Revenue accelerated to 8.3% YoY growth in 2026Q2, yet operating margin remained flat at 11.1%, as SG&A costs rose 10.5% since 2024Q1, indicating limited operating leverage.
Universal Health Services, Inc. (UHS) annual income statement — 30-year revenue, gross profit & net income history
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'03 | Dec'02 | Dec'01 | Dec'00 | Dec'99 | Dec'98 | Dec'97 | Dec'96 |
|---|
| Sales/Revenue | 18.11B | 17.36B | 15.83B | 14.28B | 13.4B | 12.64B | 11.56B | 11.38B | 10.77B | 10.41B | 9.77B | 9.04B | 8.07B | 7.28B | 6.96B | 7.5B | 5.57B | 5.2B | 5.02B | 4.75B | 4.19B | 3.94B | 3.94B | 3.64B | 3.26B | 2.84B | 2.24B | 2.04B | 1.87B | 1.44B | 1.19B |
| Revenue Growth % | 10.05% | 9.71% | 10.82% | 6.59% | 5.99% | 9.37% | 1.59% | 5.63% | 3.48% | 6.59% | 7.99% | 12.13% | 10.73% | 4.63% | -7.18% | 34.7% | 7.03% | 3.58% | 5.71% | 13.35% | 6.5% | -0.07% | 8.09% | 11.8% | 14.73% | 26.67% | 9.79% | 8.96% | 29.93% | 21.21% | 27.83% |
| Cost of Goods Sold | 1.69B | 1.66B | 1.59B | 1.53B | 1.47B | 1.43B | 1.29B | 1.25B | 1.17B | 1.11B | 1.03B | 974.09M | 895.69M | 821.09M | 799.62M | 805.49M | 716.92M | 2.9B | 2.83B | 666.32M | 547.91M | 2.12B | 1.95B | 1.12B | 1.21B | 668.03M | 816.75M | 475.1M | 438.1M | 574.8M | 459.2M |
| COGS % of Revenue | - | 9.55% | 10.03% | 10.73% | 11% | 11.29% | 11.14% | 11% | 10.85% | 10.62% | 10.56% | 10.77% | 11.11% | 11.27% | 11.49% | 10.74% | 12.88% | 55.81% | 56.3% | 14.02% | 13.07% | 53.77% | 49.61% | 30.72% | 37.21% | 23.52% | 36.42% | 23.26% | 23.37% | 39.84% | 38.58% |
| Gross Profit | 16.43B | 15.71B | 14.24B | 12.75B | 11.93B | 11.21B | 10.27B | 10.13B | 9.6B | 9.3B | 8.73B | 8.07B | 7.31B | 6.55B | 6.16B | 5.95B | 4.18B | 2.3B | 2.19B | 4.02B | 3.58B | 1.82B | 1.68B | 2.52B | 2.05B | 2.17B | 1.43B | 1.57B | 1.44B | 867.9M | 715M |
| Gross Margin % | 90.69% | 90.45% | 89.97% | 89.27% | 89% | 88.71% | 88.86% | 89% | 89.15% | 89.38% | 89.44% | 89.23% | 90.63% | 89.88% | 88.51% | 79.39% | 75.13% | 44.19% | 43.7% | 84.55% | 85.34% | 46.23% | 42.76% | 69.12% | 62.79% | 76.48% | 63.58% | 76.74% | 76.63% | 60.16% | 60.07% |
| Gross Profit Growth % | - | 10.29% | 11.69% | 6.91% | 6.33% | 9.19% | 1.42% | 5.45% | 3.21% | 6.52% | 8.25% | 10.4% | 11.65% | 6.25% | 3.48% | 42.35% | 81.98% | 4.74% | -45.36% | 12.3% | 96.58% | 8.05% | -33.13% | 23.06% | -5.81% | 52.38% | -9.03% | 9.11% | 65.5% | 21.38% | 25.42% |
| Operating Expenses | 14.37B | 13.71B | 12.56B | 11.57B | 10.92B | 9.85B | 8.91B | 8.91B | 8.43B | 8.02B | 7.45B | 6.81B | 6.25B | 5.53B | 5.22B | 5.06B | 3.68B | 1.78B | 1.78B | 3.65B | 3.26B | 1.51B | 1.37B | 1.68B | 1.72B | 1.91B | 1.23B | 1.41B | 1.28B | 742.3M | 610.7M |
| OpEx % of Revenue | - | 78.96% | 79.34% | 81.04% | 81.51% | 77.93% | 77.1% | 78.32% | 78.24% | 77.09% | 76.32% | 75.3% | 77.44% | 75.94% | 74.97% | 67.43% | 66.05% | 34.18% | 35.53% | 76.75% | 77.66% | 38.25% | 34.87% | 46.15% | 52.68% | 67.31% | 54.77% | 68.84% | 68.13% | 51.45% | 51.31% |
| Selling, General & Admin | 8.46B | 8.23B | 7.67B | 7.25B | 6.89B | 6.28B | 5.73B | 5.7B | 5.36B | 5.08B | 4.68B | 4.31B | 3.94B | 3.7B | 3.54B | 3.42B | 2.44B | 69.95M | 69.88M | 2.07B | 1.83B | 1.35B | 1.23B | 1.56B | 1.59B | 1.78B | 1.12B | 1.3B | 1.17B | 661.6M | 538.8M |
| SG&A % of Revenue | - | 47.41% | 48.43% | 50.75% | 51.45% | 49.7% | 49.56% | 50.07% | 49.76% | 48.84% | 47.95% | 47.63% | 48.84% | 50.83% | 50.79% | 45.55% | 43.8% | 1.34% | 1.39% | 43.63% | 43.63% | 34.3% | 31.25% | 42.88% | 48.85% | 62.82% | 49.74% | 63.54% | 62.51% | 45.86% | 45.27% |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| R&D % of Revenue | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Operating Expenses | 4M | 5.48B | 4.89B | 4.33B | 4.03B | 3.57B | 3.18B | 3.21B | 3.07B | 2.94B | 2.77B | 2.5B | 2.31B | 1.83B | 1.68B | 1.64B | 1.24B | 1.71B | 1.71B | 1.57B | 1.43B | 155.48M | 142.48M | 119.16M | 124.79M | 127.52M | 112.81M | 108.3M | 105.4M | 80.7M | 71.9M |
| Operating Income | 2.06B | 1.99B | 1.68B | 1.18B | 1B | 1.36B | 1.36B | 1.22B | 1.18B | 1.28B | 1.28B | 1.26B | 1.06B | 1.02B | 942.58M | 897.13M | 505.71M | 520.53M | 410.22M | 370.25M | 321.73M | 314.04M | 310.6M | 836.65M | 329.51M | 260.45M | 197.48M | 161.3M | 159.3M | 125.6M | 104.3M |
| Operating Margin % | 11.36% | 11.48% | 10.63% | 8.23% | 7.49% | 10.78% | 11.75% | 10.69% | 10.91% | 12.3% | 13.12% | 13.93% | 13.18% | 13.94% | 13.54% | 11.96% | 9.08% | 10.01% | 8.17% | 7.79% | 7.68% | 7.98% | 7.89% | 22.96% | 10.11% | 9.17% | 8.81% | 7.9% | 8.5% | 8.71% | 8.76% |
| Operating Income Growth % | - | 18.56% | 43.09% | 17.12% | -26.38% | 0.35% | 11.72% | 3.46% | -8.2% | -0.1% | 1.75% | 18.44% | 4.71% | 7.73% | 5.07% | 77.4% | -2.85% | 26.89% | 10.79% | 15.08% | 2.45% | 1.11% | -62.88% | 153.91% | 26.52% | 31.89% | 22.43% | 1.26% | 26.83% | 20.42% | 37.6% |
| EBITDA | 2.7B | 2.61B | 2.27B | 1.74B | 1.59B | 1.9B | 1.87B | 1.71B | 1.63B | 1.73B | 1.7B | 1.66B | 1.44B | 1.35B | 1.25B | 1.19B | 729.71M | 725.24M | 605.99M | 553.53M | 485.42M | 477.75M | 477.27M | 981.12M | 454.31M | 387.98M | 310.29M | 269.6M | 264.7M | 206.3M | 176.2M |
| EBITDA Margin % | 14.9% | 15.05% | 14.32% | 12.21% | 11.83% | 15% | 16.17% | 15% | 15.12% | 16.6% | 17.39% | 18.33% | 17.84% | 18.57% | 17.97% | 15.91% | 13.11% | 13.94% | 12.07% | 11.65% | 11.58% | 12.14% | 12.12% | 26.93% | 13.94% | 13.66% | 13.84% | 13.2% | 14.12% | 14.3% | 14.8% |
| EBITDA Growth % | 12.09% | 15.27% | 30.01% | 9.97% | -16.39% | 1.47% | 9.53% | 4.79% | -5.77% | 1.76% | 2.41% | 15.23% | 6.37% | 8.12% | 4.89% | 63.49% | 0.62% | 19.68% | 9.48% | 14.03% | 1.6% | 0.1% | -51.35% | 115.96% | 17.1% | 25.04% | 15.09% | 1.85% | 28.31% | 17.08% | 38.52% |
| D&A (Non-Cash Add-back) | 641.16M | 618.74M | 584.83M | 568.04M | 581.86M | 533.21M | 510.49M | 490.39M | 453.05M | 447.76M | 416.61M | 398.62M | 375.62M | 337.36M | 308.69M | 295.86M | 224M | 204.7M | 195.77M | 183.28M | 163.69M | 163.71M | 166.68M | 144.47M | 124.79M | 127.52M | 112.81M | 108.3M | 105.4M | 80.7M | 71.9M |
| EBIT | 2.18B | 2.12B | 1.68B | 1.15B | 993.15M | 1.38B | 1.36B | 1.23B | 1.18B | 1.27B | 1.26B | 1.24B | 1.03B | 980.25M | 894.93M | 860.78M | 496.42M | 520.92M | 411.08M | 327.95M | 286.75M | 314.04M | 310.6M | 836.65M | 329.51M | 260.45M | 197.48M | 161.3M | 159.3M | 125.6M | 104.3M |
| Net Interest Income | -155.2M | -156.07M | -186.11M | -206.67M | -126.89M | -83.67M | -106.28M | -162.73M | -154.96M | -142.77M | -116.56M | -103.29M | -114.58M | -126.95M | -158.29M | -192.54M | -71.66M | -45.81M | -53.21M | -51.63M | -32.56M | -32.93M | 0 | -38.23M | 0 | 0 | -29.94M | 0 | 0 | 0 | 0 |
| Interest Income | 524K | 1.19M | 1.43M | 572K | 378K | 1.6M | 2.8M | 0 | 0 | 81K | 150K | 279K | 537K | 5.75M | 85K | 164K | 391K | 0 | 0 | 1.06M | 1.78M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 155.72M | 157.26M | 187.53M | 207.25M | 127.27M | 85.27M | 109.09M | 162.73M | 154.96M | 142.85M | 116.72M | 103.57M | 115.11M | 132.7M | 158.38M | 200.79M | 77.6M | 45.81M | 53.21M | 95.55M | 34.34M | 32.93M | 64.14M | 38.23M | 52.44M | 103.56M | 29.94M | 43.8M | 36.2M | 19.4M | 29.4M |
| Other Income/Expense | -31.89M | -21.87M | -183.88M | -234.96M | -137.29M | -69.78M | -106.27M | -149.57M | -140.74M | -145.17M | -125.05M | -113.49M | -133.64M | -146.13M | -178.92M | -200.79M | -77.6M | -45.81M | -53.21M | -95M | 135.44M | -141.9M | -78.49M | -537.34M | -52.44M | -102.56M | -51.37M | -38.5M | -36.2M | -19.7M | -24.3M |
| Pretax Income | 2.03B | 1.97B | 1.5B | 940.43M | 866.26M | 1.29B | 1.25B | 1.07B | 1.03B | 1.14B | 1.16B | 1.15B | 929.67M | 869.33M | 763.66M | 696.34M | 428.1M | 474.72M | 316.32M | 275.07M | 412.47M | 172.14M | 271.14M | 317.7M | 277.07M | 157.9M | 146.11M | 122.8M | 123.1M | 105.9M | 80M |
| Pretax Margin % | 11.19% | 11.36% | 9.46% | 6.58% | 6.46% | 10.23% | 10.83% | 9.37% | 9.6% | 10.9% | 11.84% | 12.67% | 11.53% | 11.94% | 10.97% | 9.28% | 7.69% | 9.13% | 6.3% | 5.79% | 9.84% | 4.37% | 6.88% | 8.72% | 8.5% | 5.56% | 6.52% | 6.01% | 6.57% | 7.34% | 6.72% |
| Income Tax | 476.36M | 460.96M | 334.83M | 221.12M | 209.28M | 305.68M | 299.29M | 238.79M | 236.64M | 363.7M | 409.19M | 395.2M | 324.67M | 315.31M | 274.62M | 247.47M | 152.3M | 170.47M | 123.38M | 104.55M | 152.88M | 62.3M | 101.14M | 118.43M | 101.71M | 57.15M | 52.75M | 45M | 43.5M | 38.6M | 29.3M |
| Effective Tax Rate % | 23.51% | 23.37% | 22.35% | 23.51% | 24.16% | 23.64% | 23.9% | 22.39% | 22.87% | 32.04% | 35.39% | 34.49% | 34.92% | 36.27% | 35.96% | 35.54% | 35.58% | 35.91% | 39% | 38.01% | 37.06% | 36.19% | 37.3% | 37.28% | 36.71% | 36.19% | 36.1% | 36.64% | 35.34% | 36.45% | 36.63% |
| Net Income | 1.53B | 1.49B | 1.14B | 717.79M | 675.61M | 991.59M | 943.95M | 814.85M | 779.71M | 752.3M | 702.41M | 680.53M | 545.34M | 510.73M | 443.45M | 398.17M | 230.18M | 260.37M | 199.38M | 170.39M | 259.46M | 240.84M | 169.49M | 199.27M | 175.36M | 99.74M | 93.36M | 77.8M | 79.6M | 67.3M | 50.7M |
| Net Margin % | 8.42% | 8.57% | 7.22% | 5.03% | 5.04% | 7.84% | 8.17% | 7.16% | 7.24% | 7.23% | 7.19% | 7.53% | 6.76% | 7.01% | 6.37% | 5.31% | 4.13% | 5% | 3.97% | 3.59% | 6.19% | 6.12% | 4.3% | 5.47% | 5.38% | 3.51% | 4.16% | 3.81% | 4.25% | 4.66% | 4.26% |
| Net Income Growth % | 21.02% | 30.36% | 59.11% | 6.24% | -31.87% | 5.05% | 15.84% | 4.51% | 3.64% | 7.1% | 3.22% | 24.79% | 6.78% | 15.17% | 11.37% | 72.98% | -11.59% | 30.59% | 17.01% | -34.33% | 7.73% | 42.1% | -14.94% | 13.63% | 75.81% | 6.83% | 20% | -2.26% | 18.28% | 32.74% | 42.82% |
| Net Income (Continuing) | 1.55B | 1.51B | 1.16B | 719.31M | 656.98M | 987.63M | 952.79M | 827.54M | 797.88M | 771.31M | 747.17M | 750.7M | 605M | 554.02M | 489.05M | 448.87M | 275.8M | 304.25M | 233.63M | 170.64M | 159.2M | 109.84M | 161.1M | 187.9M | 175.36M | 100.75M | 93.36M | 77.8M | 79.6M | 67.3M | 50.7M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 141.43M | 133.62M | 96.61M | 52.91M | 49.46M | 108.51M | 89.39M | 79.1M | 80.82M | 68.62M | 73.69M | 302.02M | 294.69M | 268.36M | 286.91M | 269.03M | 256.76M | 238.47M | 226.74M | 0 | 174.06M | 159.88M | 186.54M | 159.55M | 140.25M | 125.91M | 120.79M | 115.6M | 129.4M | 0 | 0 |
| EPS (Diluted) | 25.46 | 23.10 | 16.82 | 10.23 | 9.14 | 11.82 | 10.99 | 9.13 | 8.32 | 7.81 | 7.14 | 6.76 | 5.42 | 5.14 | 4.53 | 4.04 | 2.34 | 2.64 | 1.97 | 1.59 | 2.28 | 2.00 | 1.38 | 1.60 | 1.37 | 0.80 | 0.75 | 0.61 | 0.60 | 0.51 | 0.41 |
| EPS Growth % | 28.38% | 37.34% | 64.42% | 11.93% | -22.67% | 7.55% | 20.37% | 9.74% | 6.53% | 9.38% | 5.62% | 24.72% | 5.45% | 13.47% | 12.13% | 72.65% | -11.36% | 34.01% | 23.9% | -30.26% | 14% | 44.93% | -13.75% | 16.79% | 71.25% | 6.67% | 22.95% | 1.67% | 17.65% | 24.39% | 28.13% |
| EPS (Basic) | - | 23.42 | 17.16 | 10.35 | 9.23 | 11.99 | 11.06 | 9.16 | 8.36 | 7.86 | 7.22 | 6.89 | 5.52 | 5.21 | 4.57 | 4.09 | 2.37 | 2.65 | 1.97 | 1.60 | 2.38 | 2.17 | 1.47 | 1.73 | 1.47 | 0.84 | 0.78 | 0.62 | 0.62 | 0.52 | 0.42 |
| Diluted Shares Outstanding | 59.94M | 64.46M | 67.9M | 70.13M | 73.83M | 83.69M | 85.59M | 89.04M | 93.75M | 96.33M | 98.38M | 100.69M | 100.54M | 99.36M | 97.71M | 98.54M | 97.97M | 98.28M | 101.46M | 107.14M | 115.82M | 125.29M | 129.73M | 130.18M | 134.15M | 134.44M | 129.64M | 127.96M | 133.17M | 132.61M | 122.91M |
| Basic Shares Outstanding | 59.64M | 63.58M | 66.55M | 69.32M | 73.12M | 82.52M | 85.06M | 88.76M | 93.28M | 95.65M | 97.21M | 98.8M | 98.83M | 98.03M | 96.82M | 97.2M | 96.79M | 97.79M | 101.22M | 106.76M | 109.11M | 111.32M | 115.31M | 119.38M | 119.46M | 119.75M | 120.44M | 125.67M | 130.04M | 129.42M | 120M |
| Dividend Payout Ratio | - | 3.44% | 4.67% | 7.73% | 8.65% | 6.65% | 1.84% | 6.5% | 4.79% | 5.08% | 5.53% | 5.81% | 5.44% | 3.84% | 13.17% | 4.89% | 8.44% | 6.42% | 8.1% | 10.08% | 6.72% | 7.43% | 10.99% | 2.33% | - | 14.68% | 8.18% | 23.65% | 2.26% | - | - |
Quick answers to the most common questions about buying UHS stock.
For fiscal year 2025, Universal Health Services, Inc. (UHS) reported total revenue of $17.36B. This represents a 1359.0% increase compared to $1.19B in 1996.
Universal Health Services, Inc. (UHS) is profitable, generating $1.49B in net income for the fiscal year ending 2025 with a net profit margin of 8.6%.
Universal Health Services, Inc. (UHS) reported an operating income of $1.99B, resulting in an operating profit margin of 11.5%. This margin reflects the operational efficiency of the business before interest and taxes.
Universal Health Services, Inc. (UHS) generated $15.71B in gross profit for the year, representing a gross profit margin of 90.4%. This demonstrates the company's core pricing power and production efficiency.
Key Metrics
Top Statement Risk
Labor cost inflation and Medicaid cuts
Metrics are mathematically derived from official filings.
Steady Revenue Acceleration Across Quarters
UHS revenue grew 8.3% year-over-year in 2026Q2, up from 6.7% in 2025Q1, according to the latest income statement data, indicating a modest acceleration in top-line momentum.
The sequential acceleration from 6.7% to 8.3% over five quarters suggests improving volume or pricing power, likely driven by behavioral health demand and favorable payer mix. However, the growth rate remains below the double-digit levels seen in 2024, implying a mature but resilient portfolio. Investors should monitor whether this acceleration is sustainable given potential Medicaid headwinds.
Gross Margin Stability Masks Cost Pressures
Gross margin held near 90.9% in 2026Q2, up from 89.5% in 2024Q1, per reported figures, but this high level reflects an accounting treatment that excludes labor costs, which are the primary cost driver.
The apparent stability in gross margin is misleading because salaries, wages, and benefits are the largest expense line and are captured in SG&A. Operating margin has remained range-bound between 9.7% and 11.7% over the past ten quarters, suggesting that labor cost inflation is being offset by pricing or mix improvements. The sustainability of this balance is questionable if wage pressures persist.
Operating Leverage Limited by SG&A Growth
Operating income grew 3.3% in 2026Q2 versus revenue growth of 8.3%, based on the income statement data, indicating that SG&A expenses are absorbing a significant portion of incremental revenue.
SG&A has risen from $1.9B in 2024Q1 to $2.1B in 2026Q2, a 10.5% increase over the period, while revenue grew only 21%. This suggests that the company is not achieving meaningful operating leverage, likely due to fixed labor costs and investments in capacity. If revenue growth decelerates, operating margins could compress.
EPS Beat Driven by Non-Operating Items
EPS of $5.98 in 2026Q2 exceeded estimates by $0.78, but net income margin of 7.7% was below the 9.9% seen in 2025Q4, according to the data, suggesting the beat may include one-time gains.
The sharp jump in EPS from $5.65 in 2026Q1 to $5.98 in 2026Q2, despite flat revenue growth, implies a lower tax rate or other non-operating benefits. The absence of stock-based compensation in 2026Q2 (reported as $0) versus $22.5M in the prior quarter further clouds earnings quality. Investors should scrutinize the sustainability of these items.
SG&A Swells as Labor Costs Persist
SG&A expenses reached $2.1B in 2026Q2, up from $1.9B in 2024Q1, a 10.5% increase, per the income statement, outpacing revenue growth of 21% over the same period.
The rise in SG&A is consistent with the industry-wide nursing shortage and reliance on premium labor. While gross margin remains high, the operating margin has not expanded, indicating that cost increases are being absorbed. Management's guidance hold after an EPS beat suggests they expect these cost pressures to continue.
Margin Compression Risk from Labor and Medicaid
Despite a recent EPS beat, operating margin has been flat at ~11% for five quarters, and potential Medicaid cuts could pressure revenue, according to the data, making the current valuation vulnerable.
Short-sellers would argue that the high gross margin is an accounting artifact and that the real cost structure is labor-intensive. With SG&A consuming over 45% of revenue, any wage inflation or reduction in government reimbursement could compress margins. The company's decision to maintain guidance despite the beat suggests management sees headwinds ahead.