Universal Health misses Q1 expectations as patient volume dwindles

Shares of Universal Health Services Inc. UHS, +3.37% fell more than 9% in the extended session Monday after the health-care company missed profit and sales expectations for the first quarter as its hospitals and other facilities saw fewer patients amid the coronavirus pandemic. Universal Health said it earned $142 million, or $1.64 a share, in the quarter, compared with $234.2 million, or $2.57 a share, in the year-ago period. Adjusted for one-time items, the company earned $150.2 million, or $1.73 a share, compared with $2.45 a share a year ago. Sales rose 0.9% to $2.8 billion, it said. Analysts polled by FactSet had expected adjusted earnings of $2.59 a share on sales of $2.9 billion for the quarter. “The impact of the COVID-19 pandemic has had a material unfavorable effect on our operations and financial results,” the company said. “Patient volumes at our acute-care hospitals and our behavioral health care facilities were significantly reduced during the second half of March as various COVID-19 policies were implemented by our facilities and federal and state governments,” it said. Due to the uncertainty regarding the epidemic, the company withdrew its guidance.
https://www.marketwatch.com/story/universal-health-misses-q1-expectations-as-patient-volume-dwindles-2020-04-27