Universal Health Services, based in King of Prussia, Pa., has recorded several strong quarters over the past year, but the third quarter of 2012 was a minor setback. Net income attributable to UHS in the third quarter fell 15.6 percent, from $85.1 million last year to $71.8 million this year, due mostly to lower-than-expected results at its acute-care facilities.
UHS executives said there was an "unfavorable after-tax impact" of $16.8 million, which included an $18.1 million after-tax charge that resulted from the write-off of deferred financing costs from its term loan B credit facility. UHS lowered its profit outlook for the rest of the year due to the results as well as "the backdrop of a continued sluggish economic recovery."
Overall, UHS' net revenue in the third quarter increased a mild 1 percent, from $1.66 billion in 2011 to $1.68 billion. EBITDA rose 2.5 percent to $265.4 million in the third quarter, as well.
In the nine months ended Sept. 30, 2012, UHS posted net income of $308 million, a 1.7 percent increase from the first nine months of 2011. Net revenue ticked upward by 1.9 percent to $5.2 billion.
Same-facility admissions in UHS' acute-care hospitals dropped 2.6 percent in the third quarter, while the length of stay increased 0.7 percent. Currently, UHS operates 25 acute-care hospitals and 175 behavioral health facilities.
UHS executives said there was an "unfavorable after-tax impact" of $16.8 million, which included an $18.1 million after-tax charge that resulted from the write-off of deferred financing costs from its term loan B credit facility. UHS lowered its profit outlook for the rest of the year due to the results as well as "the backdrop of a continued sluggish economic recovery."Overall, UHS' net revenue in the third quarter increased a mild 1 percent, from $1.66 billion in 2011 to $1.68 billion. EBITDA rose 2.5 percent to $265.4 million in the third quarter, as well.
In the nine months ended Sept. 30, 2012, UHS posted net income of $308 million, a 1.7 percent increase from the first nine months of 2011. Net revenue ticked upward by 1.9 percent to $5.2 billion.
Same-facility admissions in UHS' acute-care hospitals dropped 2.6 percent in the third quarter, while the length of stay increased 0.7 percent. Currently, UHS operates 25 acute-care hospitals and 175 behavioral health facilities.
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