Analysis of Reportable Segments
Elevance Health Inc. operates in 4 segments: Health Benefits; CarelonRx; Carelon Services; and Corporate & Other.
Segment Profit Margin
Elevance Health Inc., profit margin by reportable segment
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Health Benefits | 4.64% | 4.35% | 4.81% | 4.73% | 6.08% |
| CarelonRx | 5.84% | 6.55% | 6.62% | 6.21% | 0.00% |
| Carelon Services | 4.81% | 4.16% | 1.85% | -2.08% | -3.88% |
| Corporate & Other | -217.95% | -35.59% | -170.53% | — | — |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
| Segment profitability ratio | Reportable segment | The company |
|---|---|---|
| Segment profit margin | Health Benefits | Health Benefits segment profit margin ratio deteriorated from 2021 to 2022 but then improved from 2022 to 2023 not reaching 2021 level. |
| CarelonRx | CarelonRx segment profit margin ratio deteriorated from 2021 to 2022 and from 2022 to 2023. | |
| Carelon Services | Carelon Services segment profit margin ratio improved from 2021 to 2022 and from 2022 to 2023. | |
| Corporate & Other | Corporate & Other segment profit margin ratio improved from 2021 to 2022 but then deteriorated significantly from 2022 to 2023. |
Segment Profit Margin: Health Benefits
Elevance Health Inc.; Health Benefits; segment profit margin calculation
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||
| Operating gain (loss) | 6,888) | 6,022) | 5,850) | 5,125) | 6,088) |
| Operating revenue | 148,571) | 138,484) | 121,728) | 108,271) | 100,053) |
| Segment Profitability Ratio | |||||
| Segment profit margin1 | 4.64% | 4.35% | 4.81% | 4.73% | 6.08% |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Segment profit margin = 100 × Operating gain (loss) ÷ Operating revenue
= 100 × 6,888 ÷ 148,571 = 4.64%
| Segment profitability ratio | Reportable segment | The company |
|---|---|---|
| Segment profit margin | Health Benefits | Health Benefits segment profit margin ratio deteriorated from 2021 to 2022 but then improved from 2022 to 2023 not reaching 2021 level. |
Segment Profit Margin: CarelonRx
Elevance Health Inc.; CarelonRx; segment profit margin calculation
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||
| Operating gain (loss) | 1,975) | 1,868) | 1,684) | 1,361) | —) |
| Operating revenue | 33,835) | 28,526) | 25,431) | 21,911) | 5,402) |
| Segment Profitability Ratio | |||||
| Segment profit margin1 | 5.84% | 6.55% | 6.62% | 6.21% | 0.00% |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Segment profit margin = 100 × Operating gain (loss) ÷ Operating revenue
= 100 × 1,975 ÷ 33,835 = 5.84%
| Segment profitability ratio | Reportable segment | The company |
|---|---|---|
| Segment profit margin | CarelonRx | CarelonRx segment profit margin ratio deteriorated from 2021 to 2022 and from 2022 to 2023. |
Segment Profit Margin: Carelon Services
Elevance Health Inc.; Carelon Services; segment profit margin calculation
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||
| Operating gain (loss) | 680) | 535) | 187) | (126) | (89) |
| Operating revenue | 14,147) | 12,860) | 10,130) | 6,057) | 2,293) |
| Segment Profitability Ratio | |||||
| Segment profit margin1 | 4.81% | 4.16% | 1.85% | -2.08% | -3.88% |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Segment profit margin = 100 × Operating gain (loss) ÷ Operating revenue
= 100 × 680 ÷ 14,147 = 4.81%
| Segment profitability ratio | Reportable segment | The company |
|---|---|---|
| Segment profit margin | Carelon Services | Carelon Services segment profit margin ratio improved from 2021 to 2022 and from 2022 to 2023. |
Segment Profit Margin: Corporate & Other
Elevance Health Inc.; Corporate & Other; segment profit margin calculation
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||
| Operating gain (loss) | (1,044) | (142) | (162) | —) | —) |
| Operating revenue | 479) | 399) | 95) | —) | —) |
| Segment Profitability Ratio | |||||
| Segment profit margin1 | -217.95% | -35.59% | -170.53% | — | — |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Segment profit margin = 100 × Operating gain (loss) ÷ Operating revenue
= 100 × -1,044 ÷ 479 = -217.95%
| Segment profitability ratio | Reportable segment | The company |
|---|---|---|
| Segment profit margin | Corporate & Other | Corporate & Other segment profit margin ratio improved from 2021 to 2022 but then deteriorated significantly from 2022 to 2023. |
Operating revenue
Elevance Health Inc., operating revenue by reportable segment
US$ in millions
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Health Benefits | 148,571) | 138,484) | 121,728) | 108,271) | 100,053) |
| CarelonRx | 33,835) | 28,526) | 25,431) | 21,911) | 5,402) |
| Carelon Services | 14,147) | 12,860) | 10,130) | 6,057) | 2,293) |
| Carelon | 47,982) | 41,386) | 35,561) | 27,968) | 7,695) |
| Corporate & Other | 479) | 399) | 95) | —) | —) |
| Eliminations | (26,823) | (24,609) | (20,441) | (15,431) | (4,607) |
| Total | 170,209) | 155,660) | 136,943) | 120,808) | 103,141) |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
Operating gain (loss)
Elevance Health Inc., operating gain (loss) by reportable segment
US$ in millions
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Health Benefits | 6,888) | 6,022) | 5,850) | 5,125) | 6,088) |
| CarelonRx | 1,975) | 1,868) | 1,684) | 1,361) | —) |
| Carelon Services | 680) | 535) | 187) | (126) | (89) |
| Carelon | 2,655) | 2,403) | 1,871) | 1,235) | (89) |
| Corporate & Other | (1,044) | (142) | (162) | —) | —) |
| Total | 8,499) | 8,283) | 7,559) | 6,360) | 5,999) |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).