UnitedHealth Group Reports Third Quarter 2025 Results and Raises Full Year 2025 Earnings Outlook

Core Insights - UnitedHealth Group reported third quarter 2025 results, demonstrating continued execution on its performance agenda and a focus on sustainable growth, raising its full-year earnings outlook to at least $14.90 per share and adjusted earnings to at least $16.25 per share [2][5][39] Financial Performance - Consolidated revenues for Q3 2025 reached $113.2 billion, a 12% increase year-over-year, with earnings from operations at $4.3 billion and a net margin of 2.1% [4][6][7] - Adjusted earnings per share (EPS) for Q3 2025 were $2.92, while GAAP EPS was $2.59 [5][6][35] - Cash flows from operations were reported at $5.9 billion, equating to 2.3 times net income [5][12] Segment Performance - UnitedHealthcare revenues grew 16% year-over-year to $87.1 billion, driven by Medicare & Retirement and Community & State segments, serving 50.1 million consumers domestically [6][13] - Optum revenues increased by 8% year-over-year to $69.2 billion, primarily due to growth in Optum Rx [6][20] - The medical care ratio (MCR) was reported at 89.9%, reflecting utilization in line with expectations, with a year-over-year increase of 470 basis points attributed to elevated cost trends and Medicare funding reductions [6][8] Operational Metrics - Operating cost ratio for Q3 2025 was 13.5%, reflecting investments to support future growth [6][12] - UnitedHealthcare's operating margin decreased to 2.1% from 5.6% year-over-year, primarily due to elevated medical cost trends [13][29] - Optum's operating margin for Q3 2025 was reported at 3.6%, down from 7.0% in the previous year [20][29] Future Outlook - The company remains focused on strengthening performance and positioning for durable growth in 2026 and beyond, as indicated by the raised earnings outlook [2][5][39]