Elevance Health's Profits Eclipse $1.1 Billion Despite Rising Costs

Core Insights - Elevance Health reported a third quarter net income of nearly $1.2 billion, reflecting a 17.8% increase from $1 billion in the same period last year [4][3] - Total revenues for the third quarter rose by 12.4% to $50.7 billion, driven by higher premium yields and growth in Medicare Advantage membership [4][7] Financial Performance - The benefit expense ratio increased to 91.3%, up 180 basis points year over year, primarily due to elevated costs in the Medicare business [5] - Operating revenue for the third quarter was up 12% to $50.1 billion, influenced by recent acquisitions and growth in health benefits segments [7] Membership and Services - Elevance ended the third quarter with 45.4 million health plan members, a slight decrease of less than 1% compared to the previous year, attributed to lower BlueCard and Medicaid membership [7] - The Carelon health services business experienced significant growth, with operating revenue increasing by 33% to $18.3 billion, supported by acquisitions and scaling of risk-based solutions [7] Strategic Focus - The company emphasized disciplined execution and a focus on affordability and member experience through value-based care partnerships and AI-enabled digital solutions [6]