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Dec 31, 2023

Elevance Health Q4 2023 Earnings Report

Elevance Health reported strong Q4 2023 results, driven by customer experience, affordability, and strategic investments.

Key Takeaways

Elevance Health reported Q4 2023 operating revenue of $42.5 billion, a 7.0% increase year-over-year. GAAP diluted EPS was $3.63, up 1.1%, and adjusted diluted EPS was $5.62, up 15.2%. The company projects FY 2024 GAAP diluted EPS and adjusted diluted EPS of greater than $34.29 and $37.10 per share, respectively.

Q4 2023 operating revenue reached $42.5 billion, up 7.0% from Q4 2022.

GAAP diluted EPS for Q4 2023 was $3.63, a 1.1% increase from Q4 2022.

Adjusted diluted EPS for Q4 2023 was $5.62, a 15.2% increase.

The company increased its quarterly dividend by 10.1% to $1.63 per share.

Total Revenue
$42.5B
Previous year: $39.7B
+7.0%
EPS
$5.62
Previous year: $5.23
+7.5%
Total Medical Membership
46.96M
Previous year: 47.53M
-1.2%
Gross Profit
$37.8B
Previous year: $36.3B
+4.2%
Cash and Equivalents
$6.53B
Previous year: $7.39B
-11.7%
Free Cash Flow
-$3.3B
Previous year: -$1.82B
+81.6%
Total Assets
$109B
Previous year: $103B
+6.0%

Elevance Health

Elevance Health

Forward Guidance

Elevance Health projects FY 2024 GAAP diluted EPS and adjusted diluted EPS of greater than $34.29 and $37.10 per share, respectively.

Positive Outlook

  • Fee-Based Medical Enrollment between 27.4 and 27.6 million
  • Risk-Based Medical Enrollment between 18.4 and 19.0 million
  • Total Operating Revenue growth flat to low-single digit
  • Adjusted Operating Gain greater than $10.3 billion
  • Operating Cash Flow greater than $8.1 billion

Challenges Ahead

  • Premium Revenue approximately flat
  • Health Benefits revenue approximately flat
  • CarelonRx revenue low-single digit
  • Carelon Services operating margin down (30) - 0 bps
  • Amortization of Intangible Assets ($450) million