Elevance Health Reports $2.25 Billion Net Income in Q1 2024, Unaffected by Change Healthcare Cyberattack

Elevance Health Reports Strong Financial Results Despite Change Healthcare Cyberattack

Elevance Health, formerly known as Anthem, announced impressive financial results for the first quarter of 2024, with a net income of $2.25 billion, marking a 12.2% increase from the same quarter in 2023. This comes despite the ongoing impact of the Change Healthcare cyberattack, which has significantly affected the revenue of hospitals and physician practices.

CEO and President Gail Boudreaux commended the company’s teams for their swift and effective response to the cyberattack, ensuring the protection of members’ data and the continuity of care provider operations. Elevance was able to quickly return to normal operations in terms of claims flow, with prior authorization provider payments and pharmacy claims remaining largely unaffected.

CFO Mark Kaye noted that Elevance initially experienced a reduction in daily data receipts from providers, but has since caught up on outstanding claim volumes and is now focused on completing necessary claims adjudication and processing activities.

Despite the challenges posed by the cyberattack, Elevance’s stock price saw a 1.31% increase to $532.07. The company reported operating revenue of $42.3 billion, driven by higher premium yields and growth in Carelon, including recent acquisitions such as BioPlus.

Elevance’s strategic growth initiatives include a partnership with Clayton, Dubilier & Rice to build an advanced primary care and physician-enablement business, as well as acquisitions to expand its pharmacy and infusion services. The company also continues to focus on serving Medicaid beneficiaries and improving its Medicare Advantage star ratings.

While the healthcare industry grapples with the financial impact of the cyberattack, Elevance’s strong financial performance and strategic initiatives position the company for continued growth and success in the future.

For more information, contact the writer at SMorse@himss.org.