Universal Health Services Inc. (UHS - Free Report) delivered third-quarter 2018 adjusted earnings of $2.23 per share, beating the Zacks Consensus Estimate by 11.5%. Moreover, the bottom line surged 36% year over year.
Universal Health Services, Inc. Price, Consensus and EPS Surprise
Net revenues increased 4.2% year over year to $2.6 billion. However, the top line lagged the Zacks Consensus Estimate by 1.2%.
Total operating expenses of $2.3 billion in the third quarter increased 4.7% year over year.
Acute Care Hospitals
Adjusted admissions and adjusted patient days inched up 1.5% and 4.1%, respectively, from the prior-year quarter. Net revenues (on a same facility basis) climbed 6.7% in the third quarter.
On the basis of same facility, adjusted admissions increased 4.7% while adjusted patient days nudged up 0.6%, both on a year-over-year basis. Net revenues rose 2.5% during the quarter under review on a same facility basis.
As of Sep 30, 2018, the company had cash and cash equivalents of nearly $83.7 million, up 12.5% from year-end 2017.
Total assets were $11.2 billion as of Jun 30, 2018, up 4.8% from year-end 2017.
The long-term debt of the company stood at $ 3.7 billion, up 5.4% from year-end 2017.
For the first nine months of 2018, net cash provided by operating activities totaled $975 million, up 10.9% year over year.
Share Repurchase Update
During the third quarter, the company bought back 0.9 million shares worth $117.9 million.
2018 Guidance Narrows
The company lowered the upper end of its outlook to $9.25-$9.60 per share from $9.25-$9.90, guided earlier.
Universal Health currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Releases From the Medical Sector
In the third quarter, the bottom line of UnitedHealth Group Incorporated (UNH - Free Report) and Centene Inc. (CNC - Free Report) surpassed the respective Zacks Consensus Estimate.
Anthem Inc. (ANTM - Free Report) is set to report third-quarter results on Oct 31, 2018. The company has an Earnings ESP of +1.69% and Zacks rank #2 (Buy).
The Hottest Tech Mega-Trend of All
Last year, it generated $8 billion in global revenues. By 2020, it's predicted to blast through the roof to $47 billion. Famed investor Mark Cuban says it will produce "the world's first trillionaires," but that should still leave plenty of money for regular investors who make the right trades early.
See Zacks' 3 Best Stocks to Play This Trend >>