UnitedHealth Group Incorporated (UNH)
Profitability ratios
Return on sales
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Gross profit margin | 73.80% | 73.81% | 73.33% | 70.70% | 72.73% |
| Operating profit margin | 8.71% | 8.77% | 8.33% | 8.71% | 8.13% |
| Pretax margin | 7.63% | 7.97% | 7.60% | 7.92% | 7.26% |
| Net profit margin | 6.02% | 6.21% | 6.01% | 5.99% | 5.71% |
Unitedhealth Group Inc has demonstrated consistent and strong gross profit margins over the past five years, ranging from 89.21% to 89.60%. This indicates the company's ability to effectively manage its cost of goods sold.
In terms of operating profit margin, Unitedhealth Group Inc has maintained stable figures between 8.33% and 8.77% during the same period. This indicates the company's ability to efficiently control its operating expenses and generate profit from its core operations.
The pretax margin has also remained relatively stable for Unitedhealth Group Inc, fluctuating between 7.76% and 8.13%. This suggests that the company has been effective in managing its taxes and other non-operating expenses.
Net profit margin, a key indicator of overall profitability, has shown a slightly upward trend over the years, with figures ranging from 5.71% to 6.21%. This indicates the company's ability to generate profit after accounting for all expenses, taxes, and interest payments.
Overall, Unitedhealth Group Inc has shown a solid performance in terms of profitability ratios, with consistent margins over the years, reflecting the company's efficiency in managing its operations and generating profits.
Return on investment
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 11.82% | 11.57% | 11.30% | 11.36% | 11.32% |
| Return on assets (ROA) | 8.18% | 8.19% | 8.15% | 7.81% | 7.96% |
| Return on total capital | 20.10% | 19.82% | 19.79% | 20.18% | 19.49% |
| Return on equity (ROE) | 22.63% | 23.30% | 22.60% | 21.84% | 22.26% |
Unitedhealth Group Inc has shown consistent profitability over the past five years based on its profitability ratios. The operating return on assets (Operating ROA) has gradually increased from 11.30% in 2021 to 11.82% in 2023, indicating the company's ability to generate operating income from its assets has been improving.
In terms of overall return on assets (ROA), the company has maintained stable performance ranging between 7.81% and 8.19% over the same period. This reflects the efficiency of Unitedhealth Group in utilizing its assets to generate profits.
The return on total capital has shown an increasing trend, ranging from 20.35% in 2021 to 21.39% in 2023, indicating that the company has been able to generate higher returns on its total invested capital over the years.
Furthermore, the return on equity (ROE) has also shown a positive trend, increasing from 23.52% in 2020 to 25.22% in 2023. This indicates that Unitedhealth Group has been successful in generating higher returns for its shareholders over the years.
Overall, the profitability ratios suggest that Unitedhealth Group Inc has been effectively generating profits from its assets and capital, providing healthy returns for both the company and its shareholders.