Company: UHS
Filing Date: 2025-02-26
Form Type: 10-K
Source: 0000950170-25-027785
Chunk: 122

Company: UNIVERSAL HEALTH SERVICES INC
Filing Date: 2025-02-26
Form: 10-K
Item: Item 1B
Chunk 122
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Income before income taxes increased by $277 million, or 26%, to $1.360 billion or 19.7% of net revenues during 2024, as compared to $1.084 billion or 17.5% of net revenues during 2023. The increase in income before income taxes at our behavioral health facilities during 2024, as compared to 2023, was primarily attributable to the $281 million, or 26%, increase in income before income taxes generated at our behavioral health facilities, on a Same Facility basis, as discussed above. 

During 2024, as compared to 2023, salaries, wages and benefits expense increased by $250 million or 7.5%. The increase was due primarily to the above-mentioned $245 million, or 7.3%, increase related to our behavioral health facilities, on a Same Facility basis.   

Other operating expenses increased by $144 million, or 11.1%, during 2024, as compared to 2023. The increase was due primarily to the above-mentioned $94 million, or 8.0%, increase related to our behavioral health facilities, on a Same Facility basis, as well as a $51 million increase in provider tax assessments.    

Supplies expense increased $13 million, or 6.0%, during 2024, as compared to 2023, due primarily to the above-mentioned increase related to our behavioral health facilities, on a Same Facility basis.   

Please see Results of Operations - Clinical Staffing, Physician Related Expenses and Effects of Inflation above for additional disclosure regarding the factors impacting our operating costs. 

Sources of Revenue

Overview: We receive payments for services rendered from private insurers, including managed care plans, the federal government under the Medicare program, state governments under their respective Medicaid programs and directly from patients.

Hospital revenues depend upon inpatient occupancy levels, the medical and ancillary services and therapy programs ordered by physicians and provided to patients, the volume of outpatient procedures and the charges or negotiated payment rates for such services. Charges and reimbursement rates for inpatient routine services vary depending on the type of services provided (e.g., medical/surgical, intensive care or behavioral health) and the geographic location of the hospital. Inpatient occupancy levels fluctuate for various reasons, many of which are beyond our control. The percentage of patient service revenue attributable to outpatient services has generally increased in recent years, primarily as a result of advances in medical technology that allow more services to be provided on an