UnitedHealth Group Reports 2024 Results

UnitedHealth Group has released its financial results for the full year and fourth quarter of 2024, showcasing diversified growth across its Optum and UnitedHealthcare segments. The company continues to focus on making high-quality, affordable health care more accessible while simplifying the health system for patients and providers.

Financial Highlights

For the year 2024, UnitedHealth Group reported revenues of $400.3 billion, an 8% increase from the previous year. The company's net earnings for the year were $15.51 per share, with adjusted net earnings at $27.66 per share. Cash flows from operations were robust at $24.2 billion, or 1.6 times net income.

In the fourth quarter, revenues reached $100.8 billion, with net earnings of $5.98 per share and adjusted net earnings of $6.81 per share. The company’s net margin for the quarter was 5.5%, slightly lower than the adjusted net margin of 5.9%.

Business and Operational Highlights

UnitedHealthcare, the company's health benefits segment, saw full-year revenues of $298.2 billion, a 6% increase year-over-year. The number of domestic consumers served grew by 2.4 million, driven by innovative offerings that enhance transparency and consumer choice. The segment also expanded its state-based community offerings, despite a moderation in people served due to Medicaid eligibility redeterminations.

Optum, the health services segment, reported revenues of $253 billion, a 12% increase from the previous year. Optum Health's revenues grew to $105.4 billion, driven by an increase in patients served under value-based care arrangements. Optum Insight faced a slight decline in revenues due to the impact of a cyberattack, while Optum Rx saw a 15% increase in revenues due to growth in new and existing client relationships.

Strategic Initiatives and Corporate Developments

During 2024, UnitedHealth Group returned over $16 billion to shareholders through dividends and share repurchases. The company also engaged in strategic transactions to refine its business portfolio, contributing to improved operating efficiencies and consumer experiences.

Management's Perspective

Andrew Witty, CEO of UnitedHealth Group, emphasized the company's commitment to making health care more accessible and easier to navigate. He highlighted the company's strong positioning for growth in 2025, supported by comprehensive service offerings and strategic initiatives.

Future Outlook

UnitedHealth Group has affirmed its 2025 performance outlook, projecting revenues between $450 billion and $455 billion. The company expects net earnings per share to range from $28.15 to $28.65, with adjusted net earnings per share between $29.50 and $30.00. Cash flow from operations is anticipated to be between $32 billion and $33 billion.

SEC Filing: UNITEDHEALTH GROUP INC [ UNH ] - 8-K - Jan. 16, 2025