Universal Health Services (UHS) 25 Apr 242024 Q1 Earnings call transcript

Company Profile

Participants

Steve Filton	executive
Marc Miller	executive
Justin Lake	analyst
Ann Hynes	analyst
Stephen Baxter	analyst
Pito Chickering	analyst
Albert Rice	analyst
Benjamin Hendrix	analyst
Kevin Fischbeck	analyst
Jason Cassorla	analyst
Benjamin Mayo	analyst
Sarah James	analyst
Joshua Raskin	analyst
Andrew Mok	analyst

Call transcript

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Operator

Good day, and thank you for standing by. Welcome to the Universal Health Services First Quarter 2024 Earnings Conference Call. [Operator Instructions]

Please be advised that today's conference is being recorded. I'd now like to hand the conference over to your first speaker today, Steve Filton, Executive Vice President and Chief Financial Officer. ahead. go Please

Steve Filton

March good this and of Miller also quarter is Health Thank We morning. welcome us ended first the morning. results review XXXX. you joining Services you, for Marc XX, to Universal this

using During believes, such words represent expects, will forward-looking and similar as forecasts, and words projections this estimates statements. we conference that call, be anticipates,

statements reading XX, For developments opening the and before year Factors statements, I forward-looking to inherent in anyone these Risk our in not up familiar factors like couple trends ended call on a risk with highlight of careful Form the and the of section risks a business just forward-looking XXXX. and uncertainties for to the recommend and XX-K We'd December questions.

release on adjusted income the the March schedule, reported press impact reflected share the $X.XX discussed of first diluted for XXXX. per as the quarter in attributable UHS items attributable $X.XX After supplemental last diluted net for was of the of XXXX. with quarter per income our UHS company night, net XX, included for the share to adjusting the our ended release, press to As

X.X%, the in this spring continue X.X% with timing acute first a the When by of acuity and to services both for strong volumes experience the first were our and care last the by net adversely year-over-year increased compared Easter in with break combined March services Despite revenues which of during quarter quarter that of of believe as admission quarter year Our we these XXXX, demand of compared to same April adjusted the hospitals adjusted increases, acute XXXX. first increase X.X% year. March to increasing in basis. occurred net of impacted admissions their on facility per revenue

of newly acute the aggregate care recorded approximately supplemental in hospitals implemented million In previously reimbursement XXXX. $XX state the quarter during connection Medicaid first program in located with of disclosed incremental the income Nevada, our

compared Meanwhile, premium million pay in the in the as quarter XXXX. quarter first $XX to $XX million was of

quarter per in Hospitals first growth the of somewhat Adjusted aforementioned the revenue driven increased X.X% in adjusted the volume over During quarter same-facility Behavioral was day net day the primarily muted day. believe year our the was by by increase in prior patient timing quarter. calendar X.X% Health XXXX, an by issues. XX.X%, patient revenues We

by as expenditures in during of million of outstanding Our capital cash as approximately our quarter of XXXX. of generated quarter $XXX that spent have activities the to $XXX $XXX the the during increased shares Since same first repurchased representing In on January million almost XX% million $XXX acquired shares, from XXXX, of first cost to a operating we quarter XXXX million compared our shares own X, at we million. million $XXX XXX,XXX XX date. and of XXXX,

CEO, for pursuant turn XX, of March Miller, had over President will the closing $XXX capacity we credit comments. revolving call to As and I facility. of available our to borrowing $X.X aggregate now million billion Marc XXXX,

Marc Miller

remain the as when moderate our likely quarter first comparable that XXXX. And levels. envisioned In a historical would compared XXXX, operating increased segments to Steve. their during business our a we margins to robust of Thanks, acute anticipated volumes call, both compared but care quarter year-end of segments. the We continued said to of degree, we both of in XXXX strength conference year

We their recovery the trajectory. acuity will also trends continue believe

that noted of of a have X% day gradually anticipated that have we that keep pleased a segment, for with experienced compensate range. significant segments the we growth we're historically for our improve more are both course Health to over reimbursement up patient Behavioral We our levels Overall, the volumes which had patients. year, the the to first level of payments with several results. In to care would of returning supplemental failed our incur increase to properly to helping normal business quarter Medicaid inadequate in in costs years

happy answer now to at questions this are We time.

Operator

of first Our question Instructions] comes from [Operator the Research. of Lake Justin line Wolfe

Justin Lake

question acute care the First on volumes quarter. in your

your it's to point, Just February some think weaker. clear Steve, the had March I calendar pretty January, stronger, impacts,

kind or us can maybe kind versus curious somewhere Jan, I'm So of how Feb of kind monthly does you to were And if versus between? seeing or it look March? in you back January, Are February what April share maybe levels then of with starting March. you seeing to

then got the through of the in Nevada, quarter. a we curious And bunch know behavioral business in ran dollars Medicaid secondly, you've what

For instance, can you a on give put well. provider impact program at tax Mississippi, and would in, as behavioral? I of color some those be That that was dollars us Medicaid helpful think, the had

Steve Filton

I April, somewhere bunch tackle do that I like admission seeing we're there. we I think care different softened largely March, break mostly Okay, the definitely a rates. we of would shortfall expect up issues spring recovery saw volume-wise volumes April, not And that's say in the think think, And the Easter would second the make what result I'll a expect. is in March timing. that. I between February in volumes the and January, to and completely through as April try and of rate in elective Yes, run it in and behavioral We're and but surgical we quarter. in necessarily probably some so acute on would track activity mean, I to activity March, seems run

is would one the in maybe $XX dollars, quarter of side, we cetera. had behavioral that Medicaid the up, point catching million million XXXX programs their out to out-of-period calculations, behavioral we're $XX the from refine dollars as thing sort on the is probably et of I mostly far As as

these update file in in of XX-Q week supplemental that's the terms disclosed disclosure great get point about Operator, Medicaid that XX-Ks So we question. And the a of or Obviously, we'll detail we we'll at a in think in XX-Q the activity. next I major so. our can payments. and deal the that

Operator

of line Our next Securities. question comes Mizuho Hynes from Ann of the

Ann Hynes

and EBITDA So beat what meaningfully. versus Is your question. you beat consensus internal obviously, tell expectations? you you us my Can first EPS

question higher is Could how inpatient than in the let X-Midnight second Rule? from quarter. us grew my know And is, you outpatient much the

Steve Filton

Thanks, was Ann. Yes, I from mean, internal our for not off the far budget quarter consensus.

was bit higher in I maybe as little quarter, points was expectations think terms successful obviously, a X both of a it percentage the maybe X consensus. so our than or higher it own. than But third-party as well consensus,

of versus did can activity the payer is, volumes, think acute measurably X-Midnight have as as the [Indiscernible] that resulting call use and bubble on as tell, inpatient them the and observation with of on I that. help these inpatient question not use there -- well claims party and own data third help a that's to inpatient we of behavior as to it impact We lot change us increased or far Rule party a is are us the third As observation. a as being best a we our in amount in adjudicate a

our not measurable our resources change our us in behavior payers impacting I of third-party that's they're activity. that And tell both inpatient a or really our seeing consultants and significant internal the think

exclusive growth our minds, payer volumes that of behavior. I change care would acute in the most quarter say any in of So in is in the

Operator

line from Wells the comes next of Stephen Our Baxter Fargo. of question

Stephen Baxter

I quick of guess. kind ones, Two

what that the like you're volume up, the give opening behavioral a guess, So color leading the is throughout to capacity little kind expecting here. growth year, point from potentially first, day, just to guess, I of you confidence patient improvement or on us of I bit that indicators giving

And from this. I of that insurance secondarily, related of to a had you the you during protection then know some award discussed this potential measure obviously disclosure jury quarter.

the could you from award? litigation any an us stand on that where update First, perspective offer to related might environment. insurance comments you And general you specific about

Steve Filton

improve patient year. question about the and the quarters, think So many in of patient of several to continue I simply that, over during as growth, Marc times our last the said, that years demand for confidence we'll in pace us that that the believe behavioral like mentioned it gives to I is year to growth patient last What a we day guidance slightly your we've there. you is improved it your as terms will from Incrementally, is our think days as underlying question, day alluded the few behavioral assumes the expectation X% underlying first get level.

et to continue That's including And cetera. get to Internet disenrollment, be evident about other think I treat quarters, that in improve dynamics numbers, our residential of the is really treatment cetera. impact few facilities a mentioned inbound sufficiently have volume. bit the think in it's inquiries muted of volume our to think we the amount volume which ability We've a staff and stabilizing, XXX to on that believe able that we few and that some specific et including I we Medicaid little last the

I confidence all factors throughout grow year. the together will that behavioral give think the So incrementally that us those it's continue to volume

in in cetera. was was that own we a the verdict it we with an jurisdiction, it as history unprecedented, unprecedented, verdicts the malpractice Illinois Your X-K disclosed noted was terms our fact X-K, cases unprecedented similar second around in et specific was That question patterns, of in a of in verdict in terms both in few case ago. and weeks that

statements is around some had uncertainty of will ultimate have in any the our adjudicated how so in the still specific we'll really we that there outcome release, ultimately press around had be we as on be. greater verdict a there X-K deal disclosure financial XX-Q, that result, level until and haven't great impact what and And think measurable the a of will our other in than we is the certainty

perspective, of still From $XXX This an had our a of we coverage Ks, $XXX is The year. is commercial incident, in we our that year. disclosed that available Qs around insurance and for insurance by insurance we million for million bulk that insurance coverage. XXXX disclosed

Operator

of Our from comes line next Bank. Pito of the Chickering question Deutsche

Pito Chickering

acute year-over-year? that did level and any thinking the going pressure quarter? How [Indiscernible] in about? right about much forward And this is points should increased you changes saw OpEx other the this be talk you Can [Indiscernible]

Steve Filton

Yes.

diminish expense year, meaning this X% that on I increase to physician because we last year Pito, especially said think, the flat will believe the But increase the would about last relatively will X%, by be physician primarily year. by the continue increase the and and So over be driven which increase get quarter-to-quarter, every we of will to we expense case. costs believe are side, we the other flat the end in as still acute year or for year, quarter operating

in subsidiary was XX%. the or having of it I QX, other, subsidiary, sort XX% the insurance to level do acute the the claims with of that insurance division for or we we're driver X% particularly breakeven budgeted. where to And But And OpEx was I sort is the and year. increase, that X% that's growth increased premiums, quarter, then in was again, of that think think, a having to our over more do on with which to growth get had target increased mostly prior like

So nothing unexpected there for point of view. our

Pito Chickering

guess be follow-up And -- that to throughout a expanding Justin's on your you of I could impact sort But from adding do million for payments $XX million year? new then states 'XX, the $XX think on question what into could 'XX to behavioral two periods. looking out or Okay. or supplemental prior payments.

Steve Filton

Yes.

couple tended and I who payments and programs their a original So point the only refine years, to this as increase we've out, that's I gone last out as states pointed say what on over or several our has calculations for supplemental implement think the there routinely analysts that as either this call programs and year well. think forecast are I would existing our new especially is year have of expectation will of often on

the really One about or tricky public think until goes they gets we required tend this states the is disclose parts of what public they with approvals or the goes not calculations. are state what their or expectations to I be might

in end last think becomes public a expect of do year, as reiterate of I new think or we'll the call, certain we on believe, existing programs we So today, I expand detail programs said more but it we as implement to give do and the the filings. I'll by that our either states number

Operator

of Rice Our line next the A.J. comes question of from UBS.

Albert Rice

with strong wondered increases, your the income that the a premium wage if your down helped out people that I'll out with extent the number, working impacting look labor, labor. there? supplemental and the revenue both then quarter. little second gives what as you the Obviously, was trends any think commercial is was similarly, year-to-year on leverage at and sense payments, it's exchange-related how But strong premium rate you side I first which thoughts the in exchange by underlying you Obviously, and permanent coverage up Medicaid where on statement. updated labor what ask acute are increases the coming give Can the maybe us coverage of you on pick outlay Pricing are seeing question. versus you're to

Steve Filton

Yes.

here. a again, So them operating I'll efficiency labor A.J., line. statement I and more to, I think discretely. different leverage few what alluded the reflects the and mean is issues try clearly, Yes, address as you income on

of different I it's a a result think pay. and premium few things,

opening is roughly my down from comments, in said year. same million $XX I the last quarter As

was at from peak inflation height rate wage the levels it running pandemic. that seeing we're think decelerate I the of the

helping. think months. a over of the we've that's made course in of both also segments I last X number think business adjustments the I productivity

As productivity pandemic. resources during pandemic, reevaluated we the which for ahead some came I out think I maybe both those particularly grew in our of of the nonclinical segments, need of actual in we think the our areas,

to pricing in increases think, far price get, reasonable we our contractual as goes, As rates. continue I

acute I margins care pressure, changes, lot managed have of greater more saw in issue on see activity, the patient XXXX. denial the that companies cetera. issue, bigger in their levels see the think a quite status frankly, et under especially, the side, of is as to past We of tended this we

some quarter and year, fourth of in this it's watching the we're stabilized that that the in something activity quarter has think first very I but carefully.

a to I more think, result as patients exchange disenrollments, seeing, are We Medicaid of moving coverage.

measurably side net think positive I slightly a exchange think cases the because on better better. in that acute some or tends be reimbursement Medicaid to than coverage be tends I to

that lot because coverages the And the a a to toss-up given think bit significant basis an absolute side, behavioral behavioral these of smaller it's much I on pretty a On fact of deductibles. tends exchange have have care a and co-pays bill.

patients have their will often find deductibles. who will exchange or think to we that not able bill their cover be coverage co-pays I cover and the not

the is on patient an bit growth coverage side. not think, switch the pay sometimes, volumes Medicaid So from May, favorable to side, behavioral a that to little I contribute exchange in a the development and slower on on behavioral the

Operator

Ben of from question Hendrix the next Our comes line of Markets. RBC Capital

Benjamin Hendrix

changing on and but different, follow-up wondering I equally appreciate just unprecedented quick jurisdiction and Acadia was fact, a is Illinois Just that unprecedented. litigation. in I from is of the that this long settlement, was also business, kind of the all this how if kind your capital to your approach to behavioral grow over in expect term? approach you to strategy, RTC the health your at and allocation

Steve Filton

Acadia that surrounding earlier, think still great verdict had were with the we had. I any I was different it there premature, and state, No, and plaintiffs. case it case certainly multiple that of I a in other Again, that was be commented on multiple comment think that great then. I'm it is would as expert the a There than wouldn't detail uncertainty an particular deal not cases. case comment this to

a in of different was et case jurisdiction, single single a a Our incident, cetera. [Indiscernible]

the yes, I being don't at this to response in broadly is the changed approach result verdict. no, your So our a think of as to I moment question, think business

things we challenge impact it's through the the to several don't if about the the it we I on system. on need work We at of focused verdict it different moment, are But necessary, and think business. having this the levels to very way an at do think judicial appeal to and

Operator

from of America. Kevin Bank the comes Fischbeck of question line next of Our

Kevin Fischbeck

bit both margin saw talk can a segments little quarter. I nice in was some wondering you margins. guess I improvement about the if

margin You've talked opportunity about both a time. significant in segments of

original year was maybe coming assumption, if supplemental a about might this to more like in ago. it and margin color for know or one And of feel Just think X your that about little like margins, have get want to better than does opportunity the -- update a you are does how payments I improvement? pace it don't an in build the but feel thought

So I that thoughts impact ultimately view can to want where your on your about how might margins get be?

where to if main are about there. to segment in you guess are think versus I get then what the levers here could where be, kind we from And each it of

Steve Filton

Yes.

of Kevin, in as segments So care more not of both to just for levels we levels. deterioration have necessarily time we returned said that and the recovered growth, that could specifically acute we ours, some during have that largely sort I return broadly, be felt we margin prepandemic saw like out would to still pointed think volumes pandemic normal and haven't you business the

still runway growth, there which for I is care a think well growth in volume a continued we decent addressed previous there So as behavioral as question. acute amount volume of

but I was to I things think strong continue performance. terms not it's the more full revenue physician a becoming expense, also the inflation 'XX, control, think I do cetera, year of drag huge expenses are which is that us own we drag and manageable. to 'XX. be actions of in benefit for our broadly, we of in think both controlled, think Physician the there a et by increase productivity, better is being going expense wage that have I in this in

And -- margin think are so I those that's opportunities all for improvement.

supplemental question your the in opportunity payments increase a are well. as suggests, Medicaid significant as Obviously,

expense moment, current payments. there's those the at context with at up not they but very reimbursement increased new our last largely put should Medicaid improvement, prepared margin of those remarks, years, I are the think be in feel reimbursements we several supplemental of incremental the as most or making it you adequate for in associated least if because over Marc's comments Medicaid that reflected helpful an

margins past in those big a it's our they for were increases. because recovering deteriorated over help that few So cost reimbursing years inadequately the us

our anticipated see, significant recover plays in before judgment. of I margin was that expectations. of hopefully, year out. than originally We'll alluded plays an to see the I that in the guidance, But We'll out as earlier how we improvement, quarter see making mean, first more the of obviously, we'll over the we'll deterioration how rest the but our year a question, rest

Operator

question comes the of of Our Jason Cassorla Citi. next from line

Jason Cassorla

local benefiting. guys your But up there. follow as to wanted and well. Clearly, I benefiting the payments acceleration supplemental guess competitors the are I [Indiscernible] on you market

So seeing of from if or accelerating competitive a outpatient competitors guess you're any those standpoint I'm along curious I either anything changes just build-out the lines?

would And up then you unknowns follow on litigation. evolves. a how share term or play near thinking I change in there deployment on out. quickly as all you're if just Illinois argument there's I could help the how a number to there that that could repo be But does the know great. wait capital Any from that how of see

Steve Filton

Yes.

make as benefit patients higher in competitive first recognized that our payments So supplemental supplemental question, result terms they're Medicaid intended have the behavior more as of your in our tend payments. to Jason, markets, in service don't know who increase a a we've the obviously, providing change Medicaid any of of significant point that, I'll in to I are or to the detected utilization. providers

during I think bit that's more struggled the little pandemic. why we a

I of peers. a think our to slightly utilization tend we Medicaid public than higher have some

are that don't local competitive that, I benefiting market of behavior. supplemental Medicaid But our in specifically we're from the now, terms know affecting payments So think I now. again,

like don't market. I or in our a specific moves affecting it's sort know Just actions of specifically that strategic

repurchase, sort that or same Illinois before. capital as impact the I'll made far the reiterate comment deployment of I As share specifically on

any the really but and adjudicated. a I see -- at at the any trial verdict at and point, impact until court of motions it trial moment, reaction to of At until at surrounding think will or some further see make post-trial us the outcome have it's minimum could ultimately I specific least a of sort case uncertainty this we're judge the sort diminution too an have be level. think from how waiting we early for we

what think wait happens I And see we'll a so what our and next before are. deciding minimum, steps at there

Operator

question Partners. the Mayo from of Our line Leerink comes of next Whit

Benjamin Mayo

to Steve, on maybe things. was insight, just Maybe released but week have seems some less comment early positives it that state-based much programs. Medicaid rule positive like the some and too this on

how team at curious looking Just your are advisers this. legal and

Steve Filton

Yes.

that this but consultants focused So not cap there, these I a mean legal with who adamantly this -- expert not have that a we a certainly I'm legality -- arrangements. an focused have aware argue the think place Instead, was focus this did agreements, these on fact on regard. hold new these consultants they which experts harmless in Medicaid they we've harmless rule, supplemental on are hold the were I past, is encouraged wrong this legal programs. CMS on particular they used in to. as I of historically the expert objected and But they do and certainly issue that and in of know just don't will

until these have harmless But that legal if hold objection course these to the agreements legally not they challenged time successfully the over event, regardless chance think which hold it actions convinced said that these of means CMS them. be that after sort In I that several to to enforce are I next they years. XXXX, going withstand to think arrangements go encouraging states were I any change of or a scrutiny, not that any -- going was might so harmless essentially against there's think CMS' agreements of are

these scrutiny. stage plenty up under I of not time But they're legal will harmless of maybe did analysis are under agreements So restructure harmless and the payments arrangements we the that hold CMS objected that has X/X are that to. point, agreements of a make these supplemental not. convinced X/X And currently their hold would we we CMS think again, the if think, to quick left has about receive hold

to they'll in and So the I the new respond to think rule. generally, terms will states time of we have be encouraging found to the have this that flexibility pretty all

Benjamin Mayo

other helpful. one. just And one That's quick

the good think about that curious of of start-up later the Is Just maybe opens. market and that may West a and redistributed Henderson the kind this opening losses, timetable how volume once still in the P&L about get year. consideration, I'm hospital thinking how you

Steve Filton

November, West is in in late So the to December. maybe open Henderson year, scheduled late

some So of a and much as or be an operating costs it will preopening shouldn't then month of it level have of X impact, there probably losses opens.

I think didn't largely really that year's impact couple months was call And likely in I we ago, part our a think the to that. improvement material a of we our view of this continued neither hospital because in highlight that a have in on consequence, will a offset [renal as have results. market]

same There's Hospital. take hospital that of in Henderson very area the a growth I reasons. at some our have play years for for successful X we'll that is West for the late the probably frankly, ago Quite looking some place, patients we to will when we're will opening. think amount very from Henderson West opening existing real take this And experience significant the to a cannibalization was year. meaning allow opens this have very But of think that I Henderson population successful similar Henderson it think, point,

Operator

comes Sarah Cantor of James Our Fitzgerald. the of line next question from

Sarah James

think about strategy of million million that $XX line your related the assume strength? pay, the $X get Can and $XX million? do a time to you does acute pay And sequential how quarter uptick a to normal to was to you goal acute version premium in clarify volume that premium volumes? Then

Steve Filton

Yes.

to million Sarah, few in premium the pay $XX in So that running pretty last think, we've the been quarters. QX what actually I similar is

the about these You're think prevented getting acute us the is volumes. increase year's adjusted a first in I right, admission But in sort goal to, of admissions that care kind have really point quarter. from what's we adjusted excess year last compared And of of I doing talked QX make of X.X% that the in XX% is a into mid-XXs. robust this increase of I'll think,

really think, some care So you're about, volume high talking pretty I numbers. acute historically

moderate. that frankly, get they premium we're if difficult running care we to be I levels perfectly unless it we'd currently think much be acknowledge quite the will don't. happy volumes yes, at below And acute pay And

-- levels volumes, these with this level run acute acute relatively at care of we're of at pay. of satisfied level think care I having this premium to

Operator

comes question Raskin the line of Research. next Joshua of Nephron from Our

Joshua Raskin

quick the if areas volumes curious then a CapEx Vegas wondering if or color on Las And was side, follow-up spending on I'm Henderson a update you bit of of I and company Vegas and more increases trends care and there maybe specific maybe a capacity give running West little opening. on could above broader acute focus Las demand on in shorter-term just just there. average? sort

Steve Filton

Sure.

But invest that room emergency from So both emergency continue much in capacity, I services, a invasion I have to where continue in services higher-end acuity, and really meaning surgical in. think Josh, acute also in areas I side competition as CapEx on differentiate and the those we themselves, outpatient, we don't perspective, acute think again, we to room hospitals for the outpatient. services, invest think higher

We underway a have department for been that initiative has a successful very freestanding years. emergency of number

we year can this didn't facilities, ago, invest around we finish have freestanding and with centers, in surgical also some think we'll freestanding years X think whereas country, I imaging the to probably freestanding any, et EDs cetera. services continue I XX

side, the telemedicine, many addiction that On in facilities, markets building capacity business, behavioral outpatient developments, treatment, but it's are inpatient we cetera. also fully staffed, in many now in mostly investing more least more et freestanding at that and

at service facilities and the our to gamut So of again, both CapEx full their provide really integrated I the of in segments, continuum the runs business in tend sort our providers think, markets.

places Nevada and quickly in separate quite from the broader I previous the that of in around peers couple that fundamental metrics I that footprint of dramatically pandemic, to of made As more recovered perspective. to about Florida, one we that our pretty of that I Columbia just improve and some seen, Texas But Nevada, has state. the recover in think the like think, slowly from last bigger in from question in business quarters, in is geographies a presence have is the the those that far geographies, comments helpful We've have than recover talked of in specifically, from the supplemental we that as that most and the last the we couple country of recovery the of pandemic specific the slower we've economic over apart Las questions more to Vegas, those accelerated or some definitely years the last a been we've a tended is tend I while have trajectory have one think addition California, several program, market the which look, quarters. the reasons Medicaid about obviously margins think why

Operator

[Operator next question of from of Andrew the Barclays. Mok Instructions] Our line comes

Andrew Mok

I that internal your the commented think you was above expectations. quarter

improve volumes expecting there's payments. upside and supplemental You're here, to for forecast behavioral potential to initial from

all within just year. sit updated any So those unchanged putting you thoughts think where the on guidance the together, you for

Steve Filton

own I [indiscernible] just our us the a mean, guidance. for the Andrew. towards we and end budget clearly, of on mathematical the put perspective, from already trajectory first our would amount high internal Sure, numbers exceeded quarter that consensus the

kind that just I think prudent first guidance after thing the just to sake. for but It's of something most think I'll revised repeat We everybody's generally do. don't people is we a know, had quarter. a never

those QX possibility, as guidance I think than did. I than continue, might would a that actually highlight high however think both keeping little if of we specifically focused think think our pleased neither the a a certainly can bit we're Obviously, I behavioral and than volumes, expected trends Again, that's that which of on they these I better QX, acute did more at the be. if QX more moderate in the end bit moderate care we continue. I little thought were in as might metrics trends which trends of they thought did, we they we're pricing, revision

But it's to point where most that steady we'd that revision me, have If I and those closely that's strong in QX, metrics in much watch guidance likely a in remain more at we'll QX. think time.

Andrew Mok

a just follow-up. And Great. then

intra-quarter commented acute I think segment. you the on in April volumes in

outlook? growth quarter same in segment maybe to behavioral Just exiting the hoping the help support comment thing could you higher trends the do on the and

Steve Filton

Yes.

forget that trends think were I I both. the similar more comments acute segment. if about I the specifically But think in made I the

bad bad that out. country. But don't child which certainly quarter commented as I to a usually the January start in [April -- think population, states of business softer off volumes] in in conferences cetera, in recovered of part school expect is winter and some weather the got particularly earlier volumes, calendar February, in issues the segment central to the weather behavioral have the think south bit in I bad this some in March, tends with necessarily late winter same slow that weather soften did that and acute but in really et adolescent when a I

But yes, I'd make the think comment. I same I mean

on, expectation. that I quarter. April, the and the then Marc think year the not incrementally beginning our softness in year would was improve went comments in that's recover the would I as behavioral if our And second to think alluded at to volumes still the but expect we prepared that of course over of general that his expectation

Operator

no this I Filton showing to now further Steve time. I'm at turn to like would closing remarks. for back it questions

Steve Filton

look for and thank to quarter. just like everybody time to speaking with next forward their everybody We'd

Operator

in Thank the you participation program. This for concludes your today's conference.

disconnect. may You now

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