Universal Health Services' higher expenses weigh on third-quarter profit

Universal Health Services

24/10/2024 23:08

Oct 24 (Reuters) - Hospital operator Universal Health
Services  UHS.N  reported on Thursday its third-quarter profit
in line with Wall Street estimates, hurt by increased expenses,
such as salaries and wages for its staff. 
        Shares of the company fell nearly 8% to $207 after the
bell.  
  
        Expenses on salaries, wages and benefits rose 7% to $1.9
billion for the third quarter and overall operating charges rose
9.2% to $3.6 billion.
  
    Quarterly same facility adjusted admissions increased by
1.5% at its acute care hospitals, while same facility adjusted
admissions were up 2.2% at the behavioral health care
facilities, as more patients sought medical care that required
hospital stay. 
    Hospital operators have been benefiting from an uptick in
demand for medical care, as older adults are catching up on
surgeries delayed during the pandemic.
    The King of Prussia, Pennsylvania-based company posted an
adjusted profit of $3.71 per share for the quarter ended Sept.
30, compared with analysts' estimates of $3.70 per share,
according to data compiled by LSEG.
        Universal Health had previously forecast 2024 profit in
the range of $15.40 to $16.20 per share and revenues of $15.57
billion to $15.75 billion. 

 (Reporting by Bhanvi Satija in Bengaluru; Editing by Mohammed
Safi Shamsi)
 ((Bhanvi.Satija@thomsonreuters.com; Outside U.S. +91
9873062788;))