Elevance Health (ELV) Q3 Earnings: Taking a Look at Key Metrics Versus Estimates

Core Insights - Elevance Health reported $50.09 billion in revenue for Q3 2025, a 12% year-over-year increase, with an EPS of $6.03 compared to $8.37 a year ago, indicating a revenue surprise of +1.15% over estimates and an EPS surprise of +21.08% [1] Financial Performance - Total Medical Membership reached 45.37 million, slightly below the average estimate of 45.62 million [4] - Medicaid membership was 8.65 million, close to the estimate of 8.68 million [4] - Medicare and Medicare Supplement membership was 877 thousand, slightly above the estimate of 867.33 thousand [4] - Commercial Risk-Based membership was 3.62 million, matching the average estimate [4] Revenue Breakdown - Service fees generated $2.14 billion, exceeding the estimate of $2.07 billion, with a year-over-year increase of +5.6% [4] - Premiums totaled $41.79 billion, surpassing the estimate of $41.04 billion, reflecting a +13.5% year-over-year change [4] - Net investment income was $625 million, significantly above the estimate of $449.12 million, marking a +13.4% increase year-over-year [4] - Product revenue was $6.16 billion, slightly below the estimate of $6.34 billion, with a +4.6% year-over-year change [4] Operating Revenue - Carelon Services reported total operating revenue of $7.32 billion, below the estimate of $7.46 billion, but showing a +57.9% year-over-year increase [4] - CarelonRx generated $11 billion in operating revenue, exceeding the estimate of $10.52 billion, with a +20.3% year-over-year change [4] - Health Benefits operating revenue was $42.25 billion, surpassing the estimate of $41.54 billion, reflecting a +10.4% year-over-year increase [4] - Eliminations reported a total of $-10.63 billion, slightly below the estimate of $-10.14 billion, with a +43.4% year-over-year change [4] Stock Performance - Elevance Health shares returned +11.4% over the past month, outperforming the Zacks S&P 500 composite's +1.2% change [3] - The stock currently holds a Zacks Rank 5 (Strong Sell), indicating potential underperformance in the near term [3]