Income Statement

The income statement presents information on the financial results of a company business activities over a period of time. The income statement communicates how much revenue the company generated during a period and what cost it incurred in connection with generating that revenue.

Elevance Health Inc., consolidated income statement

US$ in millions

12 months ended:	Dec 31, 2025	Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021
Premiums	164,639)	144,166)	142,854)	133,229)	117,373)
Product revenue	24,470)	22,630)	19,452)	14,978)	12,657)
Service fees	8,475)	8,408)	7,903)	7,453)	6,913)
Operating revenue	197,584)	175,204)	170,209)	155,660)	136,943)
Benefit expense	(148,223)	(127,567)	(124,330)	(116,487)	(102,645)
Cost of products sold	(21,178)	(19,750)	(17,293)	(13,035)	(10,895)
Cost of operating revenue	(169,401)	(147,317)	(141,623)	(129,522)	(113,540)
Gross profit	28,183)	27,887)	28,586)	26,138)	23,403)
Operating expense	(20,984)	(20,025)	(20,087)	(17,686)	(15,914)
Amortization of other intangible assets	(628)	(580)	(885)	(767)	(441)
Operating income	6,571)	7,282)	7,614)	7,685)	7,048)
Fixed maturity securities	1,437)	1,539)	1,387)	971)	755)
Equity securities	42)	40)	18)	48)	43)
Cash equivalents	270)	235)	305)	77)	5)
Other invested assets	482)	274)	157)	432)	616)
Investment income	2,231)	2,088)	1,867)	1,528)	1,419)
Investment expense	(37)	(37)	(42)	(43)	(41)
Net investment income	2,194)	2,051)	1,825)	1,485)	1,378)
Net gains (losses) on financial instruments	(653)	(445)	(694)	(550)	318)
Gain on sale of business	—)	201)	—)	—)	—)
Interest expenses	(1,402)	(1,185)	(1,030)	(851)	(798)
Loss on extinguishment of debt	—)	—)	—)	—)	(21)
Income before income tax expense	6,710)	7,904)	7,715)	7,769)	7,925)
Income tax expense	(1,049)	(1,933)	(1,724)	(1,750)	(1,830)
Net income	5,661)	5,971)	5,991)	6,019)	6,095)
Net (gain) loss attributable to noncontrolling interests	1)	9)	(4)	6)	9)
Shareholders’ net income	5,662)	5,980)	5,987)	6,025)	6,104)

Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31).

Overall, the financial performance demonstrates consistent revenue growth, albeit with some moderation in operating income and net income towards the later years of the period. Premiums, the largest component of revenue, exhibit a steady increase throughout the analyzed timeframe. However, benefit expense and cost of operating revenue have increased at a faster rate than premiums, impacting profitability.

Revenue Growth: Operating revenue increased from US$136,943 million in 2021 to US$197,584 million in 2025, representing a cumulative growth of approximately 44.3%. While product revenue and service fees also increased, the primary driver of this growth is the increase in premiums. The rate of revenue growth appears to be slowing, with a more modest increase between 2024 and 2025 compared to earlier periods.
Profitability Analysis: Gross profit experienced moderate growth, rising from US$23,403 million to US$28,183 million. However, operating income remained relatively flat, fluctuating between US$7,048 million and US$7,685 million before declining to US$6,571 million in 2025. This suggests increasing operating expenses are offsetting revenue gains. Net income followed a similar pattern, remaining around US$6.0 billion for most of the period before decreasing to US$5.662 billion in 2025.
Expense Trends: Benefit expense consistently increased, rising from US$102,645 million in 2021 to US$148,223 million in 2025. Cost of products sold and cost of operating revenue also exhibited consistent increases, indicating rising operational costs. Operating expenses also increased steadily, contributing to the pressure on operating income. Interest expenses also increased significantly, from US$798 million to US$1,402 million, potentially impacting net income.
Investment Activity: Investment income showed a positive trend, increasing from US$1,419 million to US$2,231 million. However, net gains (losses) on financial instruments were volatile, with a significant loss reported in 2022, 2023, and 2025. The composition of invested assets shifted, with increases in fixed maturity securities and cash equivalents, while other invested assets decreased.
Tax Rate: The income tax expense remained relatively consistent as a percentage of income before income tax expense, fluctuating between approximately 23% and 25% throughout the period. A notable decrease in the tax rate is observed in 2025, contributing to a smaller decline in net income compared to the decline in income before income tax expense.

In conclusion, while the company demonstrates revenue growth, increasing expenses, particularly benefit expense and operating costs, are impacting profitability. The volatility in financial instrument gains/losses and rising interest expenses further contribute to the challenges in maintaining consistent net income growth.

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Elevance Health Inc. (NYSE:ELV)

Income Statement