UnitedHealth Group (NYSE: UNH) reported full year and fourth quarter 2023
results reflecting broad-based growth at Optum and UnitedHealthcare.
“UnitedHealth Group enters 2024 well prepared to build on our efforts to improve patient care and
consumer experiences broadly, and to continue delivering strong and balanced growth,” said Andrew
Witty, chief executive officer of UnitedHealth Group.
UnitedHealth Group affirmed the 2024 performance objectives established at its November 29th
Investor Conference, excluding the potential impacts from the pending sale of its Brazil operations,
which is expected to close in the first half of 2024. Upon closing, the Company’s net earnings outlook
will be impacted by the previously announced expected charge and the Company confirmed the
adjusted earnings outlook presented at its Investor Conference.
Quarterly and Annual Financial Performance
Three Months Ended Year Ended
December 31,
2023
December 31,
2022
September 30,
2023
December 31,
2023
December 31,
2022
Revenues $94.4 billion $82.8 billion $92.4 billion $371.6 billion $324.2 billion
Earnings from
Operations $7.7 billion $6.9 billion $8.5 billion $32.4 billion $28.4 billion
Net Margin 5.8% 5.8% 6.3% 6.0% 6.2%
- UnitedHealth Group’s 2023 revenues grew $47.5 billion or 14.6% year-over-year to $371.6
billion, including double-digit growth at both Optum and UnitedHealthcare, driven by serving
more people, more comprehensively across its offerings. Full year 2023 earnings from
operations were $32.4 billion, an increase of 13.8%. - The full year medical care ratio at 83.2% compared to 82% last year, driven by previously
noted outpatient care, primarily serving seniors, and business mix. The fourth quarter medical
care ratio was 85%. Days claims payable of 47.9 compared to 49.9 at year end 2022 and 50.7
in the third quarter 2023. Medical reserve development was $840 million favorable for full year
2023 and $100 million unfavorable in the fourth quarter. - The full year 2023 operating cost ratio of 14.7% was consistent with last year, reflecting strong
operating cost management, offset by continued growth of the services businesses and
investments to support growth. - Cash flows from operations for the full year were $29.1 billion or 1.3-times net income. During
2023, the company returned $14.8 billion to shareholders through dividends and share
repurchases. Return on equity of 27% in 2023 reflected the company’s strong overall growth
and efficient capital structure.
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 and Annual Financial Performance
Three Months Ended Year Ended
December 31,
2023
December 31,
2022
September 30,
2023
December 31,
2023
December 31,
2022
Revenues $70.8 billion $63.0 billion $69.9 billion $281.4 billion $249.7 billion
Earnings from
Operations $3.1 billion $2.9 billion $4.6 billion $16.4 billion $14.4 billion
Operating
Margin
4.4% 4.7% 6.6% 5.8% 5.8%
- UnitedHealthcare full year revenues of $281.4 billion grew $31.6 billion or 12.7% year-overyear and operating earnings increased 14.2% to $16.4 billion. People served by
UnitedHealthcare grew by over 1 million in 2023. - The number of consumers served with commercial benefits grew by over 800,000 in 2023,
reflecting the strong customer response to the company’s innovative and affordable benefit
offerings. - The number of people served by the company’s offerings for seniors and people with complex
needs grew by 950,000 due to product designs tailored to meet the specific needs of
individuals and their families with limited economic resources and who are often underserved. - People served by the company’s state-based community offerings declined by 700,000 due to
the ongoing Medicaid eligibility redetermination process. The UnitedHealthcare team remains
actively engaged with the individuals impacted and continues with its comprehensive outreach
to help families maintain, reinstate or find other affordable coverage.
