Investing.com – Unitedhealth (NYSE:UNH) has reported better-than-anticipated profit in the fourth quarter and backed its 2025 outlook, in the first earnings report since the murder of executive Brian Thompson in New York last month.
In the fallout from the incident, the company has been grappling with an outpouring of anger from Americans who have been struggling to pay and receive medical care.
Although he did not refer specifically to the matter, Chief Executive Andrew Witty said in a statement on Thursday that “the people of UnitedHealth Group remain focused on making high-quality, affordable health care more available to more people while making the health system easier to navigate for patients and providers.”
Witty added that the firm is now well-positioned for growth this year. UnitedHealth reiterated its annual guidance for revenues of $450 billion to $455 billion, net earnings of $28.15 to $28.65 per share, adjusted net earnings of $29.50 to $30 per share and cash flow from operations of $32 billion to $33 billion.
For the three months ended on December 31, revenues jumped by 6.8% to $100.81 billion, just below estimates, according to Bloomberg forecasts. However, adjusted income per share of $6.81 topped projections of $6.71.
Like other groups in the health insurance sector, UnitedHealth has been facing elevated costs, especially in government Medicare plans for older adults or those with disabilities. Driving the trend has been many people choosing to undergo treatments which were previously postponed due to the COVID-19 pandemic.
UnitedHealth’s full-year medical care ratio came in at 85.5%, up from 83.2% in 2023, due in part to Medicare funding reductions and member mix, the company said. A higher ratio can indicate lower profitability for an insurer.
Shares in UnitedHealth dipped in premarket trading on Thursday.
(Reuters contributed reporting.)
