UnitedHealth Group has raised its full-year 2026 profit forecast for the third time this year after reporting stronger-than-expected third-quarter earnings, supported by tighter medical cost controls and improved performance in its healthcare services business.
The United States-based healthcare company now expects adjusted earnings of at least $20.50 per share for 2026, up from its previous forecast of $19.50 to $20. The revised outlook also exceeds analysts’ average estimate of $19.86 per share.
For the third quarter, UnitedHealth reported adjusted earnings of $4.69 per share, compared with $2.92 in the same period last year. Revenue reached $112.69 billion, beating market expectations of approximately $111.4 billion.
Operating income rose to $6.6 billion from $4.3 billion a year earlier, reflecting stronger performance in its Optum healthcare services division and efforts to reduce operating expenses.
The company’s medical cost ratio, which measures the proportion of insurance premiums spent on medical care, improved to 88.4% from 89.9% a year earlier. A $610 million benefit from reserves for earlier medical claims also helped lower expenses.
However, revenue from its UnitedHealthcare insurance business declined to $86.3 billion from $87.1 billion, while membership fell across several insurance plans.
Investors are now watching for the company’s initial 2027 outlook as management continues efforts to restore growth and strengthen profitability following recent operational and cybersecurity challenges.
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