Universal Health Services, Inc. (UHS) is a healthcare company that owns and operates acute care hospitals, outpatient facilities, and behavioral health care facilities. The company's core business model revolves around providing a range of healthcare services through its subsidiaries. UHS's primary revenue streams are generated from patient services, including general and specialty surgery, internal medicine, obstetrics, emergency room care, radiology, oncology, diagnostic care, coronary care, pediatric services, pharmacy services, and behavioral health services. UHS has a significant market position in the healthcare industry, with a strong geographic presence in 39 states, Washington, D.C., the United Kingdom, and Puerto Rico. The company operates in a competitive landscape, facing competition from other for-profit and non-profit healthcare providers.

• Employees: 96,700 (as of December 31, 2023)
• Geographic Footprint: 39 states, Washington, D.C., the United Kingdom, and Puerto Rico
• Number of locations/facilities: 360 inpatient facilities and 48 outpatient facilities (as of February 27, 2024)
• Revenue: $14.28 billion (FY2023)
• Market capitalization: $9.5 billion (as of June 30, 2023)
• Key Subsidiaries or Brands: UHS of Delaware, Inc.
• Year founded: 1979
• Headquarters location: King of Prussia, Pennsylvania

• CEO: Marc D. Miller
• CFO: Steve G. Filton
• Board Chair: Alan B. Miller
• Other Key Executives: Matthew J. Peterson (Executive Vice President, President of Behavioral Health Division), Edward H. Sim (Executive Vice President, President of Acute Care Division)

Marc D. Miller was appointed CEO and President effective January 1, 2021. Alan B. Miller was appointed Executive Chairman of the Board effective January 1, 2021. Steve G. Filton has served as CFO since 2003. Matthew J. Peterson's employment with UHS commenced in September, 2019. Edward H. Sim's employment with UHS commenced in December, 2022.

• Annual Revenue: $14.28 billion (FY2023)
• Net Income: $717.8 million (FY2023)
• Market Cap: $9.5 billion (as of June 30, 2023)
• Total Assets: $13.97 billion (as of December 31, 2023)
• Number of employees: 96,700 (as of December 31, 2023)
• Key Financial Highlights: Net revenues increased by 6.6% in 2023. Net income attributable to UHS increased by 6.2% in 2023.

UHS provides a wide range of healthcare services through its facilities:

• Acute Care Hospitals: General and specialty surgery, internal medicine, obstetrics, emergency room care, radiology, oncology, diagnostic care, coronary care, pediatric services, and pharmacy services.
• Behavioral Health Care Facilities: Inpatient and outpatient behavioral health services.

UHS operates through two main business segments:

• Acute Care Hospital Services: This segment includes acute care hospitals, free-standing emergency departments, and surgical hospitals. It accounted for 57% of the company's consolidated net revenues during 2023 and 2022.
• Behavioral Health Care Services: This segment includes inpatient and outpatient behavioral health care facilities. It accounted for 43% of the company's consolidated net revenues during 2023 and 2022.

UHS's current strategic priorities include:

• Expanding operations through acquisitions, construction, and leasing of additional hospital facilities.
• Improving the operations of existing hospitals by introducing new services, enhancing existing services, physician recruitment, and implementing financial and operational controls.
• Focusing on quality and efficiency of services to respond to cost containment pressures and technological advancements.
• Aggressively recruiting highly qualified physicians and developing provider networks.

UHS is committed to a program of rational growth around its core businesses and emphasizes innovation in service delivery. The company also seeks to partner with non-UHS acute care hospitals to help operate their behavioral health services.

UHS operates in the highly competitive healthcare industry. Key market trends affecting the business include:

• Regulatory and technological changes.
• Increasing use of managed care payment systems.
• Cost containment pressures.
• Shift toward outpatient treatment.

Major competitors include other for-profit and non-profit healthcare providers. Some competitors may have greater financial resources and offer a broader range of services. Competition also comes from physician-owned hospitals and surgery centers. The company strives to retain and attract qualified doctors by maintaining high ethical and professional standards and providing adequate support personnel and technologically advanced equipment and facilities.

• Operational Risks: A significant portion of revenue is generated from facilities located in Texas, Nevada, and California, making the company sensitive to regulatory, economic, public health, environmental, and competitive conditions in those states. The company is also susceptible to revenue loss, cost increase, or damage caused by severe weather conditions or natural disasters.
• Financial Risks: The company's revenues and results of operations are significantly affected by payments received from the government and other third-party payers, including the Medicare and Medicaid programs. Reductions in reimbursement amounts from third-party payers could have a material adverse effect on the company's financial position and results of operations.
• Competition Risks: The healthcare industry is highly competitive, and the company faces competition for patients from other hospitals and healthcare providers. The company also faces competition for staffing, which has caused and may continue to cause an increase in salaries, wages and benefits expense.
• Regulatory Risks: The healthcare industry is subject to numerous laws and regulations, including those related to government healthcare participation requirements, various licensure and accreditations, and Medicare and Medicaid fraud and abuse provisions. Failure to comply with these laws and regulations could lead to substantial penalties and other adverse effects on the business.
• Cybersecurity Risks: The company's IT systems are subject to damage or interruption from power outages, computer viruses, security breaches and other cyber threats. A cyber security incident could cause a violation of HIPAA, breach of patient or other persons privacy, or other negative impacts.