UnitedHealth Reports Profit Decline Amid Exchange Weakness

The same period from the previous year had $1.55 in EPS on $33.43 billion in revenue. Note that operating income was ~5% above our model partially offset by higher interest expense and tax rate.

For the full-year 2015, UnitedHealth reported that its earnings from operations were $11 billion, and its adjusted net earnings were $6.45 per share. One equities research analyst has rated the stock with a hold rating, twenty have assigned a buy rating and two have issued a strong buy rating to the company’s stock.

Overall, the company reported a profit of $1.22 billion, or $1.26 a share, down from $1.51 billion, or $1.55, a year earlier. Exchanges represent a small share of UnitedHealth’s overall membership and revenue, but… The company has a market cap of $104,146 M million and the number of outstanding shares has been calculated to be 95,31,08,440 shares.

The company has already taken steps to rein in its business, including halting of advertising for new plans. The company had revenue of $43599.00 million for the quarter, compared to analysts expectations of $43097.07 million.

Medicare & Retirement had revenues of $12.1 billion in the fourth quarter, an increase of 6%. United Health has said it may pull out of the program next year. Following the completion of the transaction, the director now directly owns 67,357 shares in the company, valued at $7,687,454.41.

UnitedHealth Group closed 2015 with a 19 percent drop in fourth-quarter profit, but the nation’s largest health insurer still topped Wall Street’s expectations thanks in part to growth outside of its core insurance business. Finally, Kistler-Tiffany Companies raised its position in shares of UnitedHealth Group by 15.5% in the fourth quarter.

UnitedHealth affirmed its 2016 financial outlook. The company’s strengths can be seen in multiple areas, such as its revenue growth, notable return on equity, solid stock price performance and growth in earnings per share.

“The people of UnitedHealth Group are focused sharply on executing fully on 2016 commitments and delivering the highest quality experience for those we are privileged to serve”.

“By mid-2016 we will determine to what extent, if any, we will continue to offer products in the exchange market in 2017”, Wichmann said during a conference call with investors.