(Reuters) - UnitedHealth Group Inc on Tuesday forecast 2021 adjusted profit below Wall Street estimates, hit by the COVID-19 pandemic and uncertainties related to it.
Health insurers benefited in the first few quarters of this year as people delayed non-urgent surgeries due to the pandemic, but that is likely to change as deferred surgeries pick up pace.
UnitedHealth, however, expects 2021 revenue to be in the range of $277 billion to $280 billion, in-line with analysts’ expectations of $278.53 billion, according to data from Refinitiv IBES.
The industry bellwether expects 2021 adjusted net earnings of $17.75 to $18.25 per share, compared with analysts’ average estimate of $18.33 per share, according to IBES data from Refinitiv.
The company said its forecast assumes a $1.80 per share hit due to treatment and testing costs related to COVID-19.
Reporting by Manas Mishra and Trisha Roy in Bengaluru; Editing by Shinjini Ganguli
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