Hospitals operator Universal Health Services, Inc. (UHS) said Thursday that its fourth quarter earnings rose from last year, as revenue increased despite an increasingly difficult operating environment. The company's quarterly earnings per share also came in above analysts' expectations. At the same time, the company forecast full year 2009 earnings above analysts' current consensus estimates.
The King of Prussia, Pennsylvania-based company reported net income for the fourth quarter of $46.5 million or $0.93 per share, compared to $40.0 million or $0.75 per share for the year-ago quarter.
Income from continuing operations for the fourth quarter was $40.5 million or $0.81 per share, compared to $39.7 million or $0.75 per share in the prior year quarter.
Excluding items, adjusted income from continuing operations for the fourth quarter was $43.7 million or $0.87 per share, compared to $39.7 million or $0.75 per share in the fourth quarter of last year.
On average, 14 analysts polled by Thomson Reuters expected the company to earn $0.80 per share for the fourth quarter.
Net revenues for the fourth quarter increased 5% to $1.24 billion from $1.18 billion in the same quarter last year. Thirteen analysts had a consensus revenue estimate of $1.26 billion for the fourth quarter.
"In what is proving to be an increasingly difficult operating environment, we are extremely proud of our significantly improved financial results in 2008" said Alan B. Miller, President and Chief Executive Officer. "We believe that our diversified business mix strategy and conservative balance sheet positions us well to weather the economic challenges we all face."
On a same facility basis, net revenues at the company's acute care facilities increased 2.2% during the fourth quarter, while inpatient admissions decreased 0.4% and patient days increased 1.4%. On a same facility basis, operating margin at acute care hospitals rose to 13.9% in the fourth quarter from 13.6% a year ago.
On a same facility basis, net revenues at our behavioral health facilities increased 4.0% during the fourth quarter, while admissions increased 0.7% and patient days decreased 0.2%.
For the full year 2008, the company reported net income of $199.4 million or $3.93 per share, compared to $170.4 million or $3.18 per share for the full year 2007.
Income from continuing operations for the full year 2008 was $192.9 million or $3.80 per share, compared to $170.6 million or $3.18 per share in the comparable prior year.
Adjusted income from continuing operations for the full year 2008 was $197.3 million or $3.89 per share, compared to $164.4 million or $3.07 per share in 2007.
Net revenues for the full year 2008 increased 7% to $5.02 billion from $4.68 billion in the previous year.
Analysts expected the company to earn $3.80 per share on revenue of $5.08 billion for the full year 2008.
Looking forward, the company expects revenue of $5.34 billion and earnings from continuing operations of $4.00 to $4.15 per share for the full year 2009. Analysts currently expect the company to earn $3.86 per share on revenue of $5.33 billion for the full year 2009.
Among others in the industry, Tenet Healthcare Corp. (THC) on Tuesday reported a narrower loss for the fourth quarter, helped by growth in outpatient surgeries and strong pricing. In addition, the company forecast a loss for fiscal 2009.
Universal Health Services shares, which have traded in a range of $30.60 to $69.25 over the past year, closed Thursday's regular trading session at $35.64, down $3.20 or 8.24% but gained $1.57 or 4.41% in after hours trading.
For comments and feedback contact: editorial@rttnews.com
June 12, 2026 17:14 ET Major central bank action was the focus this week in economic news. The European Central Bank became the first major central bank to move in response to the rising inflationary pressures in the backdrop of the conflict in the Middle East. In North America, the U.S. inflation and trade data as well as Canada’s central bank decision gained attention. The Chinese trade data was the main news in Asia.