UHS Profit Margins

Gross, Operating & Net Margin Analysis for Universal Health Services Inc

Margin Quality

Unknown

Current Profit Margins

Gross Margin

0.0%

0.0% YoY

$0.00 gross profit

Operating Margin

0.0%

0.0% YoY

$0.00 operating income

Net Profit Margin

7.3%

2.3% YoY

$1.16B net income

5-Year Margin Trends

2020Revenue: $3.09B
Gross0.0%
Operating0.0%
Net10.0%
2021Revenue: $12.64B
Gross0.0%
Operating0.0%
Net7.8%
2022Revenue: $13.40B
Gross0.0%
Operating0.0%
Net4.9%
2023Revenue: $14.28B
Gross0.0%
Operating0.0%
Net5.0%
2024Revenue: $15.83B
Gross0.0%
Operating0.0%
Net7.3%

What Margins Indicate About UHS

Business Quality

Lower gross margins may reflect commodity-like products or intense price competition in the Health Care.

Operational Efficiency

Stable operating margins suggest consistent execution and predictable business operations.

Profitability

Net margins in the 5-15% range are solid and typical for many profitable businesses.

Investment Implications

Mixed margin trends require deeper analysis to understand underlying business dynamics and sustainability.

Understanding Profit Margins

Gross Margin

(Revenue - Cost of Goods Sold) / Revenue. Measures pricing power and production efficiency before operating expenses.

Operating Margin

Operating Income / Revenue. Shows profitability from core operations after all operating expenses but before interest and taxes.

Net Profit Margin

Net Income / Revenue. The bottom line - shows how much profit the company keeps from each dollar of revenue after all expenses.

Analyze UHS Profitability

Get complete financial analysis with profitability trends, ROE, ROIC, and more

Frequently Asked Questions

What is UHS's profit margin?

UHS (Universal Health Services Inc) has a net profit margin of 7.3%, meaning the company keeps $0.07348457016028939 in profit for every dollar of revenue. This represents an improvement from the previous year's net margin of 5.0%.

What is UHS's gross margin?

UHS's gross margin is 0.0%. Gross margin measures the percentage of revenue remaining after subtracting the cost of goods sold. A lower gross margin like this reflects the competitive dynamics of the Health Care.

What is UHS's operating margin?

UHS has an operating margin of 0.0%. Operating margin shows profitability after operating expenses but before interest and taxes. This metric helps investors understand how efficiently Universal Health Services Inc manages its operations.

Are UHS's profit margins good?

UHS's margins are considered unknown. When evaluating margins, it's important to compare against Health Care Providers & Services peers, as different sectors have structurally different margin profiles.

How do profit margins affect UHS stock?

Profit margins are a key indicator of UHS's business quality and competitive position. The current margins should be evaluated alongside growth rates and return on capital to assess overall business quality. Expanding margins often lead to stock price appreciation, while contracting margins can signal competitive pressures.

What drives UHS's profit margins?

UHS's profit margins are influenced by several factors: pricing power vs competitors, operational efficiency, scale advantages, input costs (materials, labor), Health Care Providers & Services-specific dynamics, and management execution. Monitoring margin trends helps identify improving or deteriorating business fundamentals.

Disclaimer: Margin analysis is based on reported financial statements and should be compared to industry peers for context. Different sectors have structurally different margin profiles. This information is for educational purposes only and should not be considered financial advice.

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