Q2 25 EPS
$4.08
MISS 8.27%
Est. $4.45
Q2 25 Revenue
$111.62B
BEAT +0.03%
Est. $111.59B
vs S&P Since Q2 25
+26.2%
BEATING MARKET
UNH +39.7% vs S&P +13.4%
Market Reaction
Did UNH Beat Earnings? Q2 2025 Results
UnitedHealth Group delivered a deeply troubled second quarter, missing Wall Street's earnings expectations by a wide margin even as revenue held roughly in line. Adjusted EPS of $4.08 fell 8.27% short of the $4.45 consensus estimate and represented a… Read more UnitedHealth Group delivered a deeply troubled second quarter, missing Wall Street's earnings expectations by a wide margin even as revenue held roughly in line. Adjusted EPS of $4.08 fell 8.27% short of the $4.45 consensus estimate and represented a steep decline from the year-ago period's $6.80, while revenue of $111.62 billion edged just 0.03% above estimates and grew 12.9% year-over-year. The defining story was a severe deterioration in medical costs: the consolidated medical care ratio surged 430 basis points to 89.4%, as Medicare Advantage cost trends ran at roughly 7.5% against pricing assumptions of just over 5%, and $1.20 billion in discrete charges, including $620 million tied to the individual exchange business, compressed operating margins sharply. With peers like Elevance Health also struggling under similar cost pressures, the sector-wide pain is hard to ignore. UnitedHealth reinstated full-year 2025 guidance calling for adjusted EPS of at least $16.00 and revenue of $445.50 to $448.00 billion, while already pricing 2026 Medicare Advantage benefits for cost trends accelerating toward 10%.
Key Takeaways
- • Medical cost trends significantly exceeded pricing trends, including both unit costs and intensity of services
- • Medicare Advantage medical cost trend running at ~7.5% vs. 2025 pricing expectation of just over 5%
- • Consolidated medical care ratio of 89.4% increased 430 basis points year-over-year
- • $1.2 billion of unfavorable discrete impacts including $620 million related to individual exchange business
- • Medical reserve development was $70 million unfavorable in Q2 2025
- • Ongoing effects of Medicare funding reductions and V-28 risk model transition
- • Optum Insight performance improved due to reduced impacts from Change Healthcare cyberattack
- • Optum Rx growth driven by new clients and expansion in existing client relationships
- • UnitedHealthcare membership grew 770,000 year-to-date to 50 million people served
- • Operating cost ratio improved to 12.3% from 13.3% year-over-year
UNH YoY Financials
Q2 2025 vs Q2 2024, source: SEC Filings
UNH Revenue by Segment
With YoY comparisons, source: SEC Filings
“UnitedHealth Group has embarked on a rigorous path back to being a high-performing company fully serving the health needs of individuals and society broadly. As we strengthen operating disciplines, positioning us for growth in 2026 and beyond, the people at UnitedHealth Group will continue to support the millions of patients, physicians and customers who rely on us, guided by a culture of service and longstanding values.”
— Stephen Hemsley, Q2 2025 Earnings Press Release
UNH Earnings Trends
UNH vs Market 30 Day Price Reactions
30-day stock return vs benchmark after each earnings
UNH EPS Trend
Earnings per share: estimate vs actual
UNH Revenue Trend
Quarterly revenue: estimate vs actual
UNH Quarterly Results
5 quarters of earnings data
| Quarter | EPS Est. | EPS Act. | Surprise | Revenue | Rev. Surprise |
|---|---|---|---|---|---|
| Q1 26 | — | $7.23 | — | $111.72B | +1.88% |
| Q4 25 BEAT FY | $2.11 | $2.11 | +0.00% | $113.22B | -0.37% |
| FY Full Year | $16.32 | $16.35 | +0.18% | $447.57B | -0.09% |
| Q3 25 BEAT | $2.81 | $2.92 | +3.98% | $113.16B | +0.09% |
| Q2 25 MISS | $4.45 | $4.08 | -8.27% | $111.62B | +0.03% |
| Q1 25 MISS | $7.29 | $7.20 | -1.28% | $109.58B | -1.82% |