โ
๐ ๐๐๐ฌ๐ฎ๐ฅ๐ญ๐ฌ
โข Adj. EPS: $6.99 (Est. $4.69) โ
โข Operating Revenue: $50.4B (Est. $49.16B) โ , +0.7% YoY.
โข GAAP EPS: $6.27.
โข Operating Gain: $1.3B.
โข Operating Margin: 2.5% (vs. 2.6% YoY).
โข Adj. Operating Margin: 2.7%, flat YoY.
โข Benefit Expense Ratio: 90.6%, improved 70 bps YoY.
โข Operating Cash Flow: $1.3B.
โข Medical Membership: 44.9M, -487K YoY.
โ
๐ฏ ๐๐ฎ๐ข๐๐๐ง๐๐
โข FY2026 Adj. EPS: At least $29.00 (Est. $27.24) โ , raised.
โข FY2026 GAAP EPS: At least $22.00, raised.
โข FY2026 Operating Cash Flow: At least $6.5B, raised.
โข FY2027 Adj. EPS Growth: At least 12% from an adjusted FY2026 baseline of at least $26.75.
โ
๐ ๐๐๐ฒ ๐๐๐ค๐๐๐ฐ๐๐ฒ๐ฌ
โข Q3 Adj. EPS beat consensus by ~49%, while operating revenue exceeded estimates by ~2.5%.
โข Q3 Adj. EPS included a $1.85 per-share net non-operating benefit, contributing significantly to the earnings beat.
โข Carelon revenue grew 5% YoY to $19.3B, while operating profit jumped 17% to $0.9B and margin expanded 50 bps to 4.7%.
โข Health Benefits revenue increased 3% to $43.4B, but operating margin contracted to 1.0% from 1.4% YoY.
โข Benefit expense ratio improved 70 bps to 90.6%, reflecting better Medicare Advantage and Individual ACA performance.
โข Medical membership declined by 487K YoY to 44.9M, driven by lower Medicaid, Medicare Advantage and employer risk enrollment.
โข Elevance repurchased $330M in shares and paid $373M in dividends during Q3.
โ
๐ฌ ๐๐๐ง๐๐ ๐๐ฆ๐๐ง๐ญ ๐๐จ๐ฆ๐ฆ๐๐ง๐ญ๐๐ซ๐ฒ
โWe are raising our 2026 earnings outlook and remain confident in delivering at least 12% growth in adjusted diluted earnings per share in 2027 from our higher earnings baseline of at least $26.75.โ