(Reuters) – Hospital operator Universal Health Services beat fourth-quarter profit estimates on Wednesday, driven by robust demand for medical care that required hospital stays.
Shares of the company were up 3.8%, at $187, in after-hours trading.
Hospital operators have been benefiting from an uptick in demand for medical care, as older adults catch up on surgeries delayed during the pandemic.
Same facility adjusted admissions increased by 2.2% at acute care hospitals in the fourth quarter, while same facility adjusted admissions grew by 2% at behavioral health care facilities.
On an adjusted basis, the company reported a profit of $4.92 per share for the quarter ended December 31, beating analysts’ estimates of $4.18 per share, according to data compiled by LSEG.
The Pennsylvania-based company forecast its annual revenue to be in the range of $17.02 billion to $17.36 billion, above estimates of $16.72 billion.
Larger peer HCA Healthcare also forecast 2025 profit above estimates due to elevated demand for medical procedures and lower costs.
Universal Health Services operates 28 inpatient acute care hospitals, 331 inpatient behavioral health facilities and other facilities across 39 states.
(Reporting by Sneha S K in Bengaluru; Editing by Mohammed Safi Shamsi)
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