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Medical technology & services

UnitedHealth raises full-year profit outlook as 2Q earnings top expectations

UnitedHealth Group Inc. reported second-quarter earnings that exceeded expectations and raised its full-year profit outlook, sending shares of the company higher in pre-market trading Friday.

The Minnesota-based heathcare and wellbeing giant which owns insurer UnitedHealthcare as well as Optum (which provides primary and surgical care, pharmacy benefits and services to providers, hospitals and insurers across the health system), posted earnings per share of $6.14, above the expectation per Zacks Consensus Estimate of $5.92.

Revenue grew 16% from $80.3 billion in the year-ago quarter to $92.9 billion, above the Street’s forecast of $91 billion.

The company noted that growth during the quarter was balanced across its business.

Based on its performance in the first half of 2023 and its durable growth and operating expenses, it raised its full-year net earnings outlook to a range of $23.45 to $23.75 and its adjusted net earnings to a range of $24.70 to $25 per share.

“Our diverse healthcare capabilities and dedicated colleagues are enabling us to meet the needs of more people in more ways, driving substantial growth and expanding our opportunities to serve well into the future," UnitedHealth CEO Andrew Witty said in a statement.

UnitedHealth shares added 3.9% at US$464.21 before the opening bell in New York.

Contact the author at emily.jarvie@proactiveinvestors.com

Follow her on Twitter @emilyjjarvie

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