UnitedHealth Group (NYSE:UNH) delivered stronger-than-expected second-quarter results and increased its full-year guidance, prompting shares to climb about 7% in premarket trading as investors welcomed the improved outlook.
The healthcare company reported adjusted earnings of $6.38 per share, comfortably ahead of the analyst consensus of $4.85. Revenue reached $112.0 billion, exceeding expectations of $110.76 billion and edging higher than the $111.6 billion reported in the same quarter last year.
Company lifts earnings and cash flow forecasts
Following the strong quarterly performance, UnitedHealth raised its adjusted earnings guidance for 2026 to a range of $19.50 to $20.00 per share.
The midpoint of $19.75 is above the analyst consensus estimate of $18.48 per share.
“Our results and outlook reflect the continuing progress in our work to simplify how we operate, improve both affordability and the health care experience for patients and care providers and apply modern technology to create real improvement for people,” said Stephen Hemsley, chief executive officer of UnitedHealth Group.
The company also increased its full-year operating cash flow forecast to approximately $24.0 billion, compared with its previous guidance of more than $18.0 billion.
Medical costs improve as profitability strengthens
UnitedHealth’s medical care ratio improved to 86.7% during the quarter, compared with 89.4% a year earlier, reflecting changes in benefit design, disciplined pricing and improved medical cost management.
Operating earnings rose to $8.0 billion from $5.2 billion in the second quarter of 2025.
UnitedHealthcare and Optum deliver solid growth
UnitedHealthcare generated revenue of $86.0 billion and operating earnings of $3.9 billion while serving 48.5 million consumers.
The segment’s operating margin expanded to 4.6%, compared with 2.4% in the prior-year period.
Meanwhile, Optum reported revenue of $65.7 billion and earnings of $4.0 billion, with operating margin improving by 160 basis points year over year.
Operating cash flow totaled $11.1 billion during the quarter, equivalent to 1.9 times net income.
UnitedHealth also repurchased $4.0 billion of its shares through mid-July and expects total share buybacks to reach at least $5.0 billion during 2026.
UnitedHealth Group stock price
