Stock Analysis on Net
Stock Analysis on Net

UnitedHealth Group Inc. (NYSE:UNH)

Analysis of Investments

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Adjustment to Net Income (Loss): Mark to Market Available-for-sale Securities

UnitedHealth Group Inc., adjustment to net earnings attributable to UnitedHealth Group common shareholders

US$ in millions

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12 months ended: Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Net earnings attributable to UnitedHealth Group common shareholders (as reported) 14,405 22,381 20,120 17,285 15,403
Add: Unrealized gains (losses) on investment securities during the period, net of tax 22 876 (3,308) (780) 805
Less: Reclassification adjustment for net realized (gains) losses included in net earnings, net of tax (277) (69) 107 (133) (58)
Net earnings attributable to UnitedHealth Group common shareholders (adjusted) 14,150 23,188 16,919 16,372 16,150

Based on: 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), 10-K (reporting date: 2020-12-31).

Adjusted Profitability Ratios: Mark to Market Available-for-sale Securities (Summary)

UnitedHealth Group Inc., adjusted profitability ratios

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Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Net Profit Margin
Reported net profit margin 3.65% 6.09% 6.25% 6.06% 6.03%
Adjusted net profit margin 3.58% 6.31% 5.25% 5.74% 6.32%
Return on Equity (ROE)
Reported ROE 15.55% 25.22% 25.87% 24.09% 23.52%
Adjusted ROE 15.27% 26.13% 21.75% 22.81% 24.66%
Return on Assets (ROA)
Reported ROA 4.83% 8.18% 8.19% 8.15% 7.81%
Adjusted ROA 4.74% 8.47% 6.89% 7.72% 8.19%

Based on: 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), 10-K (reporting date: 2020-12-31).

Profitability ratio Description The company
Adjusted net profit margin An indicator of profitability, calculated as adjusted net income divided by revenue. UnitedHealth Group Inc. adjusted net profit margin ratio improved from 2022 to 2023 but then deteriorated significantly from 2023 to 2024.
Adjusted ROE A profitability ratio calculated as adjusted net income divided by shareholders’ equity. UnitedHealth Group Inc. adjusted ROE improved from 2022 to 2023 but then deteriorated significantly from 2023 to 2024.
Adjusted ROA A profitability ratio calculated as adjusted net income divided by total assets. UnitedHealth Group Inc. adjusted ROA improved from 2022 to 2023 but then deteriorated significantly from 2023 to 2024.

UnitedHealth Group Inc., Profitability Ratios: Reported vs. Adjusted

Adjusted Net Profit Margin

Microsoft Excel
Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
As Reported
Selected Financial Data (US$ in millions)
Net earnings attributable to UnitedHealth Group common shareholders 14,405 22,381 20,120 17,285 15,403
Revenues, customers 395,076 367,533 322,132 285,273 255,639
Profitability Ratio
Net profit margin1 3.65% 6.09% 6.25% 6.06% 6.03%
Adjusted: Mark to Market Available-for-sale Securities
Selected Financial Data (US$ in millions)
Adjusted net earnings attributable to UnitedHealth Group common shareholders 14,150 23,188 16,919 16,372 16,150
Revenues, customers 395,076 367,533 322,132 285,273 255,639
Profitability Ratio
Adjusted net profit margin2 3.58% 6.31% 5.25% 5.74% 6.32%

Based on: 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), 10-K (reporting date: 2020-12-31).

2024 Calculations

1 Net profit margin = 100 × Net earnings attributable to UnitedHealth Group common shareholders ÷ Revenues, customers
= 100 × 14,405 ÷ 395,076 = 3.65%

2 Adjusted net profit margin = 100 × Adjusted net earnings attributable to UnitedHealth Group common shareholders ÷ Revenues, customers
= 100 × 14,150 ÷ 395,076 = 3.58%

Profitability ratio Description The company
Adjusted net profit margin An indicator of profitability, calculated as adjusted net income divided by revenue. UnitedHealth Group Inc. adjusted net profit margin ratio improved from 2022 to 2023 but then deteriorated significantly from 2023 to 2024.

Adjusted Return on Equity (ROE)

Microsoft Excel
Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
As Reported
Selected Financial Data (US$ in millions)
Net earnings attributable to UnitedHealth Group common shareholders 14,405 22,381 20,120 17,285 15,403
Shareholders’ equity attributable to UnitedHealth Group 92,658 88,756 77,772 71,760 65,491
Profitability Ratio
ROE1 15.55% 25.22% 25.87% 24.09% 23.52%
Adjusted: Mark to Market Available-for-sale Securities
Selected Financial Data (US$ in millions)
Adjusted net earnings attributable to UnitedHealth Group common shareholders 14,150 23,188 16,919 16,372 16,150
Shareholders’ equity attributable to UnitedHealth Group 92,658 88,756 77,772 71,760 65,491
Profitability Ratio
Adjusted ROE2 15.27% 26.13% 21.75% 22.81% 24.66%

Based on: 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), 10-K (reporting date: 2020-12-31).

2024 Calculations

1 ROE = 100 × Net earnings attributable to UnitedHealth Group common shareholders ÷ Shareholders’ equity attributable to UnitedHealth Group
= 100 × 14,405 ÷ 92,658 = 15.55%

2 Adjusted ROE = 100 × Adjusted net earnings attributable to UnitedHealth Group common shareholders ÷ Shareholders’ equity attributable to UnitedHealth Group
= 100 × 14,150 ÷ 92,658 = 15.27%

Profitability ratio Description The company
Adjusted ROE A profitability ratio calculated as adjusted net income divided by shareholders’ equity. UnitedHealth Group Inc. adjusted ROE improved from 2022 to 2023 but then deteriorated significantly from 2023 to 2024.

Adjusted Return on Assets (ROA)

Microsoft Excel
Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
As Reported
Selected Financial Data (US$ in millions)
Net earnings attributable to UnitedHealth Group common shareholders 14,405 22,381 20,120 17,285 15,403
Total assets 298,278 273,720 245,705 212,206 197,289
Profitability Ratio
ROA1 4.83% 8.18% 8.19% 8.15% 7.81%
Adjusted: Mark to Market Available-for-sale Securities
Selected Financial Data (US$ in millions)
Adjusted net earnings attributable to UnitedHealth Group common shareholders 14,150 23,188 16,919 16,372 16,150
Total assets 298,278 273,720 245,705 212,206 197,289
Profitability Ratio
Adjusted ROA2 4.74% 8.47% 6.89% 7.72% 8.19%

Based on: 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), 10-K (reporting date: 2020-12-31).

2024 Calculations

1 ROA = 100 × Net earnings attributable to UnitedHealth Group common shareholders ÷ Total assets
= 100 × 14,405 ÷ 298,278 = 4.83%

2 Adjusted ROA = 100 × Adjusted net earnings attributable to UnitedHealth Group common shareholders ÷ Total assets
= 100 × 14,150 ÷ 298,278 = 4.74%

Profitability ratio Description The company
Adjusted ROA A profitability ratio calculated as adjusted net income divided by total assets. UnitedHealth Group Inc. adjusted ROA improved from 2022 to 2023 but then deteriorated significantly from 2023 to 2024.