UNITED HEALTHCARE REPORTS RECORD THIRD QUARTER
REVENUE UP 41 PERCENT, NET EARNINGS UP 116 PERCENT
MINNEAPOLIS, Nov. 7 /PRNewswire/ -- United HealthCare Corporation (NYSE: UNH) today announced record results for the third quarter and nine months ended Sept. 30, 1991, marking three consecutive years of quarterly revenue and earnings growth. Third Quarter Results
Revenues for the third quarter were $220.8 million, a 41 percent increase over the same period one year ago. Net earnings of $19.7 million were up 116 percent over earnings for the third quarter of 1990. Earnings per share were $0.61, compared with $0.31 for last year's third quarter. Nine Months
Revenues for the nine months ended Sept. 30 were $586.9 million, up 34 percent from the same period in 1990. Net earnings totalled $53.6 million, a 126 percent increase over net earnings for the first nine months of last year. Earnings per share were $1.73, compared with per-share earnings of $0.85 for the first nine months of 1990.
UHC Chairman and Chief Executive Officer William W. McGuire cited effective health care cost management and SG&A controls as keys to the company's continuing strong performance. In addition, he said, the robust revenues and earnings reflect growth of UHC's specialty businesses, health plan enrollment growth, and the completion of two health plan acquisitions during the third quarter. Health Plan Growth
Enrollment in the company's owned and managed health plans stood at 1,353,000 on Sept. 30, an increase of 13 percent over one year ago. Of this total, 575,000 are in UHC-owned plans, reflecting the company's Aug. 1 acquisition of 65,000-member, Milwaukee-based Samaritan Health Plan and its Sept. 1 acquisition of its formerly managed-only, 136,000-member Ocean State Physicians Health Plan, in Rhode Island. Specialty Business Growth
Lives served by the company's specialty businesses now total 12,645,000, an 83 percent increase over third quarter 1990. "We're very pleased with our specialty companies' strong contracting activity," Dr. McGuire said. Since Jan. 1, more than 100 employers, union trusts, reinsurers, insurers, hospitals, health plans, pharmaceutical manufacturers and health care providers have signed agreements for UHC's specialty health care management services.
"This growth reflects widespread recognition of the appropriateness of our offerings in this time of demand for value in health care services. We are providing the right services at the right time," said Brian S. Gould, M.D., senior vice president, UHC specialty operations.
United HealthCare Corporation is the nation's leader in health care management, serving both the providers and purchasers of health care since 1974. The company's services include HMOs, PPOs, multiple option and point-of-service plans, pharmaceutical cost management, managed mental health and substance abuse services, utilization management, workers compensation/casualty services, specialized provider networks, employee assistance services, Medicare and managed care programs for the aged, health care evaluation services, information systems and administrative services.
UNITED HEALTHCARE CORPORATION EARNINGS REPORT
(In thousands, except per-share data)
Three Months Ended
Revenues $220,785 $156,831
Net earnings $19,731 $9,152
Net earnings per share
Primary $0.61 $0.31
Fully diluted $0.61 $0.31
Nine Months Ended
Revenues $586,855 $436,964
Net earnings $53,555 $23,658
Net earnings per share
Primary $1.73 $0.92
Fully diluted $1.73 $0.85
Average number of
common shares outstanding
Primary 30,983 25,580
Fully diluted 30,983 29,340
/CONTACT: David P. Koppe, 612-939-7760 or Noreen Suntrup, 612-936-1125, both of United HealthCare Corporation/
(UNH) CO: United HealthCare Corp. ST: Minnesota IN: INS SU: ERN AL-JS -- MN002 -- 2030 11/07/91 08:31 EST