Universal Health Services saw revenues increase in the fourth quarter of 2018, but the King of Prussia, Pa.-based company's net income declined year over year.
Six things to know:
1. UHS' revenues increased 4.2 percent year over year to $2.8 billion in the fourth quarter of 2018.
2. The revenue growth was partially due to increased patient admissions at UHS' acute care hospitals. Admissions when adjusted for outpatient activity increased 2.2 percent on a same-facility basis in the fourth quarter of 2018 compared to the same period of the year prior. At UHS' behavioral healthcare facilities, adjusted admissions increased 4.5 percent on a same-facility basis year over year.
3. UHS saw expenses increase from $2.3 billion in the fourth quarter of 2017 to $2.5 billion in the fourth quarter of 2018.
4. In the fourth quarter of 2018, UHS said it added $31.9 million to its reserve for an ongoing investigation into its behavioral health facilities by the Department of Justice. The reserve now totals about $123 million.
"Changes in the reserve may be required in future periods as discussions with the Department of Justice continue and additional information becomes available," UHS said in an earnings release.
5. UHS ended the fourth quarter of 2018 with net income of $158.1 million, compared to $219.6 million in the same period of the year prior.
6. Looking at full-year 2018 results, UHS recorded net income of $779.7 million on revenues of $10.8 billion. That's compared to 2017, when the company reported net income of $752.3 million on revenues of $10.4 billion.
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