UnitedHealth Group Inc. reported a third-quarter earnings beat and revenue miss early Tuesday. Earnings for the latest quarter rose to $2.56 billion, or $2.51 per share, from $1.98 billion, or $2.03 per share in the year-earlier period. Adjusted earnings-per-share were $2.66, above the FactSet consensus of $2.56. Revenue rose to $50.32 billion from $46.29 billion, below the FactSet consensus of $50.37 billion. The latest results include $1.6 billion less in year-over-year consolidated revenues, related to the company’s withdrawals from Affordable Care Act markets, which the company said affects comparability of 2017 results with prior periods. Results also include the negative impact of health insurance tax deferral, the company said, and a 17% increase in revenues related to medical benefit products for seniors and Medicare products. The company’s pharmacy-benefit manager unit, Optum, also grew revenues year-over-year by 8%. UnitedHealth now expects 2017 EPS to approach $9.45 per share and adjusted net earnings to approach $10.00 per share, compared with previous 2017 net earnings guidance of $9.20 to $9.35 per share and adjusted net earnings of $9.75 to $9.90 per share. UnitedHealth shares were not active in premarket trade. Shares have risen 3.7% over the last three months, compared with a 4% rise in the S&P 500 .
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