UnitedHealth announced an increased annual profit forecast and projected growth for 2026, signaling successful turnaround efforts led by new CEO Stephen Hemsley. Shares rose over 5% in premarket trading after the company posted better-than-expected quarterly earnings, managing to control medical costs effectively. The insurer raised its 2025 adjusted profit per share forecast to at least $16.25, surpassing analysts’ expectations. Hemsley, who returned to the CEO role this year, is focused on restoring investor and consumer confidence while addressing elevated medical costs. For Q3 ending September 30, the company reported a medical loss ratio of 89.9%, aligning with internal targets and exceeding market forecasts. Revenue at UnitedHealth’s Optum health services was stable year-over-year, while Optum Rx’s revenue increased by 16%, driven by higher prescription drug volumes. Adjusted quarterly profit was $2.92 per share, beating estimates.
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