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 MINNEAPOLIS, Aug. 5 /PRNewswire/ -- United HealthCare Corporation (NYSE: UNH) today announced results for the quarter and six months ended June 30, 1993. These record results mark 19 consecutive quarters of revenue and earnings growth.
 Second Quarter Results
 Revenues were $513.7 million, a 46 percent increase over second quarter 1992. Earnings were $41.3 million, up 50 percent over last year's second quarter, with earnings per share of $0.58, a 49 percent increase over earnings per share of $0.39 reported for the same period last year.
 Six Months
 For the first six months of 1993, revenues were $988.3 million, up 44 percent from the same period in 1992. Earnings totalled $79.5 million, a 51 percent increase over net earnings for first six months of last year. Earnings per share were $1.12, up 46 percent over earnings per share of $0.77 reported for the first half of 1992.
 "We're very pleased with these results. They reflect continuing strong demand for our company's managed care services, and also the effectiveness of these services as applied in our company's own operations, as well as ongoing administrative efficiencies and controls companywide," said William W. McGuire, M.D., United HealthCare's president, chairman and chief executive officer.
 Among factors contributing to the quarter's record performance, McGuire said, were: continuing strong performance by recent acquisitions, and favorable cost trends resulting from both the company's internal SG&A controls and its health care management programs. Also noted by McGuire:
 Medical Loss Ratio
 UHC's second quarter owned health plan medical loss ratio (medical costs as a percent of premium revenues) remained stable at 80.3 percent, up slightly from 80.1 percent for the first quarter of 1993. "We are pleased with the consistency in these results from our organized care delivery programs," McGuire said.
 SG&A Costs
 Selling, general and administrative costs for the company's health plans were down slightly to 9.9 percent for the second quarter, accomplished, McGuire said, through careful stewardship during a time of heavy investment in information technology for the company's future.
 Shareholders' Equity
 Shareholders' equity stood at $738.4 million at June 30, compared with $655.6 million at Dec. 31, 1992.
 Enrollment Growth
 Health Plans
 Enrollment in the company's owned and managed health plans totalled 2,017,000 at June 30, up a strong 22 percent over one year ago. For the company's owned plans, excluding the acquisition of Western Ohio Health Care, enrollment rose 19 percent on a "same store" basis over June 1992 and 11 percent over year-end 1992.
 The company's pending acquisition of 300,000-member, Chicago-area health plan HMO America, Inc. (HMOA) is proceeding well, McGuire said, with voting by HMOA shareholders scheduled for August 26. Assuming receipt of the requisite vote and successful completion of other steps, United HealthCare expects to complete the purchase by the end of August.
 Specialty Companies
 Continuing strong enrollment gains in UHC's specialty companies brought total lives served to 28,164,000 at June 30, a 59 percent increase over the second quarter of 1992 and a 36 percent increase over year-end.
 Among UHC's specialty companies, Diversified Pharmaceutical Services, UHC's pharmaceutical managed care company, registered 93 percent growth for the 12 months ended June 30 to 11,800,000 lives; United Behavioral Systems -- 56 percent growth to 2,226,000 lives; Healthmarc -- 36 percent growth to 1,807,000 lives; United Resource Networks -- 35 percent growth to 10,403,000 lives; and Institute for Human Resources -- 68 percent growth to 1,928,000 lives.
 Current high levels of RFP activity indicate continued strong customer demand for these companies' products and services, said McGuire.
 United HealthCare Corporation is a national leader in health care management, serving purchasers, users, managers and providers of health care since 1974. The company offers a broad range of products through 20 locally based health plans and 9 non-geographically bounded specialty care management companies. The company's services include HMOs, PPOs, health plan management, 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.
 (In thousands, except per share data)
 Three Months Ended Six Months Ended
 6/30/93 6/30/92 6/30/93 6/30/92
 Revenues $513,699 $350,951 $988,252 $686,227
 Net earnings 41,338 27,600 79,483 52,580
 Net earnings per share $0.58 $0.39 $1.12 $0.77
 Average number of common
 shares outstanding 71,057 70,154 70,993 68,392
 -0- 8/5/93
 /CONTACT: David P. Koppe, vice president, treasurer and controller, 612-939-7760, or Noreen L. Conway, vice president, public relations and communications, 612-936-1125, both of United HealthCare Corporation/

CO: United HealthCare Corporation ST: Minnesota IN: HEA SU: ERN

TJ -- MN001 -- 9685 08/05/93 08:30 EDT
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Publication:PR Newswire
Date:Aug 5, 1993

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