UHS · 10-Q · 2026Q3 · Full report
Debt Refinancing and Liquidity
UNIVERSAL HEALTH SERVICES INC · 2026-11-06 · Importance 70 · Surprise 58 · Contradicted
At September 30, 2026, UHS had approximately $5.7 billion of debt carrying value, up from $4.8 billion at December 31, 2025, and debt equaled approximately 43% of total capitalization, versus 40%. The company issued $600 million of 5.50% senior secured notes due 2031 and $500 million of 6.00% notes due 2036 in August 2026, and used the proceeds to repay $700 million of 1.65% notes due September 1, 2026. Its Credit Agreement had $2.148 billion outstanding, while the $1.5 billion revolving facility had $1.187 billion of available capacity at September 30; UHS was in compliance with required covenants. Management stated that operating cash flows, cash and cash equivalents, available commitments and capital-market access were sufficient to fund operating, investing and financing needs for the next twelve months.
Key facts
- UNIVERSAL HEALTH SERVICES INC completed an August 2026 public offering of $600 million of 5.500% senior notes due 2031 and $500 million of 6.000% senior notes due 2036. source
- UHS issued $600 million of 5.50% Senior Notes due 2031 and $500 million of 6.00% Senior Notes due 2036 in August 2026. source
- UHS increased its term loan A by $300 million to $1.455 billion; outstanding borrowings were $1.438 billion as of September 30, 2026. source
- UHS's Credit Agreement had an aggregate outstanding balance of $2.148 billion as of September 30, 2026. source
- UHS had combined aggregate principal of $3.4 billion in outstanding senior secured notes as of September 30, 2026. source
- UNIVERSAL HEALTH SERVICES INC’s $700 million 1.65% senior notes matured on September 1, 2026; refinancing them after market rates had risen significantly increased interest expense. source
- UHS's revolving credit facility borrowing capacity was increased by $200 million to $1.5 billion, with $1.187 billion available as of September 30, 2026. source
- UHS's Credit Agreement matures September 26, 2029. source
Impact estimates
| metric | direction | stage | expected | basis |
|---|---|---|---|---|
| cash | positive | realized | +6.4% | UNIVERSAL HEALTH SERVICES INC completed an August 2026 public offering of $600 million of 5.500% senior notes due 2031 and $500 million of… |
| liability | negative | realized | -6.4% | UNIVERSAL HEALTH SERVICES INC completed an August 2026 public offering of $600 million of 5.500% senior notes due 2031 and $500 million of… |
| cash | positive | realized | +1.8% | UHS increased its term loan A by $300 million to $1.455 billion; outstanding borrowings were $1.438 billion as of September 30, 2026. |
| liability | negative | realized | -1.8% | UHS increased its term loan A by $300 million to $1.455 billion; outstanding borrowings were $1.438 billion as of September 30, 2026. |