Elevance Profit Plunges 50%, But Shares Jump on Dividend Hike, 2025 Growth Bet

 Elevance Health (NYSE:ELV) just dropped its Q4 earnings, and it's a mixed bag. Revenue climbed 6% to $45 billion, fueled by higher premium yields and a 19% surge in its Carelon division. But medical costs? Still a major headache. Net income took a 50% hit, landing at $418 million, as Medicaid-related expenses kept rising. The benefit expense ratio shot up to 92.4%, a clear sign that the company is still dealing with a flood of Medicaid patients catching up on postponed care.

Despite the cost surge, Elevance gave investors something to cheer about: a 5% dividend boost to $1.71 per share. CEO Gail Boudreaux doubled down on the company's strategy, emphasizing operational improvements and a push for long-term growth. The 2025 outlook? Adjusted EPS projected between $34.15 and $34.85, signaling confidence in navigating industry pressures. But the Medicaid drag is real membership dipped by 1.1 million, now sitting at 45.7 million.

https://finance.yahoo.com/news/elevance-healths-profit-plunges-50-171110293.html