Universal Health Services, Inc.
Consolidated Statements of Income
September 1998
(in thousands, except per share amounts)
(unaudited)

  Three months ended September 30, Nine months ended September 30,
  1998 1997 1998 1997
Net revenues $456,090 $362,377 $1,393,765 $1,046,373
Operating charges:
     Operating expenses 192,055 147,992 568,131 414,460
     Salaries and wages 165,547 129,489 492,393 368,374
     Provision for doubtful accounts 31,116 29,080 101,372 80,193
     Depreciation and amortization 27,160 20,055 77,868 58,898
     Lease and rental expense 11,232 10,041 34,809 28,469
     Interest expense 7,139 4,566 20,529 14,906
  434,249 341,223 1,295,102 965,300
Income before minority interests and income taxes 21,841 21,154 98,663 81,073
Minority interests in earnings of consolidated entities 1,413 (725) 6,687 (1,254)
Income before income taxes 20,428 21,879 91,976 82,327
Provision for income taxes 7,035 8,060 32,472 30,071
Net income $13,393 $13,819 $59,504 $52,256
Earnings per share - basic $0.41 $0.43 $1.83 $1.62
Earnings per share - diluted $0.40 $0.42 $1.78 $1.58
Average number of shares outstanding - basic 32,643 32,346 32,595 32,294
Stock equivalents 690 782 786 772
Average number of shares outstanding - diluted 33,333 33,128 33,381 33,066


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