UnitedHealth Group posted fourth quarter earnings that exceeded analysts’ expectations.
UnitedHealth’s adjusted profits for the three months ended in September came in at $5.34 a share, 17 cents ahead of the Wall Street consensus forecast.
Revenues climbed +12.3% to $82.8 billion, vs. analysts’ estimates of $82.6 billion. Optum revenue climbed +16.5% to $47.9 billion.
UnitedHealth's medical cost ratio was 100 basis points lower at 82.8%, suggesting a smaller portion of its collected premiums were paid out on insurance claims. Premiums in the quarter rose +125 from the year-ago quarter to $64.7 billion, while operating costs climbed +11% to $76 billion.
Looking ahead, the healthcare company expects adjusted earnings for 2023 in the range of $24.40 to $24.90 per share, vs. analyst consensus on FactSet of $24.95 per share. Revenue is projected to be $357 billion to $360 billion, vs. analysts’ forecast of $356.91 billion.