Universal Health Services (UHS) stock surged 6.06% in after-hours trading on Monday following the release of its impressive third-quarter results and optimistic outlook for the full year. The healthcare facilities operator significantly outperformed analyst expectations, driving investor enthusiasm.
The company reported adjusted earnings per share of $5.69 for Q3, handily beating the analyst consensus estimate of $4.79. This represents a substantial 53.37% increase from the same period last year. Quarterly revenue also exceeded expectations, coming in at $4.495 billion, up 13.42% year-over-year and surpassing the estimated $4.345 billion. Universal Health's adjusted net income for the quarter reached $362.3 million, considerably higher than the $308.5 million forecast by analysts.
Adding to the positive sentiment, Universal Health raised its full-year 2025 guidance. The company now expects annual revenue in the range of $17.31 billion to $17.45 billion, up from previous estimates and above the FactSet consensus of $17.20 billion. Additionally, the adjusted EPS forecast for 2025 was increased to a range of $21.50 to $22.10, surpassing the earlier FactSet estimate of $20.65. In a further show of confidence, Universal Health announced an increase to its stock repurchase program by $1.5 billion, potentially providing additional support for the stock price in the future.