Patients getting more care trims UnitedHealth's profit
UnitedHealth Group collected $4.3 billion of profit in the second quarter, a 36% decline from the health care conglomerate's historically profitable second quarter last year, when the coronavirus suppressed care and led to the company paying out fewer medical claims.
Yes, but: The company's revenue in this quarter soared 15% year over year, and the $4.3 billion of profit was still 30% higher than the same period in 2019, before the coronavirus hit. UnitedHealth remains the most financially powerful private entity in the health care system.
By the numbers: UnitedHealth's medical loss ratio — or how the industry refers to how much of its premiums were spent on health care — was 82.8%. That was significantly higher than the 70.2% during same period last year (i.e., the height of the pandemic), but lower than the 83% Wall Street had expected.
- People have definitely been returning to doctors and hospitals, but UnitedHealth is still keeping more profit now than it was before the pandemic.