Consolidated Results of Operations, As Reported and As
Adjusted – Three-month periods ended June 30, 2022 and 2021:
KING OF
PRUSSIA, Pa., July 25,
2022 /PRNewswire/ -- Universal Health Services, Inc.
(NYSE: UHS) announced today that its reported net income
attributable to UHS was $164.1
million, or $2.20 per diluted
share, during the second quarter of 2022, as compared to
$325.0 million, or $3.79 per diluted share, during the second
quarter of 2021. Net revenues increased by 3.9% to $3.323 billion during the second quarter of 2022
as compared to $3.198 billion during
the second quarter of 2021.
As reflected on the Schedule of Non-GAAP Supplemental
Information ("Supplemental Schedule"), our adjusted net income
attributable to UHS during the second quarter of 2022 was
$163.9 million, or $2.20 per diluted share, as compared to
$322.3 million, or $3.76 per diluted share, during the second
quarter of 2021.
Included in our reported and adjusted net income attributable to
UHS during the three and six-month periods ended June 30, 2021 was a net favorable after-tax
impact of approximately $29.8
million, or $.35 per diluted
share, from the following: (i) a favorable after-tax impact of
$42.3 million, or $.49 per diluted share, resulting from
approximately $55 million of revenues
recorded during the second quarter of 2021 in connection with the
Kentucky Medicaid managed care hospital rate increase program
(covering the period of July 1, 2020
to June 30, 2021); (ii) an
unfavorable after-tax impact of approximately $27.2 million, or $.32 per diluted share, resulting from a
$36 million increase to our reserves
for self-insured professional and general liability claims, and;
(iii) an aggregate favorable after-tax impact of $14.6 million, or $.17 per diluted share, resulting from commercial
insurance proceeds of approximately $19
million received during the second quarter of 2021 in
connection with a previously incurred information technology
incident and the COVID-19 pandemic.
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 $384.5
million during the second quarter of 2022, as compared to
$581.8 million during the second
quarter of 2021. Our adjusted earnings before interest, taxes,
depreciation & amortization ("Adjusted EBITDA net of NCI"),
which excludes the impact of other (income) expense, net, was
$382.6 million during the second
quarter of 2022, as compared to $572.7
million during the second quarter of 2021.
Consolidated Results of Operations, As Reported and As
Adjusted – Six-month periods ended June 30, 2022 and 2021:
Reported net income attributable to UHS was $318.0 million, or $4.22 per diluted share, during the first six
months 2022, as compared to $534.1
million, or $6.22 per diluted
share, during the first six months of 2021. Net revenues increased
by 6.5% to $6.616 billion during the
first six months of 2022 as compared to $6.211 billion during the comparable period of
2021.
As reflected on the Supplemental Schedule, our adjusted net
income attributable to UHS during the six-month period ended
June 30, 2022 was $327.4 million, or $4.35 per diluted share, as compared to
$532.4 million, or $6.20 per diluted share, during the six-month
period ended June 30, 2021.
As reflected on the Supplemental Schedule, included in our
reported results during the first six months of 2022, was an
unfavorable after-tax unrealized loss of $9.4 million, or $.13 per diluted share, ($12.3 million pre-tax which is included in "Other
(income) expense, net"), resulting from a decrease in the market
value of certain equity securities.
As reflected on the Supplemental Schedule, included in our
reported results during the six-month period ended June 30, 2021, was a net aggregate favorable
after-tax impact of $1.7 million, or
$.02 per diluted share, consisting of
the following: (i) an after-tax unrealized loss of $0.5 million, or $.01 per diluted share, resulting from a decrease
in the market value of certain marketable securities, and; (ii) a
favorable after-tax impact of $2.2
million, or $.03 per diluted
share, resulting from ASU 2016-09, "Compensation-Stock Compensation
(Topic 718): Improvements to Employee Share-Based Payment
Accounting" ("ASU 2016-09").
As calculated on the attached Supplemental Schedule, our EBITDA
net of NCI was $752.9 million during
the first six months of 2022, as compared to $1.008 billion during the first six months of
2021. Our Adjusted EBITDA net of NCI was $762.1 million during the first six months of
2022, as compared to $999.8 million
during the first six months of 2021.
Acute Care Services – Three and six-month periods ended
June 30, 2022 and 2021:
During the second quarter of 2022, at our acute care hospitals
owned during both periods ("same facility basis"), adjusted
admissions (adjusted for outpatient activity) decreased by 0.7%
while adjusted patient days increased by 1.8%, as compared to the
second quarter of 2021. At these facilities, during the second
quarter of 2022, net revenue per adjusted admission increased by
2.5% while net revenue per adjusted patient day remained unchanged,
as compared to the second quarter of 2021. Net revenues generated
from our acute care services on a same facility basis increased by
3.3% during the second quarter of 2022, as compared to the second
quarter of 2021.
As previously disclosed in our update on operating results for
the second quarter of 2022 and revision of 2022 full year guidance,
as announced on June 30, 2022, our
acute care hospitals experienced a significant decline in
COVID-related patients during the second quarter of 2022, as
compared to the first quarter of 2022. The decrease in
COVID-related patient volumes during the second quarter of 2022 was
not offset by an equivalent increase in non-COVID-related patients
resulting in significant shortfalls in revenues and earnings as
compared to our original forecasts the quarter. Although the
decreased patient volumes at our acute care hospitals has relieved
some of the staffing shortages and related cost escalations
previously experienced at those facilities, recovery from the
effects of the labor pressures has been occurring at a somewhat
slower pace than expected.
During the six-month period ended June
30, 2022, at our acute care hospitals on a same facility
basis, adjusted admissions increased by 2.4% while adjusted patient
days increased by 3.6%, as compared to the comparable six-month
period of 2021. At these facilities, during the first six months of
2022, net revenue per adjusted admission increased by 2.9% while
net revenue per adjusted patient day increased by 1.6%, as compared
to the comparable six-month period of 2021. Net revenues generated
from our acute care services on a same facility basis increased by
6.5% during the first six months of 2022, as compared to the
comparable six-month period of 2021.
Behavioral Health Care Services – Three and six-month periods
ended June 30, 2022 and 2021:
During the second quarter of 2022, at behavioral health care
facilities on a same facility basis, adjusted admissions decreased
by 0.1% while adjusted patient days increased by 0.7%, as compared
to the second quarter of 2021. At these facilities, during the
second quarter of 2022, net revenue per adjusted admission
increased by 2.6% and net revenue per adjusted patient day
increased by 1.8%, as compared to the second quarter of 2021.
Net revenues generated from our behavioral health care services
increased by 0.5% during the second quarter of 2022, as compared to
the second quarter of 2021.
During the six-month period ended June
30, 2022, at behavioral health care facilities on a same
facility basis, adjusted admissions decreased by 1.0% while
adjusted patient days decreased by 0.3%, as compared to the
comparable six-month period of 2021. At these facilities, during
the first six months of 2022, net revenue per adjusted admission
increased by 4.2% and net revenue per adjusted patient day
increased by 3.4%, as compared to the comparable six-month period
of 2021. Net revenues generated from our behavioral health care
services increased by 2.1% during the first six months of 2022, as
compared to the comparable period of 2021.
COVID-19 and Staffing Shortage
The impact of the COVID-19 pandemic, which began during the
second half of March, 2020, has had a material effect on our
operations and financial results since that time. The length and
extent of the disruptions caused by the COVID‑19 pandemic are
currently unknown; however, we expect such disruptions to continue
during the remainder of 2022. Since the future volumes and severity
of COVID-19 patients remain highly uncertain and subject to change,
including potential increases in future COVID-19 patient volumes
caused by new variants of the virus, as well as related pressures
on staffing and wage rates, we are not able to fully quantify the
impact that these factors will have on our future financial
results. However, developments related to the COVID-19
pandemic could continue to materially affect our financial
performance during the remainder of 2022.
The nationwide shortage of nurses and other clinical staff and
support personnel has been a significant operating issue facing us
and other healthcare providers. Like others in the healthcare
industry, we continue to experience a shortage of nurses and other
clinical staff and support personnel at our acute care and
behavioral health care hospitals in many geographic areas. In some
areas, the labor scarcity is putting a strain on our resources and
staff, which has required us to utilize higher‑cost temporary labor
and pay premiums above standard compensation for essential workers.
This staffing shortage has required us to hire expensive temporary
personnel and/or enhance wages and benefits to recruit and retain
nurses and other clinical staff and support personnel. At certain
facilities, particularly within our behavioral health care segment,
we have been unable to fill all vacant positions and, consequently,
have been required to limit patient volumes. These factors, which
had a material unfavorable impact on our results of operations
during the first six months of 2022, are expected to have an
unfavorable material impact on our results of operations during the
remainder of 2022.
However, as previously disclosed on June
30, 2022, our revised operating results forecast for the
balance of 2022 assumes that staffing vacancies and the
corresponding premium pay expenditures will continue to
sequentially decline in the second half of the year and that
non-COVID patient volumes will incrementally improve, although both
at a slower pace than our original forecast anticipated. We believe
these assumptions will be bolstered by our continuing recruitment
and retention initiatives, by changes to our historical patient
care models, by other cost cutting measures and by aggressive
contractual negotiations and renegotiations with our managed care
payers.
Net Cash Provided by Operating Activities and
Liquidity:
Net Cash Provided by Operating Activities:
During the six-month period ended June
30, 2022, our net cash provided by operating activities was
$478 million as compared to
$119 million during the comparable
six-month period of 2021. The $359
million net increase in our net cash provided by operating
activities during the first six months of 2022, as compared to the
first six months of 2021, was due to: (i) a favorable change of
$695 million resulting from the early
return of Medicare accelerated payments which were received during
2020 and repaid during the first quarter of 2021, partially offset
by; (ii) an unfavorable change of $199
million resulting from a decrease in net income plus
depreciation and amortization expense, stock-based compensation
expense, gain/loss on sales of assets and businesses, and provision
for asset impairment; (iii) an unfavorable change of $102 million from other working capital accounts
due primarily to the timing of disbursements for accrued expenses,
accounts payable and accrued compensation, and; (iv) $35 million of other combined net unfavorable
changes.
Liquidity:
As of June 30, 2022, we had
$1.056 billion of aggregate available
borrowing capacity pursuant to our $1.2
billion revolving credit facility, net of outstanding
borrowings and letters of credit. In June, 2022, we entered
into an amendment to our credit agreement which, among other
things, added a new incremental tranche A term loan facility in the
aggregate principal amount of $700
million. The net proceeds generated from the incremental
tranche A term loan facility were used to repay a portion of the
borrowings that were previously outstanding under our $1.2 billion revolving credit
facility.
Stock Repurchase Program:
As of December 31, 2021, we had an
aggregate remaining repurchase authorization of approximately
$358 million pursuant to our stock
repurchase program. In February of 2022, our Board of Directors
authorized a $1.4 billion increase to
the program. As of June 30, 2022, we
had an aggregate available repurchase authorization of $1.21 billion.
Pursuant to the terms of 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. During the second quarter of 2022, we have
repurchased approximately 1.61 million shares at an aggregate cost
of approximately $195.6 million
(approximately $122 per share)
pursuant to the program. During the first six months of 2022,
we have repurchased approximately 4.25 million shares at an
aggregate cost of approximately $545.8
million (approximately $128
per share) pursuant to the program.
Conference call information:
We will hold a conference call for investors and analysts at
9:00 a.m. eastern time on
July 26, 2022. A live webcast
of the call will be available on our website at www.uhs.com.
To participate via telephone, please register in advance by
accessing 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.
has built an impressive record of achievement and performance.
Growing steadily since our inception into an esteemed Fortune 500
corporation, our annual revenues during 2021 were approximately
$12.6 billion. In 2022, UHS was again
recognized as one of the World's Most Admired Companies by
Fortune; ranked #297 on the Fortune 500; and in 2021, ranked
#307 on Forbes' list of America's Largest Public
Companies.
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.
Headquartered in King of Prussia,
PA, UHS has over 89,000 employees and through its
subsidiaries operates 28 acute care hospitals, 333 behavioral
health facilities, 41 outpatient facilities and ambulatory care
access points, an insurance offering, a physician network and
various related services located in 39 U.S. states, Washington, D.C., Puerto Rico and the United Kingdom. It 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 the anticipated impact of
COVID-19 on our operations and financial results, those related to
healthcare industry trends and those detailed in our filings with
the Securities and Exchange Commission (as set forth in Item
2-Forward Looking Statements and Risk Factors in our Form 10-Q
for the quarter ended March 31, 2022
and in Item 1A-Risk Factors and in Item
7-Forward-Looking Statements and Risk Factors in our Form 10-K
for the year ended December 31,
2021), 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 the impact of
the COVID-19 pandemic. Our future operations and financial results
will likely be materially unfavorably impacted by developments
related to COVID-19 including, but not limited to, the potential
impact on future COVID-19 patient volumes resulting from new
variants of the virus, the length of time and severity of the
spread of the pandemic; the volume of cancelled or rescheduled
elective procedures and the volume of COVID-19 patients treated at
our hospitals and other healthcare facilities; measures we are
taking to respond to the COVID-19 pandemic; the impact of
government and administrative regulation and stimulus on the
hospital industry and potential retrospective adjustment in future
periods of CARES Act and other grant income revenues recorded as
revenues in prior periods; declining patient volumes and
unfavorable changes in payer mix caused by deteriorating
macroeconomic conditions (including increases in uninsured and
underinsured patients as the result of business closings and
layoffs); potential disruptions to our clinical staffing and
shortages and disruptions related to supplies required for our
employees and patients; potential increases to expenses and other
costs related to staffing, supply chain, construction and medical
equipment costs and other expenditures resulting from inflation;
the impact of our substantial indebtedness and the ability to
refinance such indebtedness on acceptable terms, as well as risks
associated with disruptions in the financial markets and the
business of financial institutions as the result of the COVID-19
pandemic which could impact us from a financing perspective; and
changes in general economic conditions nationally and regionally in
our markets resulting from the COVID-19 pandemic. In addition,
please see the disclosure above in COVID-19 and Staffing
Shortage, in connection with the nationwide shortage of nurses
and other clinical staff and support personnel which has had, and
is expected to continue to have, a material unfavorable impact on
our results of operations.
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 market value of shares
of certain equity securities and other potential material items
that are nonrecurring or non-operational in nature including, but
not limited to, impairments of goodwill and 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, 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 other filings with the
Securities and Exchange Commission including our Report on Form
10-Q for the quarter ended March 31,
2022 and our Report on Form 10-K for the year ended
December 31, 2021. 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
|
|
Six months
|
|
ended June
30,
|
|
ended June
30,
|
|
2022
|
|
2021
|
|
2022
|
|
2021
|
|
|
|
|
|
|
|
|
Net revenues
|
$3,323,407
|
|
$3,197,880
|
|
$6,616,363
|
|
$6,210,867
|
|
|
|
|
|
|
|
|
Operating charges:
|
|
|
|
|
|
|
|
Salaries,
wages and benefits
|
1,691,472
|
|
1,487,935
|
|
3,383,742
|
|
2,985,708
|
Other
operating expenses
|
867,885
|
|
769,810
|
|
1,688,819
|
|
1,479,518
|
Supplies
expense
|
354,993
|
|
338,033
|
|
726,066
|
|
685,143
|
Depreciation and amortization
|
143,850
|
|
133,985
|
|
287,634
|
|
265,388
|
Lease and
rental expense
|
31,773
|
|
29,149
|
|
63,811
|
|
60,473
|
|
3,089,973
|
|
2,758,912
|
|
6,150,072
|
|
5,476,230
|
|
|
|
|
|
|
|
|
Income from
operations
|
233,434
|
|
438,968
|
|
466,291
|
|
734,637
|
|
|
|
|
|
|
|
|
Interest expense,
net
|
25,676
|
|
21,299
|
|
47,349
|
|
43,256
|
Other (income) expense,
net
|
(1,972)
|
|
(9,129)
|
|
9,229
|
|
(8,294)
|
|
|
|
|
|
|
|
|
Income before income
taxes
|
209,730
|
|
426,798
|
|
409,713
|
|
699,675
|
|
|
|
|
|
|
|
|
Provision for income
taxes
|
50,949
|
|
101,522
|
|
99,911
|
|
165,329
|
|
|
|
|
|
|
|
|
Net income
|
158,781
|
|
325,276
|
|
309,802
|
|
534,346
|
|
|
|
|
|
|
|
|
Less: Net income
(loss) attributable to
|
|
|
|
|
|
|
|
noncontrolling
interests ("NCI")
|
(5,281)
|
|
252
|
|
(8,173)
|
|
231
|
|
|
|
|
|
|
|
|
Net income attributable
to UHS
|
$164,062
|
|
$325,024
|
|
$317,975
|
|
$534,115
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic earnings per
share attributable to UHS (a)
|
$2.22
|
|
$3.85
|
|
$4.27
|
|
$6.31
|
|
|
|
|
|
|
|
|
Diluted earnings per
share attributable to UHS (a)
|
$2.20
|
|
$3.79
|
|
$4.22
|
|
$6.22
|
Universal Health Services, Inc.
|
Footnotes to Consolidated Statements of
Income
|
(in thousands, except
per share amounts)
|
(unaudited)
|
|
|
|
|
|
|
|
|
|
Three
months
|
|
Six months
|
(a) Earnings per share
calculation:
|
ended June
30,
|
|
ended June
30,
|
|
2022
|
|
2021
|
|
2022
|
|
2021
|
Basic and diluted:
|
|
|
|
|
|
|
|
Net income attributable
to UHS
|
$164,062
|
|
$325,024
|
|
$317,975
|
|
$534,115
|
Less: Net income
attributable to unvested restricted share grants
|
(164)
|
|
(661)
|
|
(413)
|
|
(1,213)
|
Net income attributable
to UHS - basic and diluted
|
$163,898
|
|
$324,363
|
|
$317,562
|
|
$532,902
|
|
|
|
|
|
|
|
|
Weighted average number
of common shares - basic
|
73,682
|
|
84,224
|
|
74,356
|
|
84,503
|
|
|
|
|
|
|
|
|
Basic earnings per
share attributable to UHS:
|
$2.22
|
|
$3.85
|
|
$4.27
|
|
$6.31
|
|
|
|
|
|
|
|
|
Weighted average number
of common shares
|
73,682
|
|
84,224
|
|
74,356
|
|
84,503
|
Add: Other share
equivalents
|
753
|
|
1,400
|
|
882
|
|
1,207
|
Weighted average number
of common shares and equiv. - diluted
|
74,435
|
|
85,624
|
|
75,238
|
|
85,710
|
|
|
|
|
|
|
|
|
Diluted earnings per
share attributable to UHS:
|
$2.20
|
|
$3.79
|
|
$4.22
|
|
$6.22
|
Universal Health Services, Inc.
|
Schedule of Non-GAAP Supplemental Information
("Supplemental Schedule")
|
For the Three Months ended June 30, 2022 and
2021
|
(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
|
|
June 30, 2022
|
|
revenues
|
|
June 30, 2021
|
|
revenues
|
|
|
|
|
|
|
|
|
Net income attributable
to UHS
|
$164,062
|
|
|
|
$325,024
|
|
|
Depreciation and amortization
|
143,850
|
|
|
|
133,985
|
|
|
Interest
expense, net
|
25,676
|
|
|
|
21,299
|
|
|
Provision
for income taxes
|
50,949
|
|
|
|
101,522
|
|
|
EBITDA net of
NCI
|
$384,537
|
|
11.6 %
|
|
$581,830
|
|
18.2 %
|
|
|
|
|
|
|
|
|
Other (income) expense,
net
|
(1,972)
|
|
|
|
(9,129)
|
|
|
Adjusted EBITDA net of
NCI
|
$382,565
|
|
11.5 %
|
|
$572,701
|
|
17.9 %
|
|
|
|
|
|
|
|
|
Net revenues
|
$3,323,407
|
|
|
|
$3,197,880
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Calculation of Adjusted Net Income Attributable to
UHS
|
|
|
|
|
|
|
|
|
|
Three months
ended
|
|
Three months
ended
|
|
June 30, 2022
|
|
June 30, 2021
|
|
|
|
Per
|
|
|
|
Per
|
|
Amount
|
|
Diluted Share
|
|
Amount
|
|
Diluted Share
|
|
|
|
|
|
|
|
|
Net income attributable
to UHS
|
$164,062
|
|
$2.20
|
|
$325,024
|
|
$3.79
|
Plus/minus after-tax
adjustments:
|
|
|
|
|
|
|
|
Unrealized gain on
equity securities
|
(153)
|
|
-
|
|
(1,607)
|
|
(0.02)
|
Impact of ASU
2016-09
|
-
|
|
-
|
|
(1,120)
|
|
(0.01)
|
Subtotal
adjustments
|
(153)
|
|
-
|
|
(2,727)
|
|
(0.03)
|
Adjusted net income
attributable to UHS
|
$163,909
|
|
$2.20
|
|
$322,297
|
|
$3.76
|
Universal Health Services, Inc.
|
Schedule of Non-GAAP Supplemental Information
("Supplemental Schedule")
|
For the Six months ended June 30, 2022 and
2021
|
(in thousands, except
per share amounts)
|
(unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Calculation of Earnings/Adjusted Earnings Before
Interest, Taxes, Depreciation and Amortization
("EBITDA/Adjusted EBITDA net of NCI")
|
|
|
|
|
|
|
|
|
|
Six months
ended
|
|
% Net
|
|
Six months
ended
|
|
% Net
|
|
June 30, 2022
|
|
revenues
|
|
June 30, 2021
|
|
revenues
|
|
|
|
|
|
|
|
|
Net income attributable
to UHS
|
$317,975
|
|
|
|
$534,115
|
|
|
Depreciation and amortization
|
287,634
|
|
|
|
265,388
|
|
|
Interest
expense, net
|
47,349
|
|
|
|
43,256
|
|
|
Provision
for income taxes
|
99,911
|
|
|
|
165,329
|
|
|
EBITDA net of
NCI
|
$752,869
|
|
11.4 %
|
|
$1,008,088
|
|
16.2 %
|
|
|
|
|
|
|
|
|
Other (income) expense,
net
|
9,229
|
|
|
|
(8,294)
|
|
|
Adjusted EBITDA net of
NCI
|
$762,098
|
|
11.5 %
|
|
$999,794
|
|
16.1 %
|
|
|
|
|
|
|
|
|
Net revenues
|
$6,616,363
|
|
|
|
$6,210,867
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Calculation of Adjusted Net Income Attributable to
UHS
|
|
|
|
|
|
|
|
|
|
Six months
ended
|
|
Six months
ended
|
|
June 30, 2022
|
|
June 30, 2021
|
|
|
|
Per
|
|
|
|
Per
|
|
Amount
|
|
Diluted Share
|
|
Amount
|
|
Diluted Share
|
|
|
|
|
|
|
|
|
Net income attributable
to UHS
|
$317,975
|
|
$4.22
|
|
$534,115
|
|
$6.22
|
Plus/minus after-tax
adjustments:
|
|
|
|
|
|
|
|
Unrealized loss on
equity securities
|
9,384
|
|
0.13
|
|
530
|
|
0.01
|
Impact of ASU
2016-09
|
-
|
|
-
|
|
(2,199)
|
|
(0.03)
|
Subtotal
adjustments
|
9,384
|
|
0.13
|
|
(1,669)
|
|
(0.02)
|
Adjusted net income
attributable to UHS
|
$327,359
|
|
$4.35
|
|
$532,446
|
|
$6.20
|
Universal Health Services, Inc.
|
Consolidated Statements of Comprehensive
Income
|
(in
thousands)
|
(unaudited)
|
|
|
|
|
|
|
|
|
|
Three
months
|
|
Six months
|
|
ended June
30,
|
|
ended June
30,
|
|
2022
|
|
2021
|
|
2022
|
|
2021
|
|
|
|
|
|
|
|
|
Net income
|
$158,781
|
|
$325,276
|
|
$309,802
|
|
$534,346
|
Other comprehensive
income (loss):
|
|
|
|
|
|
|
|
Foreign
currency translation adjustment
|
(28,232)
|
|
(3,717)
|
|
(46,702)
|
|
(14,063)
|
Other comprehensive
income (loss) before tax
|
(28,232)
|
|
(3,717)
|
|
(46,702)
|
|
(14,063)
|
Income tax expense
(benefit) related to items of other comprehensive income
(loss)
|
1,820
|
|
(601)
|
|
876
|
|
(2,067)
|
Total other
comprehensive income (loss), net of tax
|
(30,052)
|
|
(3,116)
|
|
(47,578)
|
|
(11,996)
|
|
|
|
|
|
|
|
|
Comprehensive
income
|
128,729
|
|
322,160
|
|
262,224
|
|
522,350
|
Less: Comprehensive
income (loss) attributable to noncontrolling interests
|
(5,281)
|
|
252
|
|
(8,173)
|
|
231
|
Comprehensive income
attributable to UHS
|
$134,010
|
|
$321,908
|
|
$270,397
|
|
$522,119
|
Universal Health Services, Inc.
|
Condensed Consolidated Balance
Sheets
|
(in
thousands)
|
(unaudited)
|
|
|
|
|
|
|
|
|
|
|
June 30,
|
|
|
December 31,
|
|
|
|
2022
|
|
|
2021
|
Assets
|
|
|
|
|
|
|
Current
assets:
|
|
|
|
|
|
|
Cash
and cash equivalents
|
|
$
|
132,658
|
|
$
|
115,301
|
Accounts receivable, net
|
|
|
1,835,238
|
|
|
1,746,635
|
Supplies
|
|
|
209,569
|
|
|
206,839
|
Other current assets
|
|
|
258,760
|
|
|
194,781
|
Total current assets
|
|
|
2,436,225
|
|
|
2,263,556
|
|
|
|
|
|
|
|
Property and
equipment
|
|
|
11,057,885
|
|
|
10,770,702
|
Less: accumulated
depreciation
|
|
|
(5,087,166)
|
|
|
(4,896,427)
|
|
|
|
5,970,719
|
|
|
5,874,275
|
|
|
|
|
|
|
|
Other
assets:
|
|
|
|
|
|
|
Goodwill
|
|
|
3,912,382
|
|
|
3,962,624
|
Deferred income taxes
|
|
|
51,548
|
|
|
45,707
|
Right of use assets-operating leases
|
|
|
360,791
|
|
|
367,477
|
Deferred charges
|
|
|
6,188
|
|
|
6,525
|
Other
|
|
|
558,250
|
|
|
573,379
|
Total Assets
|
|
$
|
13,296,103
|
|
$
|
13,093,543
|
|
|
|
|
|
|
|
Liabilities and
Stockholders' Equity
|
|
|
|
|
|
|
Current
liabilities:
|
|
|
|
|
|
|
Current maturities of long-term debt
|
|
$
|
66,205
|
|
$
|
48,409
|
Accounts payable and other liabilities
|
|
|
1,861,467
|
|
|
1,860,496
|
Operating lease liabilities
|
|
|
63,630
|
|
|
64,484
|
Federal and state taxes
|
|
|
396
|
|
|
10,720
|
Total current liabilities
|
|
|
1,991,698
|
|
|
1,984,109
|
|
|
|
|
|
|
|
Other noncurrent
liabilities
|
|
|
496,639
|
|
|
464,759
|
Operating lease
liabilities noncurrent
|
|
|
300,197
|
|
|
304,624
|
Long-term
debt
|
|
|
4,599,204
|
|
|
4,141,879
|
|
|
|
|
|
|
|
Redeemable
noncontrolling interest
|
|
|
4,449
|
|
|
5,119
|
|
|
|
|
|
|
|
UHS common
stockholders' equity
|
|
|
5,814,660
|
|
|
6,089,664
|
Noncontrolling
interest
|
|
|
89,256
|
|
|
103,389
|
Total equity
|
|
|
5,903,916
|
|
|
6,193,053
|
|
|
|
|
|
|
|
Total Liabilities and
Stockholders' Equity
|
|
$
|
13,296,103
|
|
$
|
13,093,543
|
Universal Health Services, Inc.
|
Consolidated Statements of Cash
Flows
|
(in
thousands)
|
(unaudited)
|
|
Six months
|
|
ended June 30,
|
|
2022
|
|
2021
|
|
|
|
|
Cash Flows from Operating
Activities:
|
|
|
|
Net
income
|
$309,802
|
|
$534,346
|
Adjustments to reconcile net income to
net
|
|
|
|
cash provided by operating
activities:
|
|
|
|
Depreciation &
amortization
|
287,634
|
|
265,388
|
(Gain) loss on sale of
assets and businesses
|
1,084
|
|
(4,803)
|
Stock-based
compensation expense
|
41,640
|
|
37,031
|
Provision for asset
impairment
|
0
|
|
7,195
|
Changes in assets & liabilities, net of
effects from
|
|
|
|
acquisitions and dispositions:
|
|
|
|
Accounts
receivable
|
(89,729)
|
|
(35,903)
|
Accrued
interest
|
1,329
|
|
(1,459)
|
Accrued
and deferred income taxes
|
(34,260)
|
|
(26,769)
|
Other
working capital accounts
|
(98,811)
|
|
3,560
|
Medicare
accelerated payments and deferred CARES Act and other
grants
|
5,339
|
|
(697,011)
|
Other
assets and deferred charges
|
30,278
|
|
(28,763)
|
Other
|
(15,763)
|
|
5,052
|
Accrued
insurance expense, net of commercial premiums paid
|
97,570
|
|
104,079
|
Payments
made in settlement of self-insurance claims
|
(58,066)
|
|
(42,495)
|
Net cash provided by operating activities
|
478,047
|
|
119,448
|
|
|
|
|
Cash Flows from Investing
Activities:
|
|
|
|
Property
and equipment additions
|
(407,962)
|
|
(482,211)
|
Proceeds
received from sales of assets and businesses
|
10,232
|
|
21,143
|
Acquisition of businesses and property
|
(12,485)
|
|
0
|
Inflows
(outflows) from foreign exchange contracts that hedge our net U.K.
investment
|
84,535
|
|
(21,487)
|
Decrease
in capital reserves of commercial insurance subsidiary
|
100
|
|
100
|
Costs
incurred for purchase of information technology applications, net
of refunds
|
0
|
|
(1,246)
|
Net cash used in investing activities
|
(325,580)
|
|
(483,701)
|
|
|
|
|
Cash Flows from Financing
Activities:
|
|
|
|
Repayments
of long-term debt
|
(226,854)
|
|
(278,785)
|
Additional
borrowings
|
700,000
|
|
6,578
|
Financing
costs
|
(2,387)
|
|
0
|
Repurchase
of common shares
|
(565,182)
|
|
(368,080)
|
Dividends
paid
|
(29,641)
|
|
(33,844)
|
Issuance
of common stock
|
6,661
|
|
6,442
|
Profit
distributions to noncontrolling interests
|
(5,323)
|
|
(5,617)
|
Purchase
(sale) of ownership interests by (from) minority members
|
(1,307)
|
|
11,433
|
Net cash used in financing activities
|
(124,033)
|
|
(661,873)
|
|
|
|
|
Effect of
exchange rate changes on cash, cash equivalents and restricted
cash
|
(5,457)
|
|
660
|
Increase (decrease) in
cash, cash equivalents and restricted cash
|
22,977
|
|
(1,025,466)
|
Cash, cash equivalents
and restricted cash, beginning of period
|
178,934
|
|
1,279,154
|
Cash, cash equivalents
and restricted cash, end of period
|
$201,911
|
|
$253,688
|
|
|
|
|
Supplemental Disclosures of Cash Flow
Information:
|
|
|
|
Interest
paid
|
$43,796
|
|
$43,641
|
|
|
|
|
Income taxes
paid, net of refunds
|
$145,448
|
|
$189,979
|
|
|
|
|
Noncash
purchases of property and equipment
|
$112,420
|
|
$95,979
|
Universal Health Services, Inc.
|
Supplemental Statistical
Information
|
(unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
%
Change
|
|
%
Change
|
|
|
|
|
|
|
|
3 Months
ended
|
|
6 Months
ended
|
Same Facility:
|
|
|
|
|
|
|
6/30/2022
|
|
6/30/2022
|
|
|
|
|
|
|
|
|
|
|
Acute Care Hospitals
|
|
|
|
|
|
|
|
|
|
Revenues
|
|
|
|
|
|
|
3.3 %
|
|
6.5 %
|
Adjusted
Admissions
|
|
|
|
|
|
|
-0.7 %
|
|
2.4 %
|
Adjusted Patient
Days
|
|
|
|
|
|
|
1.8 %
|
|
3.6 %
|
Revenue Per Adjusted
Admission
|
|
|
|
|
|
|
2.5 %
|
|
2.9 %
|
Revenue Per Adjusted
Patient Day
|
|
|
|
|
|
|
0.0 %
|
|
1.6 %
|
|
|
|
|
|
|
|
|
|
|
Behavioral Health Hospitals
|
|
|
|
|
|
|
|
|
|
Revenues
|
|
|
|
|
|
|
0.5 %
|
|
2.1 %
|
Adjusted
Admissions
|
|
|
|
|
|
|
-0.1 %
|
|
-1.0 %
|
Adjusted Patient
Days
|
|
|
|
|
|
|
0.7 %
|
|
-0.3 %
|
Revenue Per Adjusted
Admission
|
|
|
|
|
|
|
2.6 %
|
|
4.2 %
|
Revenue Per Adjusted
Patient Day
|
|
|
|
|
|
|
1.8 %
|
|
3.4 %
|
|
|
|
|
|
|
|
|
|
|
UHS Consolidated
|
|
|
Second Quarter
Ended
|
|
Six Months
Ended
|
|
|
|
6/30/2022
|
|
6/30/2021
|
|
6/30/2022
|
|
6/30/2021
|
|
|
|
|
|
|
|
|
|
|
Revenues
|
|
|
$3,323,407
|
|
$3,197,880
|
|
$6,616,363
|
|
$6,210,867
|
EBITDA net of
NCI
|
|
|
$384,537
|
|
$581,830
|
|
$752,869
|
|
$1,008,088
|
EBITDA Margin net of
NCI
|
|
|
11.6 %
|
|
18.2 %
|
|
11.4 %
|
|
16.2 %
|
Adjusted EBITDA net of
NCI
|
|
|
$382,565
|
|
$572,701
|
|
$762,098
|
|
$999,794
|
Adjusted EBITDA Margin
net of NCI
|
|
|
11.5 %
|
|
17.9 %
|
|
11.5 %
|
|
16.1 %
|
|
|
|
|
|
|
|
|
|
|
Cash Flow From
Operations
|
|
|
$32,614
|
|
$47,653
|
|
$478,047
|
|
$119,448
|
Days Sales
Outstanding
|
|
|
50
|
|
51
|
|
50
|
|
52
|
Capital
Expenditures
|
|
|
$207,960
|
|
$234,752
|
|
$407,962
|
|
$482,211
|
|
|
|
|
|
|
|
|
|
|
Debt
|
|
|
|
|
|
|
$4,665,409
|
|
$3,593,592
|
UHS' Shareholders
Equity
|
|
|
|
|
|
|
$5,814,660
|
|
$6,480,100
|
Debt / Total
Capitalization
|
|
|
|
|
|
|
44.5 %
|
|
35.7 %
|
Debt / EBITDA net of
NCI (1)
|
|
|
|
|
|
|
2.81
|
|
1.76
|
Debt / Adjusted EBITDA
net of NCI (1)
|
|
|
|
|
|
2.81
|
|
1.78
|
Debt / Cash From
Operations (1)
|
|
|
|
|
|
|
3.76
|
|
3.49
|
|
|
|
|
|
|
|
|
|
|
(1) Latest 4
quarters.
|
|
|
|
|
|
|
|
|
|
Universal Health Services, Inc.
|
Acute Care Hospital Services
|
For the Three and Six
Months ended
|
June 30, 2022 and
2021
|
(in
thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Same Facility Basis - Acute Care Hospital
Services
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months ended
|
|
Three months ended
|
|
Six months ended
|
|
Six months ended
|
|
|
June 30, 2022
|
|
June 30, 2021
|
|
June 30, 2022
|
|
June 30, 2021
|
|
|
Amount
|
|
% of Net
Revenues
|
|
Amount
|
|
% of Net
Revenues
|
|
Amount
|
|
% of Net
Revenues
|
|
Amount
|
|
% of Net
Revenues
|
Net revenues
|
|
$1,770,546
|
|
100.0 %
|
|
$1,713,896
|
|
100.0 %
|
|
$3,605,325
|
|
100.0 %
|
|
$3,385,732
|
|
100.0 %
|
Operating
charges:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Salaries, wages and
benefits
|
|
792,922
|
|
44.8 %
|
|
691,019
|
|
40.3 %
|
|
1,613,132
|
|
44.7 %
|
|
1,397,830
|
|
41.3 %
|
Other operating
expenses
|
|
469,108
|
|
26.5 %
|
|
412,111
|
|
24.0 %
|
|
906,585
|
|
25.1 %
|
|
805,318
|
|
23.8 %
|
Supplies
expense
|
|
290,067
|
|
16.4 %
|
|
289,111
|
|
16.9 %
|
|
603,204
|
|
16.7 %
|
|
585,589
|
|
17.3 %
|
Depreciation and
amortization
|
|
87,636
|
|
4.9 %
|
|
82,959
|
|
4.8 %
|
|
180,575
|
|
5.0 %
|
|
164,143
|
|
4.8 %
|
Lease and rental
expense
|
|
17,351
|
|
1.0 %
|
|
18,046
|
|
1.1 %
|
|
35,066
|
|
1.0 %
|
|
38,158
|
|
1.1 %
|
Subtotal-operating
expenses
|
|
1,657,084
|
|
93.6 %
|
|
1,493,246
|
|
87.1 %
|
|
3,338,562
|
|
92.6 %
|
|
2,991,038
|
|
88.3 %
|
Income from
operations
|
|
113,462
|
|
6.4 %
|
|
220,650
|
|
12.9 %
|
|
266,763
|
|
7.4 %
|
|
394,694
|
|
11.7 %
|
Interest expense,
net
|
|
478
|
|
0.0 %
|
|
248
|
|
0.0 %
|
|
1,116
|
|
0.0 %
|
|
494
|
|
0.0 %
|
Other (income) expense,
net
|
|
221
|
|
0.0 %
|
|
-
|
|
-
|
|
422
|
|
0.0 %
|
|
-
|
|
-
|
Income before income
taxes
|
|
$112,763
|
|
6.4 %
|
|
$220,402
|
|
12.9 %
|
|
$265,225
|
|
7.4 %
|
|
$394,200
|
|
11.6 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
All Acute Care Hospital
Services
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months ended
|
|
Three months ended
|
|
Six months ended
|
|
Six months ended
|
|
|
June 30, 2022
|
|
June 30, 2021
|
|
June 30, 2022
|
|
June 30, 2021
|
|
|
Amount
|
|
% of Net
Revenues
|
|
Amount
|
|
% of Net
Revenues
|
|
Amount
|
|
% of Net
Revenues
|
|
Amount
|
|
% of Net
Revenues
|
Net revenues
|
|
$1,875,516
|
|
100.0 %
|
|
$1,754,431
|
|
100.0 %
|
|
$3,787,832
|
|
100.0 %
|
|
$3,448,973
|
|
100.0 %
|
Operating
charges:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Salaries, wages and
benefits
|
|
829,040
|
|
44.2 %
|
|
691,880
|
|
39.4 %
|
|
1,672,946
|
|
44.2 %
|
|
1,399,098
|
|
40.6 %
|
Other operating
expenses
|
|
532,504
|
|
28.4 %
|
|
453,063
|
|
25.8 %
|
|
1,014,582
|
|
26.8 %
|
|
869,070
|
|
25.2 %
|
Supplies
expense
|
|
302,728
|
|
16.1 %
|
|
289,225
|
|
16.5 %
|
|
624,155
|
|
16.5 %
|
|
585,704
|
|
17.0 %
|
Depreciation and
amortization
|
|
95,004
|
|
5.1 %
|
|
83,306
|
|
4.7 %
|
|
189,538
|
|
5.0 %
|
|
164,668
|
|
4.8 %
|
Lease and rental
expense
|
|
20,482
|
|
1.1 %
|
|
18,046
|
|
1.0 %
|
|
41,334
|
|
1.1 %
|
|
38,158
|
|
1.1 %
|
Subtotal-operating
expenses
|
|
1,779,758
|
|
94.9 %
|
|
1,535,520
|
|
87.5 %
|
|
3,542,555
|
|
93.5 %
|
|
3,056,698
|
|
88.6 %
|
Income from
operations
|
|
95,758
|
|
5.1 %
|
|
218,911
|
|
12.5 %
|
|
245,277
|
|
6.5 %
|
|
392,275
|
|
11.4 %
|
Interest expense,
net
|
|
478
|
|
0.0 %
|
|
248
|
|
0.0 %
|
|
1,116
|
|
0.0 %
|
|
494
|
|
0.0 %
|
Other (income) expense,
net
|
|
221
|
|
0.0 %
|
|
-
|
|
-
|
|
422
|
|
0.0 %
|
|
-
|
|
-
|
Income before income
taxes
|
|
$95,059
|
|
5.1 %
|
|
$218,663
|
|
12.5 %
|
|
$243,739
|
|
6.4 %
|
|
$391,781
|
|
11.4 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
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
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, 2021 and Form 10-Q for the quarter ended March 31,
2022.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
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 Six
Months ended
|
June 30, 2022 and
2021
|
(in
thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Same Facility - Behavioral Health Care
Services
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months ended
|
|
Three months ended
|
|
Six months ended
|
|
Six months ended
|
|
|
June 30, 2022
|
|
June 30, 2021
|
|
June 30, 2022
|
|
June 30, 2021
|
|
|
Amount
|
|
% of Net
Revenues
|
|
Amount
|
|
% of Net
Revenues
|
|
Amount
|
|
% of Net
Revenues
|
|
Amount
|
|
% of Net
Revenues
|
Net revenues
|
|
$1,410,799
|
|
100.0 %
|
|
$1,404,142
|
|
100.0 %
|
|
$2,745,331
|
|
100.0 %
|
|
$2,690,119
|
|
100.0 %
|
Operating
charges:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Salaries, wages and
benefits
|
|
768,174
|
|
54.4 %
|
|
709,170
|
|
50.5 %
|
|
1,513,980
|
|
55.1 %
|
|
1,407,398
|
|
52.3 %
|
Other operating
expenses
|
|
274,237
|
|
19.4 %
|
|
263,135
|
|
18.7 %
|
|
539,928
|
|
19.7 %
|
|
507,500
|
|
18.9 %
|
Supplies
expense
|
|
52,343
|
|
3.7 %
|
|
49,278
|
|
3.5 %
|
|
101,939
|
|
3.7 %
|
|
99,791
|
|
3.7 %
|
Depreciation and
amortization
|
|
45,154
|
|
3.2 %
|
|
46,323
|
|
3.3 %
|
|
89,885
|
|
3.3 %
|
|
91,413
|
|
3.4 %
|
Lease and rental
expense
|
|
10,685
|
|
0.8 %
|
|
9,736
|
|
0.7 %
|
|
21,409
|
|
0.8 %
|
|
20,987
|
|
0.8 %
|
Subtotal-operating
expenses
|
|
1,150,593
|
|
81.6 %
|
|
1,077,642
|
|
76.7 %
|
|
2,267,141
|
|
82.6 %
|
|
2,127,089
|
|
79.1 %
|
Income from
operations
|
|
260,206
|
|
18.4 %
|
|
326,500
|
|
23.3 %
|
|
478,190
|
|
17.4 %
|
|
563,030
|
|
20.9 %
|
Interest expense,
net
|
|
1,141
|
|
0.1 %
|
|
989
|
|
0.1 %
|
|
1,606
|
|
0.1 %
|
|
1,327
|
|
0.0 %
|
Other (income) expense,
net
|
|
(643)
|
|
(0.0) %
|
|
(5)
|
|
(0.0) %
|
|
(758)
|
|
(0.0) %
|
|
408
|
|
0.0 %
|
Income before income
taxes
|
|
259,708
|
|
18.4 %
|
|
$325,516
|
|
23.2 %
|
|
$477,342
|
|
17.4 %
|
|
$561,295
|
|
20.9 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
All Behavioral Health Care
Services
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months ended
|
|
Three months ended
|
|
Six months ended
|
|
Six months ended
|
|
|
June 30, 2022
|
|
June 30, 2021
|
|
June 30, 2022
|
|
June 30, 2021
|
|
|
Amount
|
|
% of Net
Revenues
|
|
Amount
|
|
% of Net
Revenues
|
|
Amount
|
|
% of Net
Revenues
|
|
Amount
|
|
% of Net
Revenues
|
Net revenues
|
|
$1,433,920
|
|
100.0 %
|
|
$1,431,497
|
|
100.0 %
|
|
$2,800,387
|
|
100.0 %
|
|
$2,746,834
|
|
100.0 %
|
Operating
charges:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Salaries, wages and
benefits
|
|
773,966
|
|
54.0 %
|
|
713,623
|
|
49.9 %
|
|
1,527,852
|
|
54.6 %
|
|
1,417,598
|
|
51.6 %
|
Other operating
expenses
|
|
299,782
|
|
20.9 %
|
|
285,689
|
|
20.0 %
|
|
598,249
|
|
21.4 %
|
|
554,986
|
|
20.2 %
|
Supplies
expense
|
|
52,655
|
|
3.7 %
|
|
49,552
|
|
3.5 %
|
|
102,832
|
|
3.7 %
|
|
100,561
|
|
3.7 %
|
Depreciation and
amortization
|
|
45,863
|
|
3.2 %
|
|
47,183
|
|
3.3 %
|
|
91,942
|
|
3.3 %
|
|
93,665
|
|
3.4 %
|
Lease and rental
expense
|
|
10,973
|
|
0.8 %
|
|
9,685
|
|
0.7 %
|
|
21,793
|
|
0.8 %
|
|
21,368
|
|
0.8 %
|
Subtotal-operating
expenses
|
|
1,183,239
|
|
82.5 %
|
|
1,105,732
|
|
77.2 %
|
|
2,342,668
|
|
83.7 %
|
|
2,188,178
|
|
79.7 %
|
Income from
operations
|
|
250,681
|
|
17.5 %
|
|
325,765
|
|
22.8 %
|
|
457,719
|
|
16.3 %
|
|
558,656
|
|
20.3 %
|
Interest expense,
net
|
|
1,366
|
|
0.1 %
|
|
1,193
|
|
0.1 %
|
|
2,731
|
|
0.1 %
|
|
2,346
|
|
0.1 %
|
Other (income) expense,
net
|
|
(643)
|
|
(0.0) %
|
|
(5)
|
|
(0.0) %
|
|
(758)
|
|
(0.0) %
|
|
408
|
|
0.0 %
|
Income before income
taxes
|
|
249,958
|
|
17.4 %
|
|
$324,577
|
|
22.7 %
|
|
$455,746
|
|
16.3 %
|
|
$555,902
|
|
20.2 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
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, lawsuits and reserves established in connection with the
government's investigation of our behavioral health care
facilities, cost related to extinguishment of debt, gains/losses on
sales of assets and businesses, impairments of 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 in
the condensed consolidated financial statements and notes thereto
as contained in our Form 10-K for the year ended December 31, 2021
and Form 10-Q for the quarter ended March 31, 2022.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
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 as
well as the results of certain facilities that were closed or
restructured during the past year.
|
Universal Health Services, Inc.
|
Selected Hospital Statistics
|
For the Three Months
ended
|
June 30, 2022 and
2021
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
AS REPORTED:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
ACUTE
|
|
BEHAVIORAL HEALTH
|
|
|
6/30/22
|
|
6/30/21
|
|
% change
|
|
6/30/22
|
|
6/30/21
|
|
% change
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Hospitals owned and
leased
|
|
28
|
|
26
|
|
7.7 %
|
|
333
|
|
334
|
|
-0.3 %
|
Average licensed
beds
|
|
6,971
|
|
6,511
|
|
7.1 %
|
|
24,340
|
|
24,161
|
|
0.7 %
|
Average available
beds
|
|
6,799
|
|
6,339
|
|
7.3 %
|
|
24,240
|
|
24,056
|
|
0.8 %
|
Patient days
|
|
375,955
|
|
362,325
|
|
3.8 %
|
|
1,574,715
|
|
1,564,902
|
|
0.6 %
|
Average daily
census
|
|
4,131.4
|
|
3,981.6
|
|
3.8 %
|
|
17,304.6
|
|
17,009.8
|
|
1.7 %
|
Occupancy-licensed
beds
|
|
59.3 %
|
|
61.2 %
|
|
-3.2 %
|
|
71.1 %
|
|
70.4 %
|
|
1.0 %
|
Occupancy-available
beds
|
|
60.8 %
|
|
62.8 %
|
|
-3.2 %
|
|
71.4 %
|
|
70.7 %
|
|
1.0 %
|
Admissions
|
|
76,713
|
|
76,221
|
|
0.6 %
|
|
116,627
|
|
117,018
|
|
-0.3 %
|
Length of
stay
|
|
4.9
|
|
4.8
|
|
2.1 %
|
|
13.4
|
|
13.4
|
|
0.0 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Inpatient
revenue
|
|
$9,706,731
|
|
$8,662,335
|
|
12.1 %
|
|
$2,561,553
|
|
$2,527,776
|
|
1.3 %
|
Outpatient
revenue
|
|
6,206,039
|
|
5,357,888
|
|
15.8 %
|
|
268,489
|
|
266,328
|
|
0.8 %
|
Total patient
revenue
|
|
15,912,770
|
|
14,020,223
|
|
13.5 %
|
|
2,830,042
|
|
2,794,104
|
|
1.3 %
|
Other
revenue
|
|
202,975
|
|
167,899
|
|
20.9 %
|
|
75,359
|
|
70,929
|
|
6.2 %
|
Gross hospital
revenue
|
|
16,115,745
|
|
14,188,122
|
|
13.6 %
|
|
2,905,401
|
|
2,865,033
|
|
1.4 %
|
Total
deductions
|
|
14,240,229
|
|
12,433,691
|
|
14.5 %
|
|
1,471,481
|
|
1,433,536
|
|
2.6 %
|
Net hospital
revenue
|
|
$1,875,516
|
|
$1,754,431
|
|
6.9 %
|
|
$1,433,920
|
|
$1,431,497
|
|
0.2 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
SAME FACILITY:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
ACUTE
|
|
BEHAVIORAL HEALTH
|
|
|
6/30/22
|
|
6/30/21
|
|
% change
|
|
6/30/22
|
|
6/30/21
|
|
% change
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Hospitals owned and
leased
|
|
26
|
|
26
|
|
0.0 %
|
|
328
|
|
328
|
|
0.0 %
|
Average licensed
beds
|
|
6,747
|
|
6,511
|
|
3.6 %
|
|
23,782
|
|
23,661
|
|
0.5 %
|
Average available
beds
|
|
6,575
|
|
6,339
|
|
3.7 %
|
|
23,682
|
|
23,561
|
|
0.5 %
|
Patient days
|
|
368,341
|
|
362,325
|
|
1.7 %
|
|
1,512,830
|
|
1,512,397
|
|
0.0 %
|
Average daily
census
|
|
4,047.7
|
|
3,981.6
|
|
1.7 %
|
|
16,443.8
|
|
16,439.1
|
|
0.0 %
|
Occupancy-licensed
beds
|
|
60.0 %
|
|
61.2 %
|
|
-1.9 %
|
|
69.1 %
|
|
69.5 %
|
|
-0.5 %
|
Occupancy-available
beds
|
|
61.6 %
|
|
62.8 %
|
|
-2.0 %
|
|
69.4 %
|
|
69.8 %
|
|
-0.5 %
|
Admissions
|
|
77,046
|
|
76,221
|
|
1.1 %
|
|
109,681
|
|
108,527
|
|
1.1 %
|
Length of
stay
|
|
4.8
|
|
4.8
|
|
0.6 %
|
|
13.8
|
|
13.9
|
|
-1.0 %
|
Universal Health Services, Inc.
|
Selected Hospital Statistics
|
For the Six Months
ended
|
June 30, 2022 and
2021
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
AS REPORTED:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
ACUTE
|
|
BEHAVIORAL HEALTH
|
|
|
6/30/22
|
|
6/30/21
|
|
% change
|
|
6/30/22
|
|
6/30/21
|
|
% change
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Hospitals owned and
leased
|
|
28
|
|
26
|
|
7.7 %
|
|
333
|
|
334
|
|
-0.3 %
|
Average licensed
beds
|
|
6,860
|
|
6,513
|
|
5.3 %
|
|
24,291
|
|
24,089
|
|
0.8 %
|
Average available
beds
|
|
6,688
|
|
6,341
|
|
5.5 %
|
|
24,191
|
|
23,987
|
|
0.9 %
|
Patient days
|
|
781,907
|
|
754,719
|
|
3.6 %
|
|
3,081,066
|
|
3,099,064
|
|
-0.6 %
|
Average daily
census
|
|
4,319.9
|
|
4,169.7
|
|
3.6 %
|
|
17,022.5
|
|
17,121.9
|
|
-0.6 %
|
Occupancy-licensed
beds
|
|
63.0 %
|
|
64.0 %
|
|
-1.6 %
|
|
70.1 %
|
|
71.1 %
|
|
-1.4 %
|
Occupancy-available
beds
|
|
64.6 %
|
|
65.8 %
|
|
-1.8 %
|
|
70.4 %
|
|
71.4 %
|
|
-1.4 %
|
Admissions
|
|
152,002
|
|
149,145
|
|
1.9 %
|
|
229,060
|
|
232,426
|
|
-1.4 %
|
Length of
stay
|
|
5.1
|
|
5.1
|
|
0.9 %
|
|
13.5
|
|
13.3
|
|
1.1 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Inpatient
revenue
|
|
$19,945,962
|
|
$17,781,519
|
|
12.2 %
|
|
$4,998,027
|
|
$5,001,341
|
|
-0.1 %
|
Outpatient
revenue
|
|
11,981,578
|
|
9,938,608
|
|
20.6 %
|
|
525,602
|
|
513,092
|
|
2.4 %
|
Total patient
revenue
|
|
31,927,540
|
|
27,720,127
|
|
15.2 %
|
|
5,523,629
|
|
5,514,433
|
|
0.2 %
|
Other
revenue
|
|
387,456
|
|
311,164
|
|
24.5 %
|
|
142,056
|
|
133,137
|
|
6.7 %
|
Gross hospital
revenue
|
|
32,314,996
|
|
28,031,291
|
|
15.3 %
|
|
5,665,685
|
|
5,647,570
|
|
0.3 %
|
Total
deductions
|
|
28,527,164
|
|
24,582,318
|
|
16.0 %
|
|
2,865,298
|
|
2,900,736
|
|
-1.2 %
|
Net hospital
revenue
|
|
$3,787,832
|
|
$3,448,973
|
|
9.8 %
|
|
$2,800,387
|
|
$2,746,834
|
|
1.9 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
SAME FACILITY:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
ACUTE
|
|
BEHAVIORAL HEALTH
|
|
|
6/30/22
|
|
6/30/21
|
|
% change
|
|
6/30/22
|
|
6/30/21
|
|
% change
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Hospitals owned and
leased
|
|
26
|
|
26
|
|
0.0 %
|
|
328
|
|
328
|
|
0.0 %
|
Average licensed
beds
|
|
6,715
|
|
6,513
|
|
3.1 %
|
|
23,900
|
|
23,796
|
|
0.4 %
|
Average available
beds
|
|
6,543
|
|
6,341
|
|
3.2 %
|
|
23,800
|
|
23,694
|
|
0.4 %
|
Patient days
|
|
770,553
|
|
754,719
|
|
2.1 %
|
|
3,054,248
|
|
3,068,258
|
|
-0.5 %
|
Average daily
census
|
|
4,257.2
|
|
4,169.7
|
|
2.1 %
|
|
16,874.3
|
|
16,951.7
|
|
-0.5 %
|
Occupancy-licensed
beds
|
|
63.4 %
|
|
64.0 %
|
|
-1.0 %
|
|
70.6 %
|
|
71.2 %
|
|
-0.9 %
|
Occupancy-available
beds
|
|
65.1 %
|
|
65.8 %
|
|
-1.1 %
|
|
70.9 %
|
|
71.5 %
|
|
-0.9 %
|
Admissions
|
|
150,482
|
|
149,145
|
|
0.9 %
|
|
226,235
|
|
228,931
|
|
-1.2 %
|
Length of
stay
|
|
5.1
|
|
5.1
|
|
1.2 %
|
|
13.5
|
|
13.4
|
|
0.7 %
|
View original
content:https://www.prnewswire.com/news-releases/universal-health-services-inc-reports-2022-second-quarter-financial-results-301592731.html
SOURCE Universal Health Services, Inc.