UnitedHealth Group (“United”) reported strong profits for the third quarter of 2022, with double-digit growth at both UnitedHealthcare and Optum. United’s strong third quarter profits beat analysts’ expectations and prompted UnitedHealth Group to increase its earnings forecast for the year.
United posted profits of $5.3 billion for the third quarter, up from $4.1 billion for the third quarter in 2021. United also posted revenues of $80.9 billion for the third quarter of 2022, up from $72.3 billion for the prior year quarter, a 12% increase.
In its earnings release, United stated: “Growth in the third quarter was driven by continued expansion in the number of people serviced throughout UnitedHealthcare and in the value-based care initiatives at Optum Health.” UnitedHealthcare reported revenues of $62 billion for the third quarter, an 11% increase from the prior year. United attributed this large increase to its growth in membership, particularly in its community and senior offerings, including Medicare Advantage plans. The total number of individuals served by UnitedHealthcare has grown by over 850,000 in 2022 including 185,000 in the third quarter. UnitedHealthcare is the country’s largest health insurer as measured by revenues, membership and market share.
As a result of its strong earnings, United increased its full year net earnings outlook to between $20.85 and $21.05 a share and its adjusted net earnings to between $21.85 and $22.05 a share.