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UnitedHealth Beats Q3, Raises 2025 Outlook as Hemsley’s Reset Takes Hold

Management highlights repricing with market exits to rebuild margins next year.

Overview

  • Adjusted EPS reached $2.92 on revenue of about $113.2 billion, topping estimates as care usage tracked internal expectations.
  • The company lifted 2025 adjusted EPS guidance to at least $16.25, though net income fell 61% year over year to about $2.35 billion.
  • Medical loss ratio was 89.9% in line with forecasts; Optum Rx revenue grew 16% to $39.7 billion while Optum Health was flat at $25.9 billion.
  • UnitedHealthcare will exit hundreds of Medicare Advantage plans and 109 counties affecting roughly 600,000 members, and expects to shed about 1 million MA members and reduce ACA enrollment by about two-thirds in 2026.
  • UnitedHealth continues to face a Justice Department probe into Medicare Advantage billing practices as shares rose roughly 4% premarket and executives target margin restoration in 2026 with stronger growth thereafter.