UCare posted an operating loss of $82.1 million in 2023, a decrease of more than 75% year over year, the Star Tribune reported April 26.
The company said it recorded nearly $6.2 billion in total revenue and an operating margin of -1.3%, citing rising costs for GLP-1s and RSV vaccines.
"The higher medical cost ... is the result of increased utilization in pharmacy cost from prior year, and increased utilization of outpatient specialty services due to deferrals of preventive and elective care as well as provider contractual rate increases," UCare said in a regulatory filing, per the Tribune.
"This drop in income reflects the cyclical nature of our business and the challenges of predicting utilization patterns post pandemic," UCare told the outlet.
UCare has about 630,000 members, including 480,000 in Medicaid, 108,000 in Medicare Advantage and 48,000 on the exchange.