Elevance Health Reports Second Quarter 2025 Results

Elevance Health, Inc. has released its financial results for the second quarter of 2025, showcasing significant growth in operating revenue and adjustments in earnings guidance. The company, a prominent player in the healthcare sector, continues to focus on enhancing efficiency and delivering personalized healthcare experiences.

Financial Highlights

For the second quarter of 2025, Elevance Health reported operating revenue of $49.4 billion, marking a 14.3% increase from the same period in 2024. The diluted earnings per share (EPS) stood at $7.72, while the adjusted diluted EPS was $8.84. The company has revised its full-year 2025 adjusted diluted EPS guidance to approximately $30.00. Year-to-date, Elevance Health has returned $2.0 billion of capital to shareholders.

Business and Operational Highlights

The Health Benefits segment saw operating revenue of $41.6 billion, a 12% increase from the previous year, driven by higher premium yields, recent acquisitions, and growth in Medicare Advantage membership. However, the segment faced challenges with higher medical cost trends in Medicaid and ACA health plans, resulting in an operating gain of $1.6 billion.

Carelon, another significant segment, reported operating revenue of $18.1 billion, a 36% increase from the prior year, fueled by acquisitions in home health and pharmacy services, and growth in CarelonRx product revenue. The segment's operating gain was $0.9 billion, reflecting a 33% increase.

Strategic Initiatives and Corporate Developments

Elevance Health repurchased 0.9 million shares of its common stock for $379 million and paid a quarterly dividend of $1.71 per share, totaling $385 million in cash distribution. The company has approximately $8.0 billion of Board-approved share repurchase authorization remaining.

Management's Perspective

Gail K. Boudreaux, President and CEO, emphasized the company's focus on managing healthcare costs, investing in advanced technology, and reinforcing its operational foundation. Despite challenges in the external environment, Boudreaux expressed confidence in achieving at least 12% average annual growth in adjusted diluted EPS over time.

Future Outlook

Given the ongoing impact of elevated cost trends in ACA and Medicaid, Elevance Health now expects 2025 GAAP net income per diluted share to be approximately $24.10 and adjusted net income per diluted share to be around $30.00. The company remains committed to its long-term strategy and operational efficiency to drive future growth.

SEC Filing: Elevance Health, Inc. [ ELV ] - 8-K - Jul. 17, 2025