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Elevance Health is a leading health insurer in the United States, providing services to over 46 million medical members through its affiliated health plans . The company operates under several core brands, including Anthem Blue Cross/Anthem Blue Cross and Blue Shield, Wellpoint, and Carelon, and organizes its business activities into four main segments . Elevance Health offers a wide range of health plans and services, pharmacy services, and healthcare-related services, contributing significantly to its overall revenue .
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Health Benefits Segment - Offers a comprehensive suite of health plans and services to various members, including Individual, Employer Group risk-based, Employer Group fee-based, BlueCard, Medicare, Medicaid, and Federal Employees Health Benefits (FEHB) program members. Includes specialty and other insurance products such as stop loss, dental, vision, and supplemental health insurance benefits .
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CarelonRx Segment - Provides pharmacy services to both affiliated health plan customers and external customers. Offers a comprehensive pharmacy services portfolio, including home delivery, specialty pharmacies, claims adjudication, formulary management, pharmacy networks, and infusion services .
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Carelon Services Segment - Integrates various healthcare-related services, including utilization management, behavioral health, integrated care delivery, palliative care, payment integrity services, and health and wellness programs. Includes Carelon Global Solutions, which provides data management, information technology, and business operations services .
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Corporate & Other Segment - Encompasses businesses that do not individually meet the quantitative threshold for an operating segment, as well as corporate expenses not allocated to other segments .
| Name | Position | External Roles | Short Bio | |
|---|---|---|---|---|
Gail K. Boudreaux ExecutiveBoard | President and CEO | Director at Target Corporation; Member of The Business Roundtable; Chair of the Business Council | CEO since 2017, previously EVP at UnitedHealth Group and CEO of UnitedHealthcare. Extensive healthcare leadership experience. | View Report → |
Blair W. Todt Executive | EVP and Chief Legal and Administrative Officer | None | Joined ELV in 2022, promoted to Chief Administrative Officer in 2023. Extensive legal and administrative leadership experience. | |
Felicia F. Norwood Executive | EVP and President of Government Health Benefits | None | Leads Government Health Benefits division. Previously held leadership roles in healthcare and insurance sectors. | |
Mark B. Kaye Executive | EVP and CFO | None | CFO since 2023, previously EVP and CFO at Moody’s Corporation. Extensive financial leadership experience. | |
Peter D. Haytaian Executive | EVP and President of Carelon and CarelonRx | None | Joined ELV in 2012, held leadership roles in Medicaid and Commercial divisions. Currently leads Carelon and CarelonRx. | |
Ronald W. Penczek Executive | Chief Accounting Officer and Controller | None | Joined ELV in 2005, held progressively senior financial roles. Chief Accounting Officer since 2015. | |
Antonio F. Neri Board | Director | President and CEO of Hewlett Packard Enterprise | Director since 2017, extensive technology and executive leadership experience. | |
Bahija Jallal Board | Director | CEO and Director at Immunocore Holdings | Director since 2018, extensive biopharmaceutical and regulatory experience. | |
Elizabeth E. Tallett Board | Independent Chair of the Board | Director at Moderna and Qiagen | Chair since 2018, extensive healthcare and governance experience. Former lead director at Principal Financial. | |
Lewis Hay, III Board | Director | Operating Advisor at Clayton, Dubilier & Rice; Director at L3Harris Technologies and Artera Services | Director since 2013, extensive experience in finance, energy, and governance. Former CEO of NextEra Energy. | |
R. Kerry Clark Board | Director | Director at General Mills and Textron; Director at The Christ Hospital in Cincinnati | Director since 2014, former CEO of Cardinal Health. Extensive healthcare and finance experience. | |
Ramiro G. Peru Board | Director | Director at SM Energy Company and UNS Energy Corporation | Director since 2004, former CFO of Phelps Dodge Corporation. Extensive finance and governance expertise. | |
Ryan M. Schneider Board | Director | Director at Anywhere Real Estate Inc. | Director since 2019, CEO of Anywhere Real Estate. Extensive experience in finance, marketing, and technology. | |
Susan D. DeVore Board | Director | Director at Unum Group and AdventHealth | Director since 2021, former CEO of Premier, Inc. Extensive healthcare and finance expertise. |
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Given the ongoing pressures on Medicaid margins due to the mismatch between rates and member acuity and your expectation that these pressures will continue through 2025 , what specific actions are you taking to realign rates with acuity more quickly, and how confident are you in returning Medicaid margins to your target range?
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Your long-term goal is to achieve at least 12% annual EPS growth , but with a mid-single-digit EPS growth outlook for 2025 and continued Medicaid margin pressures , how do you plan to accelerate earnings growth in 2026 and 2027 to meet this target, and should investors expect any adjustments to your long-term growth algorithm?
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With the decline in the percentage of Medicare Advantage members in plans rated 4 stars or higher due to higher cut points and a major contract narrowly missing 4 stars by 0.0004 , what strategies are you implementing to improve star ratings, and how might this impact your competitiveness and revenue growth in the Medicare Advantage market?
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Considering increased utilization trends in Medicare, including pressures from the Two-Midnight Rule and a late summer surge in COVID , how are you adjusting your pricing and cost management strategies for 2025 to account for these trends, and what impact do you anticipate on your Medicare margins?
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CarelonRx's strong performance included a one-time favorable revenue adjustment, and specialty pharmacy trends increased as expected ; can you discuss the sustainability of CarelonRx's earnings growth in the face of rising specialty drug costs, and how does this align with your long-term margin expectations for the segment?
Notable M&A activity and strategic investments in the past 3 years.
| Company | Year | Details |
|---|---|---|
Paragon Healthcare, Inc. | 2024 | Completed on March 11, 2024, this acquisition integrates Paragon’s infusion services into CarelonRx with an omnichannel model, and its purchase price allocation included $411 for finite-lived intangible assets and $751 for goodwill (mostly non-deductible for tax purposes). |
BioPlus Parent, LLC | 2023 | Completed on February 15, 2023, this deal brought one of the largest independent specialty pharmacy organizations into the CarelonRx network with significant allocations of $820 million to intangible assets and $893 million to goodwill, supporting Elevance Health’s specialty pharmacy strategy. |
Louisiana Health Service & Indemnity Company, d/b/a BCBSLA | 2024 | Planned acquisition announced on January 23, 2023, aimed at expanding whole-health solutions for the Individual, Employer Group, Medicaid, and Medicare markets in Louisiana and subject to closing conditions and approvals. |
Centers Plan for Healthy Living LLC | 2024 | Planned acquisition announced on December 31, 2023, this managed long-term care plan serving New York Medicaid and dual-eligible populations is expected to close in the third quarter of 2024, aligning with the expansion of the Health Benefits segment. |
Centers for Specialty Care Group IPA, LLC | 2024 | Planned acquisition announced on December 31, 2023, focused on serving New York Medicaid/Medicare members, it is set to close in the third or fourth quarter of 2024 and supports an expanded care management strategy, subject to standard conditions. |
RSV QOZB LTSS, Inc. (CareBridge) | 2024 | Planned acquisition with the agreement entered on October 15, 2024, this value‐based home and community services provider for Medicaid and dual-eligible populations aligns with a care-at-home strategy and is expected to close in Q4 2024 or Q1 2025, pending customary approvals. |
Integra Managed Care | 2022 | Completed on May 5, 2022, this acquisition from Personal Touch Holding Corporation, a managed long-term care plan serving New York Medicaid members, featured allocations of $89 million to finite-lived intangible assets, $250 million to indefinite-lived intangible assets, and $110 million in goodwill, adding 43,000 members to the network. |
Recent press releases and 8-K filings for ELV.
- Operating revenue reached $48.8B in Q1 2025, up over 15% YoY, driven by higher premium yields, targeted membership expansion, acquisitions, and product revenue growth
- EPS Improvement: GAAP diluted EPS was $9.61 and adjusted diluted EPS was $11.97, reflecting over 10% YoY growth
- Full-Year Guidance: The company reaffirmed its outlook with adjusted diluted EPS expected in the range $34.15–$34.85
- Financial Performance: Adjusted operating gain increased to $3.3B (4.1% YoY) while Health Benefits revenue grew by 11.2%; Carelon segments expanded robustly despite slight margin declines
- Capital Returns: 2.2M shares were repurchased for approximately $880M and $1.3B of capital was returned to shareholders
- Strategic Initiatives: Continued focus on value-based care, digital platform expansion, and enhanced member engagement to drive sustainable growth
- The report, filed on April 17, 2025, confirms that Elevance Health will announce its Q1 2025 financial results on April 22, 2025, including a GAAP net income of $9.61 per diluted share and an adjusted net income of $11.97 per diluted share.
- The company reaffirms its full-year 2025 adjusted net income guidance of $34.15 to $34.85 per diluted share and expects Medicare Advantage membership to remain in the range of 2,200 to 2,250 thousand members.
- Medicare Advantage Guidance: The call reaffirmed the 2025 Medicare Advantage membership target of 2.2–2.25 million members, emphasizing adjustments such as the removal of a D-SNP cohort and modest in-year growth.
- Margin and Commercial Performance: Management noted that 2024 Medicare margins met expectations and outlined a strategy of disciplined cost management to support stable margins going forward.
- Strategic Acquisition for Home-Based Care: The acquisition of CareBridge was discussed as a key move to expand home-based care services for Medicaid and dual eligible populations, aligning with the company's value-based care objectives.
- Elevance Health, Inc. reiterates its full year 2025 earnings guidance, targeting $30.40 to $31.10 per diluted share (including approximately $3.75 of net unfavorable items) and $34.15 to $34.85 per diluted share on an adjusted basis.
- The company maintains its year-end total medical enrollment guidance, with Medicare Advantage membership expected to be between 2.2 and 2.25 million members.
- Company officers will also be engaging with investors over the coming weeks to discuss these updates, emphasizing forward-looking statements and associated risks.