UnitedHealth Group's Sales Surge Above $50 Billion, Despite Exiting Obamacare

UnitedHealth Group's Sales Surge Above $50 Billion, Despite Exiting Obamacare

UnitedHealth Group's (NYSE: UNH) decision to stop selling Obamacare plans this year hasn't dented its momentum. The nation's biggest health insurer reported sales of $50 billion in the second quarter, and that's 8% higher than Q2 2016. The company's bottom-line performance was even better. The company's second-quarter adjusted earnings per share clocked in 26% higher than it was last year because it's no longer selling unprofitable Obamacare plans.

UnitedHealth Group sells health insurance plans, including Medicare plans, and it administers state Medicaid programs through its UnitedHealthcare business. In the second quarter, tight labor markets increased membership in employer-sponsored health insurance, retiring baby boomers increased membership in Medicare plans, and Medicaid expansion drove increases Medicaid membership. Across these health insurance products, UnitedHealthcare's second-quarter revenue totaled $40.8 billion, up from $37.6 billion in Q2 2016.

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Source: Fool.com