UnitedHealth Group Reports First Quarter 2024 Results
- Revenues grew nearly $8 billion year over year to $99.8 billion
- Company provided over $6 billion in advance funding and interest-free loans to support care providers
- Net loss of $1.53 per share primarily due to currency effects and cyberattack impacts
- Adjusted earnings per share were $6.91, excluding Brazil sale and direct response costs
- Full year 2024 net earnings outlook updated to $17.60 to $18.20 per share
- Net loss of $1.53 per share due to currency effects and cyberattack impacts
- Direct response costs estimated at $0.85 to $0.95 per share for full year 2024
- Business disruption impacts estimated at $0.30 to $0.40 per share for full year 2024
Insights
-
Revenues of
$99.8 Billion $8 Billion -
Earnings Reflect
$0.74 $0.49 $0.25 -
Company has Provided Over
$6 Billion -
First Quarter Net Loss of
$1.53 -
Adjusted Earnings of
$6.91 $0.25
UnitedHealth Group (NYSE: UNH) reported first quarter 2024 results reflecting broad-based growth at Optum and UnitedHealthcare, medical care activity consistent with expectations and the impact of the recent cyberattack on Change Healthcare.
UnitedHealth Group corporate headquarters (Photo: Business Wire)
“The core story at UnitedHealth Group remains our colleagues delivering improved experiences for the people we serve and driving balanced growth even while swiftly and effectively addressing the attack on Change Healthcare,” said Andrew Witty, chief executive officer of UnitedHealth Group.
The company continues to make significant progress in restoring the affected Change Healthcare services while providing financial support to impacted health care providers. To date, the company has provided over
Total cyberattack impacts in the first quarter amounted to
As reported previously, the company recorded an approximately
The company updated its full year 2024 net earnings outlook to
Quarterly Financial Performance |
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Three Months Ended
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March 31, 2024 |
March 31, 2024 (Adjusted) |
March 31, 2023 |
December 31, 2023 |
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Revenues |
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Earnings from Operations |
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Net Margin |
( |
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-
UnitedHealth Group’s first quarter 2024 revenues grew nearly
$8 billion $99.8 billion $7.9 billion $872 million $8.5 billion -
The company did not reflect any favorable earnings impacting medical reserve development in the quarter. Out of prudence, due to the potential for the cyberattack to affect claims receipt timing, the company reflected an additional
$800 million -
Days claims payable of 47.1 compared to 47.9 in fourth quarter 2023 and 47.8 in first quarter 2023. Within this, the acceleration of payments to care providers and the
Brazil sale reduced reported days claims payable by three days. The company’s medical costs payable balance increased$1.6 billion $34 billion $3 billion -
Overall care patterns in the first quarter were consistent with the company’s expectations. The first quarter 2024 medical care ratio at
84.3% included 40 basis points of impact due to accommodations to support care providers. The increase from the prior year82.2% was due to the previously noted revenue effects of the Medicare funding reductions, considerations driven by the Change Healthcare cyberattack, including accommodations to support care providers, medical reserve and development effects, and business mix. -
The first quarter 2024 operating cost ratio of
14.1% included approximately 30 basis points of impact due to costs incurred to support the company’s direct response efforts. The result compared to14.8% in 2023, reflecting strong operating cost management, partially offset by continued growth of the services businesses and investments to support growth. -
Cash flows from operations from the first quarter 2024 were
$1.1 billion $3 billion $4.8 billion
UnitedHealthcare provides health care benefits globally, serving individuals and employers, and Medicare and Medicaid beneficiaries. UnitedHealthcare is dedicated to improving the value customers and consumers receive by improving health and wellness, enhancing the quality of care received, simplifying the health care experience and reducing the total cost of care.
Quarterly Financial Performance |
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Three Months Ended
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March 31, 2024 |
March 31, 2024 (Adjusted) |
March 31, 2023 |
December 31, 2023 |
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Revenues |
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Earnings from Operations |
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Operating Margin |
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-
UnitedHealthcare first quarter revenues of
$75.4 billion $5 billion $4.4 billion $4.6 billion - UnitedHealthcare total domestic consumers served grew by nearly 2 million in the first quarter 2024, led by commercial and senior, offset by expected member attrition in Medicaid due to ongoing eligibility redeterminations. Growth across the UnitedHealthcare portfolio reflects strong customer response to the company’s innovative and affordable benefit offerings.
- The number of consumers served with domestic commercial offerings grew in the first quarter 2024 to 29.4 million. This growth reflects recognition among the employer and individual markets of UnitedHealthcare’s diverse and innovative product portfolio that drives affordability and consumer ease.
- The total number of people served by the company’s offerings for seniors and people with complex needs grew to 9.4 million. UnitedHealthcare offerings feature product designs tailored to meet the specific needs of people with limited economic resources and who are often underserved. Unique offerings, such as integrated card and simplified transportation offerings, led to a significant increase in member engagement and greater consumer satisfaction.
-
Total people served by the company’s state-based community offerings moderated to 7.7 million, with the year-over-year change due to the ongoing Medicaid eligibility redetermination process. The UnitedHealthcare team is continuing its comprehensive outreach to help families maintain, reinstate or find other affordable coverage. During the first quarter, UnitedHealthcare was selected to provide expanded care services in
Texas and to continue providing services inVirginia andMichigan , with the additional support commencing in 2025.
Optum’s health services businesses serve the global health care marketplace, including payers, care providers, employers, governments, life sciences companies and consumers. Using market-leading information, analytics and technology to yield clinical insights, Optum helps improve overall health system performance by optimizing care quality, reducing care costs and improving the consumer experience.
Quarterly Financial Performance |
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Three Months Ended
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March 31, 2024 |
March 31, 2024 (Adjusted) |
March 31, 2023 |
December 31, 2023 |
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Revenues |
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Earnings from Operations |
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Operating Margin |
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-
Optum first quarter revenues of
$61 billion $7 billion $3.5 billion $3.9 billion $279 million -
Optum Health revenue increased
16% over last year, driven by growth in the number of patients served under value-based care offerings and continued expansion of the types and level of care provided. Operating earnings were$1.9 billion $2 billion -
Optum Insight first quarter operating earnings were
$490 million $715 million $279 million $2 billion $33 billion -
Optum Rx revenue increased
12% in the first quarter due to growth in serving new customers, expanded relationships with existing clients and continued advancement in the comprehensive scope of pharmacy services offered, including specialty and community-based pharmacies. Adjusted scripts grew to 395 million compared to 378 million last year.
About UnitedHealth Group
UnitedHealth Group (NYSE: UNH) is a health care and well-being company with a mission to help people live healthier lives and help make the health system work better for everyone through two distinct and complementary businesses. Optum delivers care aided by technology and data, empowering people, partners and providers with the guidance and tools they need to achieve better health. UnitedHealthcare offers a full range of health benefits, enabling affordable coverage, simplifying the health care experience and delivering access to high-quality care. Visit UnitedHealth Group at www.unitedhealthgroup.com and follow UnitedHealth Group on LinkedIn.
Earnings Conference Call
As previously announced, UnitedHealth Group will discuss the company’s results, strategy and future outlook on a conference call with investors at 8:45 a.m. Eastern Time today. UnitedHealth Group will host a live webcast of this conference call from the Investor Relations page of the company’s website (www.unitedhealthgroup.com). Following the call, a webcast replay will be on the Investor Relations page and at https://uhg.com/Replay through April 30, 2024. This earnings release and the Form 8-K dated April 16, 2024, can also be accessed from the Investor Relations page of the company’s website.
Non-GAAP Financial Information
This news release presents non-GAAP financial information provided as a complement to the results provided in accordance with accounting principles generally accepted in
Forward-Looking Statements
The statements, estimates, projections, guidance or outlook contained in this document include “forward-looking” statements which are intended to take advantage of the “safe harbor” provisions of the federal securities laws. The words “believe,” “expect,” “intend,” “estimate,” “anticipate,” “forecast,” “outlook,” “plan,” “project,” “should” and similar expressions identify forward-looking statements. These statements may contain information about financial prospects, economic conditions and trends and involve risks and uncertainties. Actual results could differ materially from those that management expects, depending on the outcome of certain factors including: our ability to effectively estimate, price for and manage medical costs; new or changes in existing health care laws or regulations, or their enforcement or application; cyberattacks, other privacy/data security incidents, or our failure to comply with related regulations; reductions in revenue or delays to cash flows received under government programs; changes in Medicare, the CMS star ratings program or the application of risk adjustment data validation audits; the DOJ’s legal action relating to the risk adjustment submission matter; our ability to maintain and achieve improvement in quality scores impacting revenue; failure to maintain effective and efficient information systems or if our technology products do not operate as intended; risks and uncertainties associated with our businesses providing pharmacy care services; competitive pressures, including our ability to maintain or increase our market share; changes in or challenges to our public sector contract awards; failure to achieve targeted operating cost productivity improvements; failure to develop and maintain satisfactory relationships with health care payers, physicians, hospitals and other service providers; the impact of potential changes in tax laws and regulations; increases in costs and other liabilities associated with litigation, government investigations, audits or reviews; failure to complete, manage or integrate strategic transactions; risks associated with public health crises arising from large-scale medical emergencies, pandemics, natural disasters and other extreme events; failure to attract, develop, retain, and manage the succession of key employees and executives; our investment portfolio performance; impairment of our goodwill and intangible assets; failure to protect proprietary rights to our databases, software and related products; downgrades in our credit ratings; and our ability to obtain sufficient funds from our regulated subsidiaries or from external financings to fund our obligations, reinvest in our business, maintain our debt to total capital ratio at targeted levels, maintain our quarterly dividend payment cycle, or continue repurchasing shares of our common stock.
This above list is not exhaustive. We discuss these matters, and certain risks that may affect our business operations, financial condition and results of operations, more fully in our filings with the SEC, including our reports on Forms 10-K, 10-Q and 8-K. By their nature, forward-looking statements are not guarantees of future performance or results and are subject to risks, uncertainties and assumptions that are difficult to predict or quantify. Actual results may vary materially from expectations expressed or implied in this document or any of our prior communications. You should not place undue reliance on forward-looking statements, which speak only as of the date they are made. We do not undertake to update or revise any forward-looking statements, except as required by law.
UNITEDHEALTH GROUP |
Earnings Release Schedules and Supplementary Information |
Quarter Ended March 31, 2024 |
- Condensed Consolidated Statements of Operations
- Condensed Consolidated Balance Sheets
- Condensed Consolidated Statements of Cash Flows
- Revenues by Business - Supplemental Financial Information
- Earnings by Business - Supplemental Financial Information
- People Served and Performance Metrics - Supplemental Financial Information
- Reconciliation of Non-GAAP Financial Measures
UNITEDHEALTH GROUP |
||||
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS |
||||
(in millions, except per share data; unaudited) |
||||
|
|
Three Months Ended
|
||
|
|
2024 |
|
2023 |
Revenues |
|
|
|
|
Premiums |
|
|
|
|
Products |
|
11,909 |
|
10,267 |
Services |
|
8,888 |
|
8,080 |
Investment and other income |
|
1,011 |
|
798 |
Total revenues |
|
99,796 |
|
91,931 |
Operating costs |
|
|
|
|
Medical costs |
|
65,735 |
|
59,845 |
Operating costs |
|
14,077 |
|
13,625 |
Cost of products sold |
|
11,056 |
|
9,405 |
Depreciation and amortization |
|
997 |
|
970 |
Total operating costs |
|
91,865 |
|
83,845 |
Earnings from operations |
|
7,931 |
|
8,086 |
Interest expense |
|
(844) |
|
(754) |
Loss on sale of subsidiary |
|
(7,086) |
|
— |
Earnings before income taxes |
|
1 |
|
7,332 |
Provision for income taxes |
|
(1,222) |
|
(1,558) |
Net (loss) earnings |
|
(1,221) |
|
5,774 |
Earnings attributable to noncontrolling interests |
|
(188) |
|
(163) |
Net (loss) earnings attributable to UnitedHealth Group common shareholders |
|
|
|
|
Diluted (loss) earnings per share attributable to UnitedHealth Group common shareholders |
|
|
|
|
Adjusted earnings per share attributable to UnitedHealth Group common shareholders (a)(b) |
|
|
|
|
Diluted weighted-average common shares outstanding (b) |
|
922 |
|
943 |
(a) |
See page 7 for a reconciliation of non-GAAP measures. |
(b) |
Due to the anti-dilutive effect on the calculation of loss per share, the Company excluded 8 million potentially dilutive shares outstanding for the three months ended March 31, 2024. Adjustments to net loss and adjusted earnings per share are calculated using dilutive weighted-average common shares outstanding of 930 for the three months ended March 31, 2024. |
UNITEDHEALTH GROUP |
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CONDENSED CONSOLIDATED BALANCE SHEETS |
||||
(in millions; unaudited) |
||||
|
|
March 31,
|
|
December 31,
|
Assets |
|
|
|
|
Cash and short-term investments |
|
|
|
|
Accounts receivable, net |
|
27,197 |
|
21,276 |
Other current assets |
|
29,035 |
|
27,533 |
Total current assets |
|
88,942 |
|
78,437 |
Long-term investments |
|
45,928 |
|
47,609 |
Other long-term assets |
|
149,340 |
|
147,674 |
Total assets |
|
|
|
|
Liabilities, redeemable noncontrolling interests and equity |
|
|
|
|
Medical costs payable |
|
|
|
|
Short-term borrowings and current maturities of long-term debt |
|
9,787 |
|
4,274 |
Other current liabilities |
|
60,612 |
|
62,385 |
Total current liabilities |
|
104,431 |
|
99,054 |
Long-term debt, less current maturities |
|
63,850 |
|
58,263 |
Other long-term liabilities |
|
19,011 |
|
17,484 |
Redeemable noncontrolling interests |
|
4,548 |
|
4,498 |
Equity |
|
92,370 |
|
94,421 |
Total liabilities, redeemable noncontrolling interests and equity |
|
|
|
|
UNITEDHEALTH GROUP |
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CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS |
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(in millions; unaudited) |
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|
Three Months Ended
|
||
|
|
2024 |
|
2023 |
Operating Activities |
|
|
|
|
Net (loss) earnings |
|
|
|
|
Noncash items: |
|
|
|
|
Depreciation and amortization |
|
997 |
|
970 |
Deferred income taxes and other |
|
152 |
|
(263) |
Share-based compensation |
|
372 |
|
362 |
Loss on sale of subsidiary |
|
7,086 |
|
— |
Net changes in operating assets and liabilities |
|
(6,242) |
|
9,484 |
Cash flows from operating activities |
|
1,144 |
|
16,327 |
Investing Activities |
|
|
|
|
Sales and maturities of investments, net of purchases (purchases, net of sales and maturities) |
|
492 |
|
(2,319) |
Purchases of property, equipment and capitalized software |
|
(743) |
|
(760) |
Cash paid for acquisitions, net |
|
(3,006) |
|
(7,826) |
Other, net |
|
(3,083) |
|
(115) |
Cash flows used for investing activities |
|
(6,340) |
|
(11,020) |
Financing Activities |
|
|
|
|
Common share repurchases |
|
(3,072) |
|
(2,000) |
Dividends paid |
|
(1,729) |
|
(1,537) |
Net change in short-term borrowings and long-term debt |
|
11,364 |
|
12,375 |
Other, net |
|
1,668 |
|
4,352 |
Cash flows from financing activities |
|
8,231 |
|
13,190 |
Effect of exchange rate changes on cash and cash equivalents |
|
(48) |
|
51 |
Increase in cash and cash equivalents |
|
2,987 |
|
18,548 |
Cash and cash equivalents, beginning of period |
|
25,427 |
|
23,365 |
Cash and cash equivalents, end of period |
|
|
|
|
UNITEDHEALTH GROUP |
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REVENUES BY BUSINESS - SUPPLEMENTAL FINANCIAL INFORMATION |
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(in millions; unaudited) |
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|
|
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Optum |
|
UnitedHealth
|
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|
|
UnitedHealthcare |
|
Optum
|
|
Optum
|
|
Optum
|
|
Total
|
|
|
Three Months Ended March 31, 2024 |
|
|
|
|
|
|
|
|
|
|
|
|
Total revenues |
|
|
|
|
|
|
|
|
|
|
|
|
Business disruption impacts - cyberattack (b) |
|
$— |
|
$— |
|
|
|
$— |
|
|
|
|
Three Months Ended March 31, 2023 |
|
|
|
|
|
|
|
|
|
|
|
|
Total revenues |
|
|
|
|
|
|
|
|
|
|
|
|
UnitedHealthcare Revenues |
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(in millions; unaudited) |
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Employer & Individual (E&I) |
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Total
|
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|
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Domestic |
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Global |
|
Total E&I |
|
Medicare &
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Community &
|
|
|
Three Months Ended March 31, 2024 |
|
|
|
|
|
|
|
|
|
|
|
|
Total revenues |
|
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|
|
|
|
|
|
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|
|
Three Months Ended March 31, 2023 |
|
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|
|
|
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|
|
|
|
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Total revenues |
|
|
|
|
|
|
|
|
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|
|
|
(a) |
Optum and consolidated revenues for the three months ended March 31, 2024 and 2023 include Optum eliminations of |
(b) |
Amounts represent reduced revenues during the business disruption period. |
UNITEDHEALTH GROUP |
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EARNINGS BY BUSINESS - SUPPLEMENTAL FINANCIAL INFORMATION |
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(in millions, except percentages; unaudited) |
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Optum |
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UnitedHealth
|
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UnitedHealthcare |
|
|
Optum
|
|
Optum
|
|
Optum
|
|
Total
|
|
|
Three Months Ended March 31, 2024 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings from operations |
|
|
|
|
|
|
|
|
|
|
|
|
|
Direct response costs - cyberattack |
|
230 |
|
(a) |
138 |
(a) |
225 |
|
— |
|
363 |
|
593 |
Adjusted earnings from operations (b) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating margin |
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted operating margin (b) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Business disruption impacts - cyberattack (c) |
|
$— |
|
|
$— |
|
|
|
$— |
|
|
|
|
Total cyberattack impacts (d) |
|
|
|
|
|
|
|
|
$— |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended March 31, 2023 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings from operations |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating margin |
|
|
|
|
|
|
|
|
|
|
|
|
|
(a) |
Amounts primarily represent incremental medical costs for accommodations to support care providers. |
(b) |
See page 7 for description of non-GAAP measures. |
(c) |
Amounts represent reduced revenues during the business disruption period. These amounts are not included within the adjustment to earnings from operations for the three months ended March 31, 2024. |
(d) |
Amounts represent the total impact of the cyberattack, including cyberattack direct response costs and the business disruption impacts. |
UNITEDHEALTH GROUP |
||||||
PEOPLE SERVED AND PERFORMANCE METRICS - SUPPLEMENTAL FINANCIAL INFORMATION |
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(unaudited) |
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|
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UnitedHealthcare Customer Profile |
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(in thousands) |
||||||
People Served |
|
March 31, 2024 |
|
December 31, 2023 |
|
March 31, 2023 |
Commercial - Domestic: |
|
|
|
|
|
|
Risk-based |
|
8,545 |
|
8,115 |
|
8,025 |
Fee-based |
|
20,870 |
|
19,200 |
|
19,325 |
Total Commercial - Domestic |
|
29,415 |
|
27,315 |
|
27,350 |
Medicare Advantage |
|
7,760 |
|
7,695 |
|
7,545 |
Medicaid |
|
7,680 |
|
7,845 |
|
8,380 |
Medicare Supplement (Standardized) |
|
4,325 |
|
4,355 |
|
4,320 |
Total Community and Senior |
|
19,765 |
|
19,895 |
|
20,245 |
Total UnitedHealthcare - Domestic Medical |
|
49,180 |
|
47,210 |
|
47,595 |
Commercial - Global |
|
2,295 |
|
5,540 |
|
5,295 |
Total UnitedHealthcare - Medical |
|
51,475 |
|
52,750 |
|
52,890 |
|
|
|
|
|
|
|
Supplemental Data |
|
|
|
|
|
|
Medicare Part D stand-alone |
|
3,085 |
|
3,315 |
|
3,380 |
Optum Performance Metrics |
||||||
|
|
March 31, 2024 |
|
December 31, 2023 |
|
March 31, 2023 |
Optum Health Consumers Served (in millions) |
|
104 |
|
103 |
|
103 |
Optum Insight Contract Backlog (in billions) |
|
|
|
|
|
|
Optum Rx Quarterly Adjusted Scripts (in millions) |
|
395 |
|
400 |
|
378 |
Note: UnitedHealth Group served 149 million unique individuals across all businesses at March 31, 2024. |
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UNITEDHEALTH GROUP |
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES |
|
Use of Non-GAAP Financial Measures |
Adjusted net earnings per share, adjusted earnings from operations, adjusted operating margin and adjusted net margin are non-GAAP financial measures. Non-GAAP financial measures should be considered in addition to, but not as a substitute for, or superior to, financial measures prepared in accordance with GAAP. Adjustments made to these measures are as follows: Intangible Amortization: Adjusted net earnings per share excludes intangible amortization from the relevant GAAP measure. As amortization fluctuates based on the size and timing of the Company’s acquisition activity, management believes this exclusion presents a more useful comparison of the Company's underlying business performance and trends from period to period. While intangible assets contribute to the Company’s revenue generation, the intangible amortization is not directly related. Therefore, the related revenues are included in adjusted earnings per share.
Loss on Sale of Subsidiary: Adjusted net earnings per share and adjusted net margin excludes the loss on sale of subsidiary. On February 6, 2024, the Company completed the sale of its operations in Direct Response Costs - Cyberattack: Adjusted net earnings per share, adjusted earnings from operations, adjusted operating margin and adjusted net margin excludes cyberattack direct response costs. Management believes the exclusion of costs incurred to investigate and remediate the attack, other direct and incremental costs incurred as a result of the cyberattack and incremental costs for accommodations to support care providers presents a more useful comparison of the Company's and its reportable segments' underlying business performance and trends from period to period. Note: See page 5 for reconciliation of GAAP amounts to adjusted earnings from operations and adjusted operating margin. |
UNITEDHEALTH GROUP |
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RECONCILIATION OF NON-GAAP FINANCIAL MEASURES |
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(in millions, except per share data; unaudited) |
||||||
|
||||||
Adjusted Net Earnings Per Share |
||||||
|
|
Three Months Ended
|
|
Projected Year Ended
|
||
|
|
2024 |
|
2023 |
|
2024 |
Net (loss) earnings attributable to UnitedHealth Group common shareholders |
|
|
|
|
|
|
Intangible amortization |
|
399 |
|
388 |
|
~1,600 |
Tax effect of intangible amortization |
|
(98) |
|
(96) |
|
(400) |
Loss on sale of subsidiary (a) |
|
7,086 |
|
— |
|
~7,100 |
Direct response costs - cyberattack |
|
593 |
|
— |
|
1,000 - 1,150 |
Tax effect of direct response costs - cyberattack |
|
(141) |
|
— |
|
(235) - (285) |
Adjusted net earnings attributable to UnitedHealth Group common shareholders |
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted (loss) earnings per share (b) |
|
|
|
|
|
|
Intangible amortization per share |
|
0.43 |
|
0.41 |
|
~1.75 |
Tax effect of intangible amortization per share |
|
(0.10) |
|
(0.10) |
|
~(0.45) |
Loss on sale of subsidiary per share (a) |
|
7.62 |
|
— |
|
~7.65 |
Direct response costs - cyberattack per share |
|
0.64 |
|
— |
|
1.10 - 1.25 |
Tax effects of direct response costs - cyberattack per share |
|
(0.15) |
|
— |
|
(0.25) - (0.30) |
Adjusted diluted earnings per share (b) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Additional Information: Total Cyberattack Impacts |
|
|
|
|
|
|
Business disruption impacts (c) |
|
|
|
$— |
|
|
Tax effect of business disruption impacts (c) |
|
(48) |
|
— |
|
(70) - (90) |
Business disruption impacts, net of tax (c) |
|
|
|
$— |
|
|
|
|
|
|
|
|
|
Business disruption impacts per share (c) |
|
|
|
$— |
|
|
|
|
|
|
|
|
|
Total cyberattack impacts (d) |
|
|
|
$— |
|
|
Tax effect of total cyberattack impacts (d) |
|
(189) |
|
— |
|
(305) - (375) |
Total cyberattack impacts, net of tax (d) |
|
|
|
$— |
|
|
|
|
|
|
|
|
|
Total cyberattack impacts per share (d) |
|
|
|
$— |
|
|
Note: See following page for applicable footnotes. |
||||||
Adjusted Net Margin |
||
|
|
Three Months Ended
|
Net loss attributable to UnitedHealth Group common shareholders |
|
|
Loss on sale of subsidiary (a) |
|
7,086 |
Direct response costs - cyberattack |
|
593 |
Tax effect of direct response costs - cyberattack |
|
(141) |
Adjusted net earnings attributable to UnitedHealth Group common shareholders for loss on sale and direct response costs |
|
|
|
|
|
Net margin attributable to UnitedHealth Group common shareholders |
|
(1.4)% |
Adjusted net margin attributable to UnitedHealth Group common shareholders for loss on sale and direct response costs |
|
|
(a) |
There were no tax effects for the loss on sale of subsidiary. |
(b) |
Due to the anti-dilutive effect on the calculation of loss per share, the Company excluded 8 million potentially dilutive shares outstanding for the three months ended March 31, 2024. Adjustments to net loss and adjusted earnings per share are calculated using dilutive weighted-average common shares outstanding of 930 for the three months ended March 31, 2024. |
(c) |
Amounts represent reduced revenues during the business disruption period. These amounts are not included within the adjustment to net earnings for the three months ended March 31, 2024 and the projected year ended December 31, 2024. |
(d) |
Amounts represent the total impact of the cyberattack, including cyberattack direct response costs and the business disruption impacts. |
View source version on businesswire.com: https://www.businesswire.com/news/home/20240416450656/en/
Investor Contact:
Zack Sopcak
952-936-7215
zack.sopcak@uhg.com
Media Contact:
Eric Hausman
952-936-3963
eric.hausman@uhg.com
Source: UnitedHealth Group
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