Pennsylvania-based insurer and care delivery network Highmark Health recorded $7.4 billion in revenue and $223 million in net income during the second quarter.
Combined with first-quarter results, Highmark’s revenue is 8% higher year over year compared to the first half of 2023.
Executives credited Highmark Health Plans, United Concordia Dental and HM Insurance Group for the robust results.
"Highmark Health continues to be financially strong and stable, positioning our organization to adapt and succeed as the healthcare landscape continues to evolve," said Carl Daley, chief financial officer and treasurer of Highmark Health, in a news release.
After entering southeastern Pennsylvania, with plans to launch Medicare Advantage products in 2025, the health plan's segment said membership was stronger than anticipated.
Still, high pharmaceutical costs, utilization trends and Medicaid redeterminations are headwinds to the business.
Highmark also said Allegheny Health Network, its care delivery division, has seen higher patient volumes across “nearly all care delivery areas” with the biggest gains in emergency room visits (7% increase) and outpatient registrations (6% increase). The volume increases are in line with the trends being reported by other health systems for the most recent quarter.
AHN has reported $2.5 billion in operating revenue across the year's first six months. The system achieved a $34.9 million EBITDA in the second quarter, similar to its performance during the first quarter, and will invest $1 billion into its flagship Allegheny General Hospital over the next decade.
HM Insurance Group, the company’s stop loss business, posted $24 million in operating gain during the second quarter, while United Concordia Dental posted $22 million in operating gain in the second quarter.
HM Specialty, an accident and health reinsurer within HM Insurance Group, has grown this year and is a driving factor in HM Insurance Group’s results, the company said.
For its IT services company, enGen, the platform has made more than half a billion dollars in operating revenue in the first half of 2024.
Editor's Note: The investment to Allegheny General Hospital and the Q2 operating gains of HM Insurance Group and United Concordia Dental is clarified.