Exhibit 99.1

 U.S. Physical Therapy Authorizes Additional Share Repurchase Program

    HOUSTON--(BUSINESS WIRE)--Aug. 23, 2005--U.S. Physical Therapy,
Inc. (Nasdaq:USPH) announced today that its Board of Directors has
authorized the repurchase of up to an additional 500,000 shares of the
Company's outstanding common stock. Shares available for purchase
under an existing program plus the program announced today total over
650,000 shares. It is expected that shares will be acquired from time
to time in open market or private transactions. No expiration date for
the repurchase plan was set. Currently, there are approximately
12,000,000 shares of U.S. Physical Therapy common stock outstanding.
The Company intends to hold purchased shares in treasury or to use
such shares for other corporate purposes as specified by the Board.

    Forward-Looking Statements

    This press release contains forward-looking statements (often
using words such as "believes," "expects," "intends," "plans,"
"appear," "should" and similar words), which involve numerous risks
and uncertainties. Included among such statements are those relating
to opening of new clinics, availability of personnel and reimbursement
environment. The forward-looking statements are based on the Company's
current views and assumptions and the Company's actual results could
differ materially from those anticipated in such forward-looking
statements as a result of certain risks, uncertainties, and factors,
which include, but are not limited to:

    --  revenue and earnings expectations;

    --  general economic, business, and regulatory conditions
        including federal and state regulations;

    --  availability of qualified physical and occupational
        therapists;

    --  the failure of our clinics to maintain their Medicare
        certification status or changes in Medicare guidelines;

    --  competitive and/or economic conditions in our markets which
        may require us to close certain clinics and thereby incur
        closure costs and losses including the possible write-off or
        write-down of goodwill;

    --  changes in reimbursement rates or methods from third party
        payors including government agencies and deductibles and
        co-pays owed by patients;

    --  maintaining adequate internal controls;

    --  availability, terms, and use of capital;

    --  future acquisitions;

    --  weather and other seasonal factors.

    Most of these factors are beyond our control. Given these
uncertainties, you should not place undue reliance on our
forward-looking statements. Please see our other periodic reports
filed with the Securities and Exchange Commission for more information
on these factors. Except as required by law, management is under no
obligation to update any forward-looking statement, regardless of the
reason the statement is no longer accurate.

    About U.S. Physical Therapy, Inc.

    Founded in 1990, U.S. Physical Therapy, Inc. operates 277
outpatient physical and/or occupational therapy clinics in 36 states.
The Company's clinics provide preventative and post-operative care for
a variety of orthopedic-related disorders and sports-related injuries,
treatment for neurologically-related injuries and rehabilitation of
injured workers. In addition to owning and operating clinics, the
Company manages physical therapy facilities for third parties,
including hospitals and physician groups. U.S. Physical Therapy, Inc.
has been named for three consecutive years in Forbes Magazine's Best
200 Small Companies List.

    More information about U.S. Physical Therapy, Inc. is available at
www.usph.com. The information included on that Web site is not
incorporated into this press release.

    CONTACT: U.S. Physical Therapy, Inc., Houston
             Larry McAfee or Chris Reading, 713-297-7000
             or
             DRG&E
             Investors Relations:
             Jack Lascar, 713-529-6600