Universal Health Services (UHS) official guidance

On the behavioral side, we modified our growth algorithm, our adjusted patient day growth algorithm, to 1%-2% last quarter.

During the third quarter of 2026, we spent $214 million on capital expenditures, and we anticipate capital expenditures to be slightly below $1 billion for the full-year of 2026.

Because these practices remain at varying stages of developing their patient bases within the community, we now expect the hospital to reach operational break even in the first half of 2027, compared with our prior expectations of the fourth quarter of 2026.

Cumulatively, these facilities are expected to contribute operating losses of $80 million-$100 million in 2026, and we believe there is potential to recover at least a meaningful portion of those losses in 2027 as we anticipate making further operational progress at the de novo facilities over the next several quarters and regaining certification at the San Antonio facility.

As it relates to the exchanges, annualizing the second half 2026 run rate would create a $15 million headwind in 2027.

As it relates to Medicaid supplemental payments, we estimate the 2027 headwind will be approximately $175 million-$200 million.

This primarily includes prior year amounts that we recorded in 2026 for DPP programs in Florida, Nevada, Ohio, California, and Washington, D.C., as well as approximately $10 million of impact during the fourth quarter 2027 from the initial provider tax portion of the OB3 funding cuts.

acute care, we are talking about 1.5%-2.5% adjusted admission growth. For the year, I think we are averaging slightly above that, I think 2.6% for the year, and then 2%-3% pricing growth.

Then 2%-3% pricing in behavioral, and I think we are running within that range in behavioral as well.

acute care, we are talking about 1.5%-2.5% adjusted admission growth.

Focusing my remarks specifically on adjusted EBITDA less NCI, our updated 2026 forecast is in a range of $2.61 billion-$2.72 billion, representing a decrease of approximately $50 million from our prior outlook at the $2.66 billion midpoint.

Our updated guidance represents approximately 7% revenue growth, 3% EBITDA less NCI growth, and 6% EPS growth at the midpoint.

Our updated guidance represents approximately 7% revenue growth, 3% EBITDA less NCI growth, and 6% EPS growth at the midpoint.

First, we now expect the net benefit for Medicaid supplemental funding to be approximately $1.5 billion for the year, or an increase of approximately $150 million from our prior outlook.

The $50 million difference in our guidance now assumes Cedar Hill will reach break even during the Q4, and therefore approximately $20 million of start-up losses at our Florida hospital will not be contained by second-half operating gains at Cedar Hill as originally contemplated in our prior outlook.

The $50 million difference in our guidance now assumes Cedar Hill will reach break even during the Q4, and therefore approximately $20 million of start-up losses at our Florida hospital will not be contained by second-half operating gains at Cedar Hill as originally contemplated in our prior outlook.

We expect operating losses to run between $5 million and $10 million per quarter for the balance of 2026.

Third, we are adjusting the year-over-year tailwind related to Cedar Hill Regional Medical Center in Washington, D.C., from $50 million to $20 million.

Based on the trends during the first half of 2026, we expect the full year pre-tax impact to be within the upper half of our originally contemplated guidance range, or approximately $85 million.

Second, we now include $50 million of impact associated with the Texas Behavioral Health facility that is in the process of being recertified. This includes the loss of approximately $30 million in earnings originally budgeted for this year, and approximately $20 million of operating losses assumed for the full year while we work towards recertification.