UnitedHealth revenue beats estimates as membership jumps

(Reuters) — UnitedHealth Group Inc., the largest U.S. health insurer, reported higher-than-expected revenue and raised its forecast, helped by the addition of 270,000 healthcare members and strong growth in its Optum pharmacy services division.

The company raised its full-year revenue forecast to about $130 billion from $128 billion-$129 billion, citing the strong second-quarter results and improving business trends.

UnitedHealth also tightened its profit outlook to $5.50-$5.60 per share from $5.40-$5.60.

Analysts were expecting full-year earnings of $5.52 per share on revenue of $128.66 billion, according to Thomson Reuters I/B/E/S.

Net income was $1.41 billion, or $1.42 per share, in the second quarter ended June 30, compared with $1.44 billion, or $1.40 per share, a year earlier.

Total revenue rose 7% to $32.6 billion.

Analysts had expected earnings of $1.26 per share for the second quarter, on revenue of $32.0 billion, according to Thomson Reuters I/B/E/S.

UnitedHealth had 991 million shares outstanding at end of the June quarter, compared with 1.03 billion a year earlier.

Optum, which includes health-technology related businesses, reported earnings from operations of $728 million, up 23%.

Shares of UnitedHealth closed at $83.76 on the New York Stock Exchange on Wednesday