UnitedHealth Group posted $4.2 billion in net income during the second quarter of 2024, a 23% decline year over year.
The company said it has restored the majority of affected Change Healthcare services and has provided more than $9 billion in advance funding and loans to providers. The total full year impact of the breach is estimated at $1.90 to $2.05 per share, with the company raising the estimated total cost of the attack to around $2.45 billion.
UnitedHealth also intends to sell its remaining operations in South America following the sale of its health insurance and hospital operations in Brazil in February.
UnitedHealth Group
- Total revenues in Q2 were $98.9 billion, up 6.5% year over year. In Q2 2023, revenues were $92.9 billion.
- UnitedHealth lowered its full year net earnings outlook to $15.95 to $16.40 per share because of the South American sale and the affects of the Change breach. For 2024, the company still projects adjusted net earnings of $27.50 to $28.00 per share.
- Total net income in Q2 was $4.2 billion, down 23% year over year. Operating income in the second quarter was $7.9 billion. The company recorded a 4.3% net margin.
- The company's medical loss ratio was 85.1% in Q2, compared to 83.2% the year prior. Days claims payable were 45.2 in the second quarter compared to 48.2 a year ago.
UnitedHealthcare
- Total revenues in Q2 were $73.9 billion, up 5.3% year over year.
- Total earnings from operations in Q2 were $4 billion. The operating margin in Q2 was 5.4%.
- Total domestic membership is 49.1 million. Commercial membership in Q2 is 29.6 million. There are 7.4 million Medicaid members, 7.8 million Medicare Advantage members, and 4.3 million members with Medicare supplement plans. Part D plan membership is 3.1 million.
Optum
- Total revenues in Q2 were $62.9 billion, up 11.7% year over year and led by Optum Rx and Health.
- Total earnings from operations in Q2 were $3.9 billion. The operating margin in Q2 was 6.2%.
- Optum Health's Q2 revenues were $27.1 billion.
- Optum Insights's Q2 revenues were $4.5 billion.
- Optum Rx revenues in Q2 were $32.4 billion. The division processed 399 million adjusted scripts in Q2.