performance. In addition, we believe that, when applicable, comparing and discussing our financial results based on these measures, as calculated, is helpful to our investors since it neutralizes the effect of material items impacting our net income attributable to UHS, such as, changes in the value of certain non-marketable securities (in connection with our minority ownership in a healthcare generative artificial intelligence company), the impact of ASU 2016-09, and other potential material items that are nonrecurring or non-operational in nature including, but not limited to, impairments of goodwill, long-lived and intangible assets, reserves for various matters including settlements, legal judgments and lawsuits, costs related to extinguishment of debt, gains/losses on sales of assets and businesses, potential impacts of non-ordinary acquisitions, divestitures, joint ventures or other strategic transactions, and other amounts that may be reflected in the current or prior year financial statements that relate to prior periods. To obtain a complete understanding of our financial performance these measures should be examined in connection with net income attributable to UHS, as determined in accordance with GAAP, and as presented in the condensed consolidated financial statements and notes thereto in this report or in our filings with the Securities and Exchange Commission including our Report on Form 10-K for the year ended December 31, 2025. Since the items included or excluded from these measures are significant components in understanding and assessing financial performance under GAAP, these measures should not be considered to be alternatives to net income as a measure of our operating performance or profitability. Since these measures, as presented, are not determined in accordance with GAAP and are thus susceptible to varying calculations, they may not be comparable to other similarly titled measures of other companies. Investors are encouraged to use GAAP measures when evaluating our financial performance.

 

Universal Health Services, Inc.
Consolidated Statements of Income
(in thousands, except per share amounts)
(unaudited)
	Three months
	ended March 31,
	2026		2025
Net revenues	$4,495,182		$4,099,720
Operating charges:
Salaries, wages and benefits	2,088,229		1,951,104
Other operating expenses	1,283,928		1,105,752
Supplies expense	426,543		402,881
Depreciation and amortization	155,426		148,345
Lease and rental expense	38,196		36,813
	3,992,322		3,644,895
Income from operations	502,860		454,825
Interest expense, net	37,133		40,056
Other (income) expense, net	(3,389)		(5,659)
Income before income taxes	469,116		420,428
Provision for income taxes	110,438		98,800
Net income	358,678		321,628
Less:  Net income (loss) attributable to
noncontrolling interests ("NCI")	9,996		4,948
Net income attributable to UHS	$348,682		$316,680
Basic earnings per share attributable to UHS (a)	$5.71		$4.87
Diluted earnings per share attributable to UHS (a)	$5.65		$4.80

 

Universal Health Services, Inc.
Footnotes to Consolidated Statements of Income
(in thousands, except per share amounts)
(unaudited)
	Three months
(a) Earnings per share calculation:	ended March 31,
	2026		2025
Basic and diluted:
Net income attributable to UHS - basic and diluted	$348,682		$316,680
Weighted average number of common shares - basic	61,071		64,970
Basic earnings per share attributable to UHS:	$5.71		$4.87
Weighted average number of common shares	61,071		64,970
Add: Other share equivalents	597		1,067
Weighted average number of common shares and equiv. - diluted	61,668		66,037
Diluted earnings per share attributable to UHS:	$5.65		$4.80

 

Universal Health Services, Inc.
Schedule of Non-GAAP Supplemental Information ("Supplemental Schedule")
For the Three Months ended March 31, 2026 and 2025
(in thousands, except per share amounts)
(unaudited)
Calculation of Earnings/Adjusted Earnings Before Interest, Taxes, Depreciation and Amortization ("EBITDA/Adjusted EBITDA net of NCI")
	Three months ended		% Net		Three months ended		% Net
	March 31, 2026		revenues		March 31, 2025		revenues
Net income attributable to UHS	$348,682				$316,680
Depreciation and amortization	155,426				148,345
Interest expense, net	37,133				40,056
Provision for income taxes	110,438				98,800
EBITDA net of NCI	$651,679		14.5 %		$603,881		14.7 %
Other (income) expense, net	(3,389)				(5,659)
Adjusted EBITDA net of NCI	$648,290		14.4 %		$598,222		14.6 %
Net revenues	$4,495,182				$4,099,720
Calculation of Adjusted Net Income Attributable to UHS
	Three months ended				Three months ended
	March 31, 2026				March 31, 2025
			Per				Per
	Amount		Diluted Share		Amount		Diluted Share
Net income attributable to UHS	$348,682		$5.65		$316,680		$4.80
Plus/minus after-tax adjustments:
Loss on marketable equity securities	-		-		3,285		0.05
Impact of ASU 2016-09, net	(2,164)		(0.03)		(461)		(0.01)
Subtotal adjustments	(2,164)		(0.03)		2,824		0.04
Adjusted net income	$346,518		$5.62		$319,504		$4.84

 

Universal Health Services, Inc.
Condensed Consolidated Balance Sheets
(in thousands)
(unaudited)
			March 31,			December 31,
			2026			2025
Assets
Current assets:
Cash and cash equivalents		$	119,028		$	137,797
Accounts receivable, net			2,745,090			2,602,434
Supplies			229,415			232,110
Other current assets			406,168			435,574
Total current assets			3,499,701			3,407,915
Property and equipment			13,609,793			13,489,811
Less: accumulated depreciation			(6,546,146)			(6,481,714)
			7,063,647			7,008,097
Other assets:
Goodwill			3,980,656			3,990,213
Deferred income taxes			68,339			70,517
Right of use assets-operating leases			375,316			374,239
Deferred charges			9,234			9,272
Other			684,249			667,340
Total Assets		$	15,681,142		$	15,527,593
Liabilities and Stockholders' Equity
Current liabilities:
Current maturities of long-term debt		$	756,240		$	748,158
Accounts payable and other liabilities			2,356,343			2,416,276
Operating lease liabilities			72,904			73,237
Federal and state taxes			58,591			1,930
Total current liabilities			3,244,078			3,239,601
Other noncurrent liabilities			532,678			527,827
Operating lease liabilities noncurrent			344,555			340,715
Deferred income taxes			3,234			5,649
Long-term debt			3,952,118			4,004,393
Redeemable noncontrolling interest			73,380			70,620
UHS common stockholders' equity			7,464,857			7,275,792
Noncontrolling interest			66,242			62,996
Total equity			7,531,099			7,338,788
Total Liabilities and Stockholders' Equity		$	15,681,142		$	15,527,593

 

Universal Health Services, Inc.
Consolidated Statements of Cash Flows
(in thousands)
(unaudited)
	Three months
	ended March 31,
	2026		2025
Cash Flows from Operating Activities:
Net income	$358,678		$321,628
Adjustments to reconcile net income to net
cash provided by operating activities:
Depreciation & amortization	155,426		148,345
Stock-based compensation expense	22,504		21,595
Gain on sales of assets and businesses	(5,046)		0
Changes in assets & liabilities, net of effects from
acquisitions and dispositions:
Accounts receivable	(123,862)		(218,374)
Accrued interest	10,992		11,086
Accrued and deferred income taxes	104,772		88,641
Other working capital accounts	(122,911)		(42,824)
Other assets and deferred charges	(12,257)		(489)
Other, net	(221)		3,811
Accrued insurance expense, net of commercial premiums paid	62,568		47,334
Payments made in settlement of self-insurance claims, net of commercial insurance reimbursements	(49,015)		(20,705)
Net cash provided by operating activities	401,628		360,048
Cash Flows from Investing Activities:
Property and equipment additions	(217,157)		(239,026)
Proceeds received from sales of assets and businesses	14,304		0
Acquisition of businesses and property	(4,857)		(8,314)
Inflows (outflows) from foreign exchange contracts that hedge our net U.K. investment	14,716		(23,695)
Costs incurred for purchase and development of enterprise resource planning application	(4,613)		0
Decrease (increase) in capital reserves of commercial insurance subsidiary	28		(264)
Net cash used in investing activities	(197,579)		(271,299)
Cash Flows from Financing Activities:
Repayments of long-term debt	(44,731)		(9,113)
Additional borrowings	40		152,454
Repurchase of common shares	(163,849)		(223,385)
Dividends paid	(12,974)		(13,534)
Issuance of common stock	3,782		3,658
Profit distributions to noncontrolling interests	(7,912)		(5,912)
Purchase of ownership interests by minority members, net	3,750		4,412
Net cash used in financing activities	(221,894)		(91,420)
Effect of exchange rate changes on cash and cash equivalents	(924)		1,645
Decrease in cash, cash equivalents and restricted cash	(18,769)		(1,026)
Cash, cash equivalents and restricted cash, beginning of period	271,322		224,752
Cash, cash equivalents and restricted cash, end of period	$252,553		$223,726
Supplemental Disclosures of Cash Flow Information:
Interest paid	$25,119		$27,718
Income taxes paid, net of refunds	$8,276		$5,638
Noncash purchases of property and equipment	$70,246		$116,196

 

Universal Health Services, Inc.
Supplemental Statistical Information
(unaudited)
					% Change
					Three Months ended
Same Facility:					3/31/2026
Acute Care Hospitals (1)
Revenues					8.2 %
Adjusted Admissions					0.0 %
Adjusted Patient Days					0.8 %
Revenue Per Adjusted Admission					6.3 %
Revenue Per Adjusted Patient Day					5.5 %
Behavioral Health Hospitals (1)
Revenues					7.3 %
Adjusted Admissions					1.2 %
Adjusted Patient Days					1.6 %
Revenue Per Adjusted Admission					6.2 %
Revenue Per Adjusted Patient Day					5.8 %
UHS Consolidated			Three Months ended
			3/31/2026		3/31/2025
Revenues			$4,495,182		$4,099,720
EBITDA net of NCI			$651,679		$603,881
EBITDA Margin net of NCI			14.5 %		14.7 %
Adjusted EBITDA net of NCI			$648,290		$598,222
Adjusted EBITDA Margin net of NCI			14.4 %		14.6 %
Cash Flow From Operations			$401,628		$360,048
Capital Expenditures			$217,157		$239,026
Days Sales Outstanding			55		53
Debt			$4,708,358		$4,649,682
UHS' Shareholders Equity			$7,464,857		$6,785,604
Debt / Total Capitalization			38.7 %		40.7 %
Debt / EBITDA net of NCI (2)			1.70		2.00
Debt / Adjusted EBITDA net of NCI (2)			1.78		2.01
Debt / Cash From Operations (2)			2.47		2.29

(1) Prior year amounts related to certain facilities previously included in our Behavioral Health Care Services' results have been reclassified into our Acute Care Hospital Services' results as of January 1, 2025 to conform with current year presentation.
(2) Latest 4 quarters.

 

Universal Health Services, Inc.
Acute Care Hospital Services
For the Three Months ended
March 31, 2026 and 2025
(in thousands)
(unaudited)
Same Facility Basis - Acute Care Hospital Services
		Three months ended				Three months ended
		March 31, 2026				March 31, 2025
		Amount		% of Net Revenues		Amount		% of Net Revenues
Net revenues		$2,470,045		100.0 %		$2,281,831		100.0 %
Operating charges:
Salaries, wages and benefits		952,835		38.6 %		913,829		40.0 %
Other operating expenses		728,152		29.5 %		638,599		28.0 %
Supplies expense		365,497		14.8 %		348,824		15.3 %
Depreciation and amortization		95,681		3.9 %		94,901		4.2 %
Lease and rental expense		26,738		1.1 %		25,344		1.1 %
Subtotal-operating expenses		2,168,903		87.8 %		2,021,497		88.6 %
Income from operations		301,142		12.2 %		260,334		11.4 %
Interest expense, net		986		0.0 %		2,262		0.1 %
Other (income) expense, net		(2,555)		(0.1) %		(8,572)		(0.4) %
Income before income taxes		$302,711		12.3 %		$266,644		11.7 %
All Acute Care Hospital Services
		Three months ended				Three months ended
		March 31, 2026				March 31, 2025
		Amount		% of Net Revenues		Amount		% of Net Revenues
Net revenues		$2,610,136		100.0 %		$2,357,814		100.0 %
Operating charges:
Salaries, wages and benefits		972,846		37.3 %		915,524		38.8 %
Other operating expenses		859,847		32.9 %		716,662		30.4 %
Supplies expense		367,938		14.1 %		348,692		14.8 %
Depreciation and amortization		96,318		3.7 %		94,903		4.0 %
Lease and rental expense		26,572		1.0 %		25,344		1.1 %
Subtotal-operating expenses		2,323,521		89.0 %		2,101,125		89.1 %
Income from operations		286,615		11.0 %		256,689		10.9 %
Interest expense, net		986		0.0 %		2,262		0.1 %
Other (income) expense, net		(2,132)		(0.1) %		(8,267)		(0.4) %
Income before income taxes		$287,761		11.0 %		$262,694		11.1 %

We believe that providing our results on a "Same Facility" basis (which is a non-GAAP measure), which includes the operating results for facilities and businesses operated in both the current year and prior year periods, is helpful to our investors as a measure of our operating performance. Our Same Facility results also neutralize (if applicable), the effect of material items that are nonrecurring or non-operational in nature including items such as, but not limited to, reserves for various matters, settlements, legal judgments and lawsuits, cost related to extinguishment of debt, gains/losses on sales of assets and businesses, impairments of goodwill, long-lived and intangible assets and other amounts that may be reflected in the current or prior year financial statements that relate to prior periods. Our Same Facility basis results exclude from net revenues and other operating expenses, provider tax assessments incurred in each period. However, these provider tax assessments are included in net revenues and other operating expenses as reflected in the table under All Acute Care Hospital Services. The provider tax assessments had no impact on the income before income taxes as reflected on the above tables since the amounts offset between net revenues and other operating expenses. To obtain a complete understanding of our financial performance, the Same Facility results should be examined in connection with our net income as determined in accordance with GAAP and as presented herein and the condensed consolidated financial statements and notes thereto as contained in our Form 10-K for the year ended December 31, 2025.
Prior year amounts related to certain facilities previously included in our Behavioral Health Care Services' results have been reclassified into our Acute Care Hospital Services' results as of January 1, 2025 to conform with current year presentation.
The All Acute Care Hospital Services table summarizes the results of operations for all our acute care operations during the periods presented. These amounts include: (i) our acute care results on a same facility basis, as indicated above; (ii) the impact of provider tax assessments which increased net revenues and other operating expenses but had no impact on income before income taxes, and; (iii) certain other amounts including the results of facilities acquired or opened during the last twelve months.

 

Universal Health Services, Inc.
Behavioral Health Care Services
For the Three Months ended
March 31, 2026 and 2025
(in thousands)
(unaudited)
Same Facility Basis - Behavioral Health Care Services
		Three months ended				Three months ended
		March 31, 2026				March 31, 2025
		Amount		% of Net Revenues		Amount		% of Net Revenues
Net revenues		$1,818,676		100.0 %		$1,694,160		100.0 %
Operating charges:
Salaries, wages and benefits		993,038		54.6 %		919,790		54.3 %
Other operating expenses		334,423		18.4 %		319,600		18.9 %
Supplies expense		58,456		3.2 %		54,995		3.2 %
Depreciation and amortization		55,156		3.0 %		50,879		3.0 %
Lease and rental expense		11,305		0.6 %		10,878		0.6 %
Subtotal-operating expenses		1,452,378		79.9 %		1,356,142		80.0 %
Income from operations		366,298		20.1 %		338,018		20.0 %
Interest expense, net		1,192		0.1 %		1,075		0.1 %
Other (income) expense, net		(883)		(0.0) %		(825)		(0.0) %
Income before income taxes		$365,989		20.1 %		$337,768		19.9 %
All Behavioral Health Care Services
		Three months ended				Three months ended
		March 31, 2026				March 31, 2025
		Amount		% of Net Revenues		Amount		% of Net Revenues
Net revenues		$1,882,152		100.0 %		$1,739,064		100.0 %
Operating charges:
Salaries, wages and benefits		1,001,094		53.2 %		923,366		53.1 %
Other operating expenses		391,898		20.8 %		362,262		20.8 %
Supplies expense		58,787		3.1 %		55,148		3.2 %
Depreciation and amortization		56,634		3.0 %		51,152		2.9 %
Lease and rental expense		11,515		0.6 %		11,364		0.7 %
Subtotal-operating expenses		1,519,928		80.8 %		1,403,292		80.7 %
Income from operations		362,224		19.2 %		335,772		19.3 %
Interest expense, net		1,272		0.1 %		1,075		0.1 %
Other (income) expense, net		(883)		(0.0) %		(825)		(0.0) %
Income before income taxes		$361,835		19.2 %		$335,522		19.3 %

We believe that providing our results on a "Same Facility" basis (which is a non-GAAP measure), which includes the operating results for facilities and businesses operated in both the current year and prior year periods, is helpful to our investors as a measure of our operating performance. Our Same Facility results also neutralize (if applicable), the effect of material items that are nonrecurring or non-operational in nature including items such as, but not limited to, reserves for various matters, settlements, legal judgments and lawsuits, cost related to extinguishment of debt, gains/losses on sales of assets and businesses, impairments of goodwill, long-lived and intangible assets and other amounts that may be reflected in the current or prior year financial statements that relate to prior periods. Our Same Facility basis results exclude from net revenues and other operating expenses, provider tax assessments incurred in each period. However, these provider tax assessments are included in net revenues and other operating expenses as reflected in the table under All Behavioral Health Care Services. The provider tax assessments had no impact on the income before income taxes as reflected on the above tables since the amounts offset between net revenues and other operating expenses. To obtain a complete understanding of our financial performance, the Same Facility results should be examined in connection with our net income as determined in accordance with GAAP and as presented herein and the condensed consolidated financial statements and notes thereto as contained in our Form 10-K for the year ended December 31, 2025.
Prior year amounts related to certain facilities previously included in our Behavioral Health Care Services' results have been reclassified into our Acute Care Hospital Services' results as of January 1, 2025 to conform with current year presentation.
The All Behavioral Health Care Services table summarizes the results of operations for all our behavioral health care facilities during the periods presented. These amounts include: (i) our behavioral health results on a same facility basis, as indicated above; (ii) the impact of provider tax assessments which increased net revenues and other operating expenses but had no impact on income before income taxes, and; (iii) certain other amounts including the results of facilities acquired or opened during the last twelve months.

 

Universal Health Services, Inc.
Selected Hospital Statistics
For the Three Months ended
March 31, 2026 and 2025
(unaudited)
AS REPORTED:
		ACUTE						BEHAVIORAL HEALTH
		3/31/26		3/31/25		%  change		3/31/26		3/31/25		%  change
Hospitals owned and leased		29		28		3.6 %		346		334		3.6 %
Average licensed beds		7,165		6,994		2.4 %		24,570		24,083		2.0 %
Average available beds		6,993		6,822		2.5 %		24,470		23,983		2.0 %
Patient days		431,073		429,030		0.5 %		1,619,586		1,588,545		2.0 %
Average daily census		4,789.7		4,767.0		0.5 %		17,995.4		17,650.5		2.0 %
Occupancy-licensed beds		66.8 %		68.2 %		-1.9 %		73.2 %		73.3 %		-0.1 %
Occupancy-available beds		68.5 %		69.9 %		-2.0 %		73.5 %		73.6 %		-0.1 %
Admissions		87,889		88,090		-0.2 %		117,491		116,350		1.0 %
Length of stay		4.9		4.9		0.0 %		13.8		13.7		0.7 %
Inpatient revenue		$15,963,182		$14,318,291		11.5 %		$3,266,302		$2,844,888		14.8 %
Outpatient revenue		10,812,978		9,327,796		15.9 %		312,492		274,034		14.0 %
Total patient revenue		26,776,160		23,646,087		13.2 %		3,578,794		3,118,922		14.7 %
Other revenue		337,257		280,443		20.3 %		95,475		88,379		8.0 %
Gross revenue		27,113,417		23,926,530		13.3 %		3,674,269		3,207,301		14.6 %
Total deductions		24,503,281		21,568,716		13.6 %		1,792,117		1,468,237		22.1 %
Net revenue		$2,610,136		$2,357,814		10.7 %		$1,882,152		$1,739,064		8.2 %
SAME FACILITY:
		ACUTE						BEHAVIORAL HEALTH
		3/31/26		3/31/25		%  change		3/31/26		3/31/25		%  change
Hospitals owned and leased		28		28		0.0 %		334		334		0.0 %
Average licensed beds		7,023		6,994		0.4 %		24,016		23,856		0.7 %
Average available beds		6,851		6,822		0.4 %		23,916		23,756		0.7 %
Patient days		425,835		429,030		-0.7 %		1,593,351		1,570,599		1.4 %
Average daily census		4,731.5		4,767.0		-0.7 %		17,703.9		17,451.1		1.4 %
Occupancy-licensed beds		67.4 %		68.2 %		-1.2 %		73.7 %		73.2 %		0.8 %
Occupancy-available beds		69.1 %		69.9 %		-1.2 %		74.0 %		73.5 %		0.8 %
Admissions		86,780		88,090		-1.5 %		116,268		115,049		1.1 %
Length of stay		4.9		4.9		0.0 %		13.7		13.7		0.0 %

Prior year amounts related to certain facilities previously included in our Behavioral Health Care Services' results have been reclassified into our Acute Care Hospital Services' results as of January 1, 2025 to conform with current year presentation.

 

View original content:https://www.prnewswire.com/news-releases/universal-health-services-inc-announces-financial-results-for-the-three-month-period-ended-march-31-2026-302754586.html

SOURCE Universal Health Services, Inc.

FAQ

What were UHS (NYSE: UHS) Q1 2026 earnings and EPS?

UHS reported Q1 2026 net income of $348.7 million and diluted EPS of $5.65. According to the company, adjusted net income was $346.5 million or $5.62 per diluted share.

How did UHS Q1 2026 revenue compare to Q1 2025?

UHS reported Q1 2026 net revenues of $4.495 billion, a 9.6% increase versus Q1 2025. According to the company, same-facility acute and behavioral revenues rose due to higher net revenue per admission/day.

What did UHS announce about its stock repurchase program in Q1 2026?

UHS repurchased 675,000 class B shares for about $127.3 million during Q1 2026. According to the company, about $1.298 billion of repurchase authorization remained available as of March 31, 2026.

What changes did UHS make to its credit agreement in April 2026?

UHS amended its credit agreement to increase borrowing capacity by $900 million and kept the September 26, 2029 maturity date. According to the company, this includes a $400 million delayed draw term loan A tied to an acquisition.

How will the delayed draw term loan A affect UHS's planned Talkspace acquisition?

The company expects the $400 million delayed draw term loan A to be drawn upon closing of the Talkspace acquisition. According to the company, the delayed draw is intended to provide committed financing for that transaction.