UnitedHealth Group Inc. reported first quarter profits that exceeded Wall Street expectations and raised its annual profit forecast. The healthcare conglomerate attributed the performance to keeping costs in check and receiving improved government payments for its health insurance business.
The results reflect the full effect of Medicare payment changes set in motion three years ago that cost the company billions, cratering profits last year and blindsiding investors. While the quarterly results are a sign of progress toward rebuilding credibility, profits still fell short of showing a significant comeback.
In addition to detailing corporate changes, the nation's largest private insurer upgraded its full-year outlook. The company now expects 2026 adjusted earnings of more than $18.25 per share, up from a previous outlook of greater than $17.75 per share.