07:14
+17 C°
Traffic jam:   0
$
71.6797
87.3274

UnitedHealth published Q4 report

21 January 2021
1799
2 min.
4
UnitedHealth published Q4 report

Quarterly results and company forecasts

UnitedHealth reported better fourth-quarter results than analysts had expected, while maintaining its December forecast for the full year 2021.

UnitedHealth Group (UNH) reported higher revenues for the 4th quarter ended 31 December, but lower earnings compared with previous quarters.

Q4 earnings per share fell 35% to $2.52, but was $0.12 higher than analysts estimate of $2.40. Earnings rose 8% to $65.5bn, also above Wall Street's average forecast of $65.14bn.

UnitedHealth's Optum division posted strong revenue growth of 21%, bringing in the biggest profit for the company. Optum provides data analytics, productivity enhancement, overall cost reduction and optimization services to consumers in the healthcare industry.

UnitedHealth's $13bn acquisition of Change Healthcare (which took place in early January) is expected to be the biggest revenue gain. (which took place in early January) should subsequently further strengthen Optum's data analytics services. Assuming the deal closes in the second half of 2021, as expected, UnitedHealth expects the acquisition to add around $470m to its profits in 2022.

The largest US insurer said its profits were impacted by a recovery in Americans demand for healthcare services and rising costs associated with its programmes to make testing and treatment from Covid-19 more accessible to customers.

With many clinic visits still delayed because of the coronavirus pandemic, the insurer could see an increase in referrals after the pandemic ends. The closure of a large number of jobs in the US is now reducing the number of insurances, which is also affecting the revenues and profits of insurance companies.

Company forecasts

UnitedHealth Group maintained its FY2021 earnings per share forecast in the range of $17.75-$18.25, which includes a decrease of $1.80 due to treatment costs and testing related to Covid-19. At the same time, the average value of the projected range is slightly lower than analysts estimate of $18.18.

Companies4 in the news

Section:

Discussion

Rating companies
Tesla
68 Mention
Apple
66 Mention
Nasdaq
64 Mention
Amazon
55 Mention
Dow Jones
51 Mention
Facebook
50 Mention
Microsoft
35 Mention

NEW YORK NEWS

News from GlobalNY.biz is the freshest and most relevant information about high-profile events in the region. The task of the resource's news feed is to convey to readers with maximum accuracy and objectivity information about important events in business, politics, economy, healthcare, culture and other spheres of life in New York.
GlobalNY.biz news is a coverage of economic processes taking place in New York, the latest news of public life, incidents and an overview of political events. New York news is information about the activities of small and medium-sized businesses, the work of housing and communal services and utilities, the implementation of significant projects.
The site's journalists describe not only the life of the region, but also talk about the current state of the US economy. Everything you need to know about innovations in the field of industry and agriculture, economy and power is collected in the "News" section at GlobalNY.biz.
New York news quickly informs the reader, shows the real picture and opens up hot topics. Communication with government structures and business enables us to provide our readers with reliable, information-rich material. The main page of the portal contains the key news of New York!
Alena Potapova

Development Director