11:56 AM EDT, 07/16/2024 (MT Newswires) -- UnitedHealth Group ( UNH ) reported stronger-than-expected second-quarter results on Tuesday while lowering its full-year GAAP earnings guidance amid increased costs and revenue disruptions tied to a cyberattack in February.

Revenue climbed to $98.86 billion for the three months ended June 30 from $92.9 billion the year earlier and topped the $98.81 billion average analyst estimate on Capital IQ. Adjusted EPS advanced to $6.80 from $6.14 a year earlier and beat Wall Street's $6.63 view. Shares of UnitedHealth ( UNH ) climbed 5.5% in Tuesday trade.

"In the first half of the year, revenues grew by nearly $14 billion with strong contributions from across the enterprise, led by double-digit growth in Optum," Chief Executive Andrew Witty told analysts on a conference call, according to a Capital IQ transcript. "UnitedHealth Group ( UNH ) entered the second half of the year with continuing and broad-based growth momentum."

By segment, UnitedHealthcare revenue advanced to $73.87 billion from $70.23 billion in the same period a year ago, reflecting a higher number of people served.

Total Optum revenue climbed to $62.88 billion from $56.34 billion, driven by growth of 13% at both Optum Rx and Optum Health amid more patients served and pharmacy services offered. Optum Health is on track to approach 5 million patients in value-based care by the end of 2024, Chief Financial Officer John Rex said on the call.

A cyberattack at Optum's Change Healthcare in February impacted consolidated second-quarter EPS by $0.92. The health insurer estimates that the attack will impact full-year EPS by $1.90 to $2.05, up from a $1.15 to $1.35 hit previously expected.

The company lowered its 2024 GAAP EPS guidance to a range of $15.95 to $16.40 per share from the $17.60 to $18.20 forecast it provided in April. UnitedHealth ( UNH ) reiterated its adjusted EPS guidance in the $27.50 to $28 range, despite a bigger business disruption impact, reflecting lost revenue and the costs of maintaining full readiness of the affected Change Healthcare services.

The Capital IQ-polled consensus was for GAAP EPS of $18.14 and normalized EPS of $27.69 for the ongoing year.

Price: 543.27, Change: +27.90, Percent Change: +5.41