July 28 (Reuters) - U.S. hospital operator Universal

Health Services ( UHS ) beat Wall Street estimates for

second-quarter profit on Monday, driven by sustained demand for

medical care services.

Health insurers have flagged elevated demand and costs in

individual Affordable Care Act (Obamacare) and Medicaid plans

for low-income individuals, which could benefit hospital

operators.

Last week, larger peer HCA Healthcare ( HCA ) beat quarterly

profit estimates but saw its shares decline amid concerns over

impending changes to Medicaid and Obamacare insurance plans

under the Trump administration.

Universal Health's same-facility adjusted admissions

increased by 2% at acute care hospitals during the quarter,

while admissions at behavioral healthcare facilities grew by

0.4%.

The company now sees its 2025 revenue to be between $17.10

billion and $17.31 billion, compared to the previously expected

range of $17.02 billion to $17.36 billion.

Analysts, on average, expect 2025 revenue of $17.14 billion,

according to data compiled by LSEG data.

For the quarter ended June 30, the King Of Prussia,

Pennsylvania-based company reported an adjusted profit of $5.43

per share, beating estimates of $4.92 per share.

Investors are currently focused on how hospital operators

will address potential tariffs affecting global supply chains

for medical devices and surgical equipments.

The sector is also preparing for the expiry of Obamacare

subsidies next year, a change expected to impact patient

coverage, raise insurance premiums and reduce enrollment

numbers, potentially leaving hospitals responsible for increased

uncompensated care costs.