UNIVERSAL HEALTH SERVICES, INC. ANNOUNCES FINANCIAL RESULTS FOR THE THREE AND TWELVE-MONTH PERIODS ENDED DECEMBER 31, 2025 AND OPERATING RESULTS FORECAST FOR THE FULL YEAR OF 2026

Consolidated Results of Operations, As Reported and As Adjusted – Three-month periods ended December 31, 2025 and 2024:

KING OF PRUSSIA, Pa., Feb. 25, 2026 /PRNewswire/ -- Universal Health Services, Inc. (NYSE: UHS) announced today that its reported net income attributable to UHS was $445.9 million, or $7.06 per diluted share, during the fourth quarter of 2025, as compared to $332.4 million, or $4.96 per diluted share, during the fourth quarter of 2024. Net revenues increased by 9.1% to $4.486 billion during the fourth quarter of 2025, as compared to $4.114 billion during the fourth quarter of 2024.

As reflected on the Schedule of Non-GAAP Supplemental Information ("Supplemental Schedule"), our adjusted net income attributable to UHS during the fourth quarter of 2025 was $371.4 million, or $5.88 per diluted share, as compared to $329.9 million, or $4.92 per diluted share, during the fourth quarter of 2024.

As reflected on the Supplemental Schedule, included in our reported results during the fourth quarter of 2025 were: (i) an after-tax unrealized gain of $71.5 million, or $1.13 per diluted share ($93.3 million pre-tax), recorded in connection with our minority ownership in a healthcare generative artificial intelligence company (included in "Other (income) expense, net"); (ii) an after-tax gain of $0.8 million, or $.01 per diluted share ($1.0 million pre-tax), resulting from an increase in the market value of certain equity securities that were sold during the fourth quarter of 2025 (included in "Other (income) expense, net"), and; (iii) a favorable net after-tax impact of $2.3 million, or $.04 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 fourth quarter of 2024 were: (i) an unrealized after-tax gain of $2.1 million, or $.03 per diluted share ($2.7 million pre-tax), resulting from an increase in the market value of certain equity securities (included in "Other (income) expense, net"), and; (ii) a favorable net after-tax impact of $0.4 million, or $.01 per diluted share, resulting from the net tax benefit recorded pursuant to 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 $785.1 million during the fourth quarter of 2025, as compared to $620.2 million during the fourth quarter of 2024. Our adjusted earnings before interest, taxes, depreciation & amortization ("Adjusted EBITDA net of NCI"), which excludes the impact of other (income) expense, net, was $678.7 million during the fourth quarter of 2025, as compared to $614.6 million during the fourth quarter of 2024.

Consolidated Results of Operations, As Reported and As Adjusted – Twelve-month periods ended December 31, 2025 and 2024:

Reported net income attributable to UHS was $1.489 billion, or $23.10 per diluted share, during the full year of 2025, as compared to $1.142 billion, or $16.82 per diluted share, during 2024. Net revenues increased by 9.7% to $17.365 billion during the full year of 2025, as compared to $15.828 billion during 2024.

As reflected on the Supplemental Schedule, our adjusted net income attributable to UHS during the full year of 2025 was $1.401 billion, or $21.74 per diluted share, as compared to $1.128 billion, or $16.61 per diluted share, during 2024.

As reflected on the Supplemental Schedule, included in our reported results during the full year of 2025 were: (i) an after-tax unrealized gain of $71.5 million, or $1.11 per diluted share, recognized in connection with our minority ownership in a healthcare generative artificial intelligence company (included in "Other (income) expense, net"); (ii) an after-tax gain of $12.1 million, or $.19 per diluted share ($15.7 million pre-tax), resulting from an increase in the market value of certain equity securities that were sold during the fourth quarter of 2025 (included in "Other (income) expense, net"), and; (iii) a favorable net after-tax impact of $4.2 million, or $.06 per diluted share, resulting from the net tax benefit recorded in connection with ASU 2016-09.

As reflected on the Supplemental Schedule, included in our reported results during the full year of 2024 were: (i) an unrealized after-tax loss of $2.0 million, or $.03 per diluted share ($2.6 million pre-tax), resulting from a decrease in the market value of certain equity securities (included in "Other (income) expense, net"), and; (ii) a favorable net after-tax impact of $15.9 million, or $.24 per diluted share, resulting from the above-mentioned net tax benefit recorded in connection with ASU 2016-09.

As calculated on the attached Supplemental Schedule, our EBITDA net of NCI, was $2.725 billion during the full year of 2025, as compared to $2.248 billion during 2024. Our Adjusted EBITDA net of NCI, was $2.590 billion during the full year of 2025, as compared to $2.246 billion during 2024.

Acute Care Services – Three and twelve-month periods ended December 31, 2025 and 2024:

During the fourth quarter of 2025, at our acute care hospitals owned during both periods ("same facility basis"), adjusted admissions (adjusted for outpatient activity) were unchanged while adjusted patient days decreased by 0.7%, as compared to the fourth quarter of 2024. At these facilities, during the fourth quarter of 2025, net revenue per adjusted admission increased by 5.4% while net revenue per adjusted patient day increased by 6.1%, as compared to the fourth quarter of 2024. Net revenues generated from our acute care services, on a same facility basis, increased by 6.9% during the fourth quarter of 2025, as compared to the fourth quarter of 2024.

During the twelve-month period ended December 31, 2025, at our acute care hospitals on a same facility basis, adjusted admissions increased by 1.6% while adjusted patient days increased by 0.3%, as compared to the comparable period of 2024. At these facilities, during the full year of 2025, net revenue per adjusted admission increased by 5.4% while net revenue per adjusted patient day increased by 6.8%, as compared to 2024. Net revenues generated from our acute care services, on a same facility basis, increased by 8.5% during 2025, as compared to 2024.

Behavioral Health Care Services – Three and twelve-month periods ended December 31, 2025 and 2024:

During the fourth quarter of 2025, at our behavioral health care facilities on a same facility basis, adjusted admissions increased by 1.8% while adjusted patient days increased by 1.5%, as compared to the fourth quarter of 2024. At these facilities, during the fourth quarter of 2025, net revenue per adjusted admission increased by 5.3% and net revenue per adjusted patient day increased by 5.6%, as compared to the fourth quarter of 2024. Net revenues generated from our behavioral health care services, on a same facility basis, increased by 7.2% during the fourth quarter of 2025, as compared to the fourth quarter of 2024.

During the twelve month-period ended December 31, 2025, at our behavioral health care facilities on a same facility basis, adjusted admissions increased by 0.2% while adjusted patient days increased by 0.9%, as compared to the comparable period of 2024. At these facilities, during the full year of 2025, net revenue per adjusted admission increased by 7.5% and net revenue per adjusted patient day increased by 6.8%, as compared to 2024. Net revenues generated from our behavioral health care services, on a same facility basis, increased by 7.7% during 2025, as compared to 2024.

Net Cash Provided by Operating Activities and Liquidity:

Net Cash Provided by Operating Activities:

During the twelve-month period ended December 31, 2025, our net cash provided by operating activities was $1.864 billion as compared to $2.067 billion during the full year of 2024. The $203 million net decrease in our net cash provided by operating activities consisted of: (i) a favorable change of $300 million resulting from an increase in net income plus/minus depreciation and amortization expense, stock-based compensation expense, unrealized gain on non-marketable securities, gains/losses on sales of assets and businesses, and costs related to extinguishment of debt, offset by; (ii) an unfavorable change of $385 million in accounts receivable (due, in part, to a $145 million increase in net receivables recorded in connection with various Medicaid supplemental payment programs and a $50 million increase in accounts receivable related to two relatively recently opened hospitals in Las Vegas, NV, and Washington, D.C.); (iii) an unfavorable change of $67 million in payments made in settlement of self-insurance claims, net of commercial insurance reimbursements, and; (iv) other combined net unfavorable changes of $51 million.

Liquidity:

As of December 31, 2025, we had $889 million of aggregate available borrowing capacity pursuant to our $1.3 billion revolving credit facility, net of outstanding borrowings and letters of credit.

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. As previously announced, in October, 2025, our Board of Directors authorized a $1.5 billion increase to our stock repurchase program.

Pursuant to this program, during the fourth quarter of 2025, we have repurchased 1.461 million shares at an aggregate cost of approximately $333.5 million (average price of approximately $228 per share). During the full year of 2025, we have repurchased 4.650 million shares at an aggregate cost of approximately $899.3 million (average price of approximately $193 per share).

As of December 31, 2025, we had an aggregate available repurchase authorization of approximately $1.425 billion pursuant to our stock repurchase program.

2026 Operating Results Forecast:

Reflected below is our 2026 forecasted range for consolidated net revenues, earnings before interest, taxes, depreciation & amortization, and the impacts of other income/expense and net income attributable to noncontrolling interests ("Adjusted EBITDA net of NCI"), net income attributable to UHS per diluted share ("EPS-diluted") and capital expenditures.

Our 2026 forecasted range of net income attributable to UHS, and EPS-diluted, exclude certain items as described below because we do not believe we can forecast those items with sufficient accuracy. Adjusted EBITDA net of NCI, is a non-GAAP financial measure and should not be considered a measure of financial performance under GAAP. We believe Adjusted EBITDA net of NCI is helpful to our investors as a measure of our operating performance. Please see the Supplemental Non-GAAP Disclosures - 2026 Operating Results Forecast schedule as included herein for additional information and a reconciliation of our 2026 revised forecasted range of adjusted net income attributable to UHS to our 2026 revised forecasted range of Adjusted EBITDA net of NCI.

For the Year Ended

December 31, 2026

Low

High

Net revenues

$18.417 billion

$18.789 billion

Adjusted EBITDA net of NCI

$2.641 billion

$2.789 billion

EPS-diluted

$22.64 per share

$24.52 per share

Capital expenditures

$950 million

$1.1 billion

Because we do not believe we can forecast certain items with sufficient accuracy, our 2026 forecasted range of Adjusted EBITDA net of NCI, net income attributable to UHS, and Adjusted EPS-diluted, exclude the impact of future items, if applicable, that are nonrecurring or non-operational in nature including items 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, other amounts that may be reflected in the current or prior year financial statements that relate to prior periods, and the impact of share repurchases that differ from our forecasted assumptions. It is also subject to certain conditions including those as set forth below in General Information, Forward-Looking Statements and Risk Factors and Non-GAAP Financial Measures.

Conference call information:

We will hold a conference call for investors and analysts at 9:00 a.m. eastern time on February 26, 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.

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 $17.365 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. We have changed the method of our outpatient behavioral health care facility counts during the third quarter of 2025 and substantially all the increase from prior periods relates to that change in convention.

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:

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

Twelve months

ended December 31,

2025

2024

2025

2024

Net revenues

$4,486,048

$4,113,722

$17,364,829

$15,827,935

Operating charges:

Salaries, wages and benefits

2,046,629

1,907,383

8,084,582

7,518,687

Other operating expenses

1,297,207

1,142,901

4,860,246

4,308,384

Supplies expense

422,760

405,900

1,659,009

1,587,786

Depreciation and amortization

163,334

146,781

618,743

584,831

Lease and rental expense

38,886

38,268

148,234

146,433

3,968,816

3,641,233

15,370,814

14,146,121

Income from operations

517,232

472,489

1,994,015

1,681,814

Interest expense, net

42,217

39,724

156,068

186,109

Other (income) expense, net

(106,427)

(5,546)

(134,194)

(2,231)

Income before income taxes

581,442

438,311

1,972,141

1,497,936

Provision for income taxes

133,605

101,264

460,959

334,827

Net income

447,837

337,047

1,511,182

1,163,109

Less: Net income (loss) attributable to

noncontrolling interests ("NCI")

1,896

4,650

22,386

21,012

Net income attributable to UHS

$445,941

$332,397

$1,488,796

$1,142,097

Basic earnings per share attributable to UHS (a)

$7.19

$5.07

$23.42

$17.16

Diluted earnings per share attributable to UHS (a)

$7.06

$4.96

$23.10

$16.82

Universal Health Services, Inc.

Footnotes to Consolidated Statements of Income

(in thousands, except per share amounts)

(unaudited)

Three months

Twelve months

(a) Earnings per share calculation:

ended December 31,

2025

2024

2025

2024

Basic and diluted:

Net income attributable to UHS

$445,941

$332,397

$1,488,796

$1,142,097

Less: Net income attributable to unvested restricted share grants

(50)

Net income attributable to UHS - basic and diluted

$445,941

$332,397

$1,488,796

$1,142,047

Weighted average number of common shares - basic

62,024

65,597

63,581

66,554

Basic earnings per share attributable to UHS:

$7.19

$5.07

$23.42

$17.16

Weighted average number of common shares

62,024

65,597

63,581

66,554

Add: Other share equivalents

1,133

1,477

881

1,342

Weighted average number of common shares and equiv. - diluted

63,157

67,074

64,462

67,896

Diluted earnings per share attributable to UHS:

$7.06

$4.96

$23.10

$16.82

Universal Health Services, Inc.

Schedule of Non-GAAP Supplemental Information ("Supplemental Schedule")

For the Three Months ended December 31, 2025 and 2024

(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

December 31, 2025

revenues

December 31, 2024

revenues

Net income attributable to UHS

$445,941

$332,397

Depreciation and amortization

163,334

146,781

Interest expense, net

42,217

39,724

Provision for income taxes

133,605

101,264

EBITDA net of NCI

$785,097

17.5 %

$620,166

15.1 %

Other (income) expense, net

(106,427)

(5,546)

Adjusted EBITDA net of NCI

$678,670

15.1 %

$614,620

14.9 %

Net revenues

$4,486,048

$4,113,722

Calculation of Adjusted Net Income Attributable to UHS

Three months ended

December 31, 2025

December 31, 2024

Per

Amount

Diluted Share

Amount

Diluted Share

Net income attributable to UHS

$445,941

$7.06

$332,397

$4.96

Plus/minus after-tax adjustments:

(Gain) loss on marketable equity securities

(769)

(0.01)

(2,053)

(0.03)

Unrealized gain on non-marketable securities

(71,489)

(1.13)

Impact of ASU 2016-09, net

(2,284)

(0.04)

(407)

(0.01)

Subtotal adjustments

(74,542)

(1.18)

(2,460)

(0.04)

Adjusted net income attributable to UHS

$371,399

$5.88

$329,937

$4.92

Universal Health Services, Inc.

Schedule of Non-GAAP Supplemental Information ("Supplemental Schedule")

For the Twelve Months ended December 31, 2025 and 2024

(in thousands, except per share amounts)

(unaudited)

Calculation of Earnings/Adjusted Earnings Before Interest, Taxes, Depreciation and Amortization

("EBITDA/Adjusted EBITDA net of NCI")

Twelve months ended

% Net

Twelve months ended

% Net

December 31, 2025

revenues

December 31, 2024

revenues

Net income attributable to UHS

$1,488,796

$1,142,097

Depreciation and amortization

618,743

584,831

Interest expense, net

156,068

186,109

Provision for income taxes

460,959

334,827

EBITDA net of NCI

$2,724,566

15.7 %

$2,247,864

14.2 %

Other (income) expense, net

(134,194)

(2,231)

Adjusted EBITDA net of NCI

$2,590,372

14.9 %

$2,245,633

14.2 %

Net revenues

$17,364,829

$15,827,935

Calculation of Adjusted Net Income Attributable to UHS

Twelve months ended

December 31, 2025

December 31, 2024

Per

Amount

Diluted Share

Amount

Diluted Share

Net income attributable to UHS

$1,488,796

$23.10

$1,142,097

$16.82

Plus/minus after-tax adjustments:

(Gain) loss on marketable equity securities

(12,061)

(0.19)

1,985

0.03

Unrealized gain on non-marketable securities

(71,489)

(1.11)

Impact of ASU 2016-09, net

(4,164)

(0.06)

(15,947)

(0.24)

Subtotal adjustments

(87,714)

(1.36)

(13,962)

(0.21)

Adjusted net income attributable to UHS

$1,401,082

$21.74

$1,128,135

$16.61

Universal Health Services, Inc.

Condensed Consolidated Balance Sheets

(in thousands)

(unaudited)

December 31,

2025

2024

Assets

Current assets:

Cash and cash equivalents

137,797

125,983

Accounts receivable, net

2,602,434

2,177,751

Supplies

232,110

220,940

Other current assets

435,574

291,614

Total current assets

3,407,915

2,816,288

Property and equipment

13,489,811

12,643,283

Less: accumulated depreciation

(6,481,714)

(6,071,058)

7,008,097

6,572,225

Other assets:

Goodwill

3,990,213

3,932,879

Deferred income taxes

70,517

118,449

Right of use assets-operating leases

374,239

418,719

Deferred charges

9,272

9,404

Other

667,340

601,785

Total Assets

15,527,593

14,469,749

Liabilities and Stockholders' Equity

Current liabilities:

Current maturities of long-term debt

748,158

40,059

Accounts payable and other liabilities

2,416,276

2,081,479

Operating lease liabilities

73,237

74,649

Federal and state taxes

1,930

14,219

Total current liabilities

3,239,601

2,210,406

Other noncurrent liabilities

527,827

655,806

Operating lease liabilities noncurrent

340,715

376,239

Deferred income taxes

5,649

Long-term debt

4,004,393

4,464,482

Redeemable noncontrolling interest

70,620

13,293

UHS common stockholders' equity

7,275,792

6,666,207

Noncontrolling interest

62,996

83,316

Total equity

7,338,788

6,749,523

Total Liabilities and Stockholders' Equity

15,527,593

14,469,749

Universal Health Services, Inc.

Consolidated Statements of Cash Flows

(in thousands)

(unaudited)

Twelve months

ended December 31,

2025

2024

Cash Flows from Operating Activities:

Net income

$1,511,182

$1,163,109

Adjustments to reconcile net income to net

cash provided by operating activities:

Depreciation & amortization

618,743

584,831

Stock-based compensation expense

95,688

99,349

Unrealized gain on non-marketable securities

(93,291)

Loss (gain) on sales of assets and businesses

7,968

(9,920)

Costs related to extinguishment of debt

3,158

Changes in assets & liabilities, net of effects from

acquisitions and dispositions:

Accounts receivable

(317,985)

67,355

Accrued interest

(4,053)

12,814

Accrued and deferred income taxes

(21,441)

12,651

Other working capital accounts

99,189

61,897

Other assets and deferred charges

(28,599)

(12,163)

Other, net

19,700

21,811

Accrued insurance expense, net of commercial premiums paid

236,771

254,394

Payments made in settlement of self-insurance claims, net of commercial insurance reimbursements

(259,475)

(192,185)

Net cash provided by operating activities

1,864,397

2,067,101

Cash Flows from Investing Activities:

Property and equipment additions

(1,015,152)

(943,810)

Proceeds received from sales of assets and businesses

15,863

38,563

Acquisition of businesses and property

(47,804)

(18,998)

(Outflows) inflows from foreign exchange contracts that hedge our net U.K. investment

(52,213)

12,860

Costs incurred for purchase and development of enterprise resource planning application

(24,695)

Proceeds from sale of marketable equity securities

63,073

Investments in non-marketable securities

(9,831)

Decrease in capital reserves of commercial insurance subsidiary

142

276

Net cash used in investing activities

(1,070,617)

(911,109)

Cash Flows from Financing Activities:

Repayments of long-term debt

(43,504)

(2,640,001)

Additional borrowings

285,536

2,210,248

Financing costs

(382)

(12,566)

Repurchase of common shares

(967,951)

(670,754)

Dividends paid

(51,267)

(53,346)

Issuance of common stock

16,729

15,070

Profit distributions to noncontrolling interests

(11,734)

(6,508)

Purchase of ownership interests by minority members

22,846

12,980

Net cash used in financing activities

(749,727)

(1,144,877)

Effect of exchange rate changes on cash and cash equivalents

2,517

(833)

Increase in cash, cash equivalents and restricted cash

46,570

10,282

Cash, cash equivalents and restricted cash, beginning of period

224,752

214,470

Cash, cash equivalents and restricted cash, end of period

$271,322

$224,752

Supplemental Disclosures of Cash Flow Information:

Interest paid

$156,041

$168,274

Income taxes paid, net of refunds

$470,865

$325,430

Noncash purchases of property and equipment

$74,423

$118,109

Universal Health Services, Inc.

Supplemental Statistical Information

(unaudited)

% Change

3 Months ended

12 Months ended

Same Facility:

12/31/2025

Acute Care Hospitals (1)

Revenues

6.9 %

8.5 %

Adjusted Admissions

0.0 %

1.6 %

Adjusted Patient Days

-0.7 %

0.3 %

Revenue Per Adjusted Admission

5.4 %

Revenue Per Adjusted Patient Day

6.1 %

6.8 %

Behavioral Health Hospitals (1)

Revenues

7.2 %

7.7 %

Adjusted Admissions

1.8 %

0.2 %

Adjusted Patient Days

1.5 %

0.9 %

Revenue Per Adjusted Admission

5.3 %

7.5 %

Revenue Per Adjusted Patient Day

5.6 %

6.8 %

UHS Consolidated

Fourth Quarter Ended

Twelve Months Ended

12/31/2025

12/31/2024

12/31/2025

12/31/2024

Revenues

$4,486,048

$4,113,722

$17,364,829

$15,827,935

EBITDA net of NCI

$785,097

$620,166

$2,724,566

$2,247,864

EBITDA Margin net of NCI

17.5 %

15.1 %

15.7 %

14.2 %

Adjusted EBITDA net of NCI

$678,670

$614,620

$2,590,372

$2,245,633

Adjusted EBITDA Margin net of NCI

15.1 %

14.9 %

14.2 %

Cash Flow From Operations

$574,693

$658,437

$1,864,397

$2,067,101

Capital Expenditures

$281,220

$245,945

$1,015,152

$943,810

Days Sales Outstanding

Debt

$4,752,551

$4,504,541

UHS' Shareholders Equity

$7,275,792

$6,666,207

Debt / Total Capitalization

39.5 %

40.3 %

Debt / EBITDA net of NCI (2)

1.74

2.00

Debt / Adjusted EBITDA net of NCI (2)

1.83

2.01

Debt / Cash From Operations (2)

2.55

2.18

(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 May 1, 2024 to conform with current year presentation.

(2) Latest 4 quarters.

Universal Health Services, Inc.

Acute Care Hospital Services

For the Three and Twelve months ended

December 31, 2025 and 2024

(in thousands)

(unaudited)

Same Facility Basis - Acute Care Hospital Services

Three months ended

Twelve months ended

December 31, 2025

December 31, 2024

December 31, 2025

December 31, 2024

Amount

% of Net

Revenues

Amount

% of Net

Revenues

Amount

% of Net

Revenues

Amount

% of Net

Revenues

Net revenues

$2,374,204

100.0 %

$2,220,941

100.0 %

$9,323,647

100.0 %

$8,590,209

100.0 %

Operating charges:

Salaries, wages and benefits

947,349

39.9 %

901,004

40.6 %

3,687,017

39.5 %

3,518,909

41.0 %

Other operating expenses

692,685

29.2 %

626,978

28.2 %

2,664,397

28.6 %

2,384,758

27.8 %

Supplies expense

356,967

15.0 %

348,558

15.7 %

1,397,254

15.0 %

1,360,652

15.8 %

Depreciation and amortization

94,702

4.0 %

89,225

4.0 %

361,988

3.9 %

367,822

4.3 %

Lease and rental expense

26,222

1.1 %

26,425

1.2 %

100,678

1.1 %

98,777

1.1 %

Subtotal-operating expenses

2,117,925

89.2 %

1,992,190

89.7 %

8,211,334

88.1 %

7,730,918

90.0 %

Income from operations

256,279

10.8 %

228,751

10.3 %

1,112,313

11.9 %

859,291

10.0 %

Interest expense, net

5,007

0.2 %

2,976

0.1 %

5,975

0.1 %

6,339

0.1 %

Other (income) expense, net

(10,902)

(0.5) %

(775)

(0.0) %

(21,163)

(0.2) %

(1,882)

(0.0) %

Income before income taxes

$262,174

11.0 %

$226,550

10.2 %

$1,127,501

12.1 %

$854,834

10.0 %

All Acute Care Hospital Services

Three months ended

Twelve months ended

December 31, 2025

December 31, 2024

December 31, 2025

December 31, 2024

Amount

% of Net

Revenues

Amount

% of Net

Revenues

Amount

% of Net

Revenues

Amount

% of Net

Revenues

Net revenues

$2,545,579

100.0 %

$2,326,702

100.0 %

$9,925,907

100.0 %

$8,944,288

100.0 %

Operating charges:

Salaries, wages and benefits

976,301

38.4 %

903,457

38.8 %

3,797,810

38.3 %

3,523,526

39.4 %

Other operating expenses

828,716

32.6 %

735,765

31.6 %

3,179,922

32.0 %

2,747,066

30.7 %

Supplies expense

361,984

14.2 %

348,841

15.0 %

1,426,059

14.4 %

1,360,758

15.2 %

Depreciation and amortization

100,398

3.9 %

89,297

3.8 %

388,804

3.9 %

368,717

4.1 %

Lease and rental expense

26,501

1.0 %

26,425

1.1 %

101,622

1.0 %

99,066

1.1 %

Subtotal-operating expenses

2,293,900

90.1 %

2,103,785

90.4 %

8,894,217

89.6 %

8,099,133

90.6 %

Income from operations

251,679

9.9 %

222,917

9.6 %

1,031,690

10.4 %

845,155

9.4 %

Interest expense, net

5,108

0.2 %

2,976

0.1 %

6,285

0.1 %

6,339

0.1 %

Other (income) expense, net

(11,727)

(0.5) %

(951)

(0.0) %

(21,533)

(0.2) %

(1,305)

(0.0) %

Income before income taxes

$258,298

10.1 %

$220,892

9.5 %

$1,046,938

10.5 %

$840,121

9.4 %

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 May 1, 2024 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 and Twelve months ended

December 31, 2025 and 2024

(in thousands)

(unaudited)

Same Facility Basis - Behavioral Health Care Services

Three months ended

Twelve months ended

December 31, 2025

December 31, 2024

December 31, 2025

December 31, 2024

Amount

% of Net

Revenues

Amount

% of Net

Revenues

Amount

% of Net

Revenues

Amount

% of Net

Revenues

Net revenues

$1,838,453

100.0 %

$1,715,590

100.0 %

$7,185,336

100.0 %

$6,668,971

100.0 %

Operating charges:

Salaries, wages and benefits

986,078

53.6 %

905,324

52.8 %

3,876,831

54.0 %

3,574,879

53.6 %

Other operating expenses

339,582

18.5 %

326,173

19.0 %

1,338,907

18.6 %

1,263,911

19.0 %

Supplies expense

61,644

3.4 %

57,775

3.4 %

234,606

3.3 %

228,606

3.4 %

Depreciation and amortization

58,551

3.2 %

54,562

3.2 %

217,375

3.0 %

204,197

3.1 %

Lease and rental expense

11,862

0.6 %

11,243

0.7 %

45,178

0.6 %

45,626

0.7 %

Subtotal-operating expenses

1,457,717

79.3 %

1,355,077

79.0 %

5,712,897

79.5 %

5,317,219

79.7 %

Income from operations

380,736

20.7 %

360,513

21.0 %

1,472,439

20.5 %

1,351,752

20.3 %

Interest expense, net

596

0.0 %

951

0.1 %

4,021

0.1 %

4,027

0.1 %

Other (income) expense, net

(209)

(0.0) %

(1,139)

(0.1) %

(2,107)

(0.0) %

(3,480)

(0.1) %

Income before income taxes

$380,349

20.7 %

$360,701

21.0 %

$1,470,525

20.5 %

$1,351,205

20.3 %

All Behavioral Health Care Services

Three months ended

Twelve months ended

December 31, 2025

December 31, 2024

December 31, 2025

December 31, 2024

Amount

% of Net

Revenues

Amount

% of Net

Revenues

Amount

% of Net

Revenues

Amount

% of Net

Revenues

Net revenues

$1,937,516

100.0 %

$1,784,379

100.0 %

$7,425,500

100.0 %

$6,873,090

100.0 %

Operating charges:

Salaries, wages and benefits

992,582

51.2 %

908,789

50.9 %

3,893,474

52.4 %

3,590,956

52.2 %

Other operating expenses

428,196

22.1 %

391,920

22.0 %

1,566,405

21.1 %

1,443,857

21.0 %

Supplies expense

61,878

3.2 %

57,953

3.2 %

235,422

3.2 %

229,527

3.3 %

Depreciation and amortization

60,503

3.1 %

55,164

3.1 %

220,464

3.0 %

205,741

3.0 %

Lease and rental expense

12,272

0.6 %

11,748

0.7 %

46,257

0.6 %

46,980

0.7 %

Subtotal-operating expenses

1,555,431

80.3 %

1,425,574

79.9 %

5,962,022

80.3 %

5,517,061

80.3 %

Income from operations

382,085

19.7 %

358,805

20.1 %

1,463,478

19.7 %

1,356,029

19.7 %

Interest expense, net

666

0.0 %

951

0.1 %

4,110

0.1 %

4,027

0.1 %

Other (income) expense, net

(206)

(0.0) %

(1,139)

(0.1) %

(1,135)

(0.0) %

(3,547)

(0.1) %

Income before income taxes

$381,625

19.7 %

$358,993

20.1 %

$1,460,503

19.7 %

$1,355,549

19.7 %

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.

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

December 31, 2025 and 2024

(unaudited)

AS REPORTED:

ACUTE

BEHAVIORAL HEALTH

12/31/25

12/31/24

% change

12/31/25

12/31/24

% change

Hospitals owned and leased

3.6 %

345

331

4.2 %

Average licensed beds

7,165

6,847

4.6 %

24,436

24,080

1.5 %

Average available beds

6,993

6,675

4.8 %

24,336

23,980

1.5 %

Patient days

414,230

409,299

1.2 %

1,616,026

1,581,195

2.2 %

Average daily census

4,502.5

4,448.9

1.2 %

17,565.5

17,186.9

2.2 %

Occupancy-licensed beds

62.8 %

65.0 %

-3.3 %

71.9 %

71.4 %

0.7 %

Occupancy-available beds

64.4 %

66.7 %

-3.4 %

72.2 %

71.7 %

0.7 %

Admissions

87,277

85,444

2.1 %

115,654

114,236

1.2 %

Length of stay

4.7

4.8

-2.1 %

14.0

13.8

1.4 %

Inpatient revenue

$14,235,538

$12,502,393

13.9 %

$3,018,727

$2,740,068

10.2 %

Outpatient revenue

9,974,040

8,645,714

15.4 %

296,161

284,689

4.0 %

Total patient revenue

24,209,578

21,148,107

14.5 %

3,314,888

3,024,757

9.6 %

Other revenue

304,196

251,237

21.1 %

101,945

83,784

21.7 %

Gross revenue

24,513,774

21,399,344

14.6 %

3,416,833

3,108,541

9.9 %

Total deductions

21,968,195

19,072,642

15.2 %

1,479,317

1,324,162

11.7 %

Net revenue

$2,545,579

$2,326,702

9.4 %

$1,937,516

$1,784,379

8.6 %

SAME FACILITY:

ACUTE

BEHAVIORAL HEALTH

12/31/25

12/31/24

% change

12/31/25

12/31/24

% change

Hospitals owned and leased

0.0 %

334

0.0 %

Average licensed beds

6,923

6,847

1.1 %

24,050

23,895

0.6 %

Average available beds

6,751

6,675

1.1 %

23,950

23,795

0.7 %

Patient days

404,644

409,299

-1.1 %

1,592,235

1,566,594

1.6 %

Average daily census

4,398.3

4,448.9

-1.1 %

17,306.9

17,028.2

1.6 %

Occupancy-licensed beds

63.5 %

65.0 %

-2.2 %

72.0 %

71.3 %

1.0 %

Occupancy-available beds

65.2 %

66.7 %

-2.3 %

72.3 %

71.6 %

1.0 %

Admissions

85,033

85,444

-0.5 %

114,718

113,039

1.5 %

Length of stay

4.8

0.0 %

13.9

0.0 %

Universal Health Services, Inc.

Selected Hospital Statistics

For the Twelve Months ended

December 31, 2025 and 2024

(unaudited)

AS REPORTED:

ACUTE

BEHAVIORAL HEALTH

12/31/25

12/31/24

% change

12/31/25

12/31/24

% change

Hospitals owned and leased

3.6 %

345

331

4.2 %

Average licensed beds

7,073

6,763

4.6 %

24,342

24,274

0.3 %

Average available beds

6,901

6,591

4.7 %

24,242

24,187

0.2 %

Patient days

1,657,502

1,621,966

2.2 %

6,476,268

6,426,265

0.8 %

Average daily census

4,541.1

4,431.6

2.5 %

17,743.2

17,558.1

1.1 %

Occupancy-licensed beds

64.2 %

65.5 %

-2.0 %

72.9 %

72.3 %

0.8 %

Occupancy-available beds

65.8 %

67.2 %

-2.1 %

73.2 %

72.6 %

0.8 %

Admissions

347,736

334,918

3.8 %

473,071

473,081

0.0 %

Length of stay

4.8

0.0 %

13.7

13.6

0.7 %

Inpatient revenue

$56,351,981

$50,051,514

12.6 %

$11,943,845

$11,088,812

7.7 %

Outpatient revenue

38,767,055

34,199,936

13.4 %

1,148,851

1,117,178

2.8 %

Total patient revenue

95,119,036

84,251,450

12.9 %

13,092,696

12,205,990

7.3 %

Other revenue

1,186,100

998,677

18.8 %

383,244

330,950

15.8 %

Gross revenue

96,305,136

85,250,127

13.0 %

13,475,940

12,536,940

7.5 %

Total deductions

86,379,229

76,305,839

13.2 %

6,050,440

5,663,850

6.8 %

Net revenue

$9,925,907

$8,944,288

11.0 %

$7,425,500

$6,873,090

8.0 %

SAME FACILITY:

ACUTE

BEHAVIORAL HEALTH

12/31/25

12/31/24

% change

12/31/25

12/31/24

% change

Hospitals owned and leased

0.0 %

334

0.0 %

Average licensed beds

6,830

6,763

1.0 %

24,087

23,909

0.7 %

Average available beds

6,658

6,591

1.0 %

23,987

23,809

0.7 %

Patient days

1,621,440

1,621,966

0.0 %

6,415,058

6,344,903

1.1 %

Average daily census

4,442.3

4,431.6

0.2 %

17,575.5

17,335.8

1.4 %

Occupancy-licensed beds

65.0 %

65.5 %

-0.7 %

73.0 %

72.5 %

0.6 %

Occupancy-available beds

66.7 %

67.2 %

-0.8 %

73.3 %

72.8 %

0.6 %

Admissions

339,174

334,918

1.3 %

469,571

467,508

0.4 %

Length of stay

4.8

0.0 %

13.7

13.6

0.7 %

Universal Health Services, Inc.

Supplemental Non-GAAP Disclosures

2026 Operating Results Forecast

(in thousands, except per share amounts)

Forecast For The Year Ending December 31, 2026

% Net

Low

revenues

High

revenues

Net revenues

$18,417,000

$18,789,000

Adjusted net income attributable to UHS (a)

$1,366,561

$1,479,817

Depreciation and amortization

671,628

Interest expense

181,140

Other (income) expense, net

(7,960)

Provision for income taxes

429,183

464,751

Adjusted EBITDA net of NCI (b)

$2,640,552

14.3 %

$2,789,376

14.8 %

Adjusted net income attributable to UHS, per diluted share (a)

$22.64

$24.52

Shares used in computing diluted earnings per share

60,349

(a) Adjusted net income attributable to UHS/per diluted share exclude the following items because we do not believe we can forecast these items with sufficient accuracy. Such items include: the impact of future items, if applicable, that are nonrecurring or non-operational in nature including items such as pre-tax unrealized gains/losses resulting from changes in the value of certain non-marketable securities, the impact of ASU 2016-09, and other potential material items 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, other amounts that may be reflected in the current or prior year financial statements that relate to prior periods, and the impact of share repurchases that differ from our forecasted assumptions. Adjusted net income attributable to UHS/per diluted share is also subject to certain conditions including those as set forth in General Information, Forward-Looking Statements and Risk Factors and Non-GAAP Financial Measures.

(b) Adjusted EBITDA net of NCI is a non-GAAP financial measure and should not be considered a measure of financial performance under GAAP. We believe Adjusted EBITDA net of NCI is helpful to our investors as a measure of operating performance.

SOURCE Universal Health Services, Inc.