How Does Elevance Health Make its Money?
Elevance Health (formerly Anthem) is the second-largest health insurance company in the United States, serving over 46 million medical members. The company operates the largest portfolio of Blue Cross Blue Shield plans in the nation, covering members in 14 states. Beyond traditional insurance, Elevance has been building its Carelon health services division, which provides pharmacy benefits management, behavioral health, palliative care, and clinical solutions. This vertical integration strategy mirrors UnitedHealth’s Optum playbook, aiming to diversify revenue beyond insurance premiums.
Elevance Health (ELV) Business Model
Elevance Health operates in the healthcare sector. Below is a summary of Elevance Health’s revenue streams, how the company generates income, and the key financial metrics from its most recent annual report. This breakdown uses data from Elevance Health’s 2024 fiscal year filings with the SEC.
Elevance Health Competitors
Elevance Health’s key competitors and comparable public companies in the healthcare sector include UnitedHealth Group, CVS Health, and HCA Healthcare. Each of these companies competes for market share, investor attention, and revenue in overlapping segments. See how Elevance Health stacks up by comparing their revenue breakdown, margins, and growth metrics.
Elevance Health Competitors
Elevance Health’s key competitors and comparable public companies in the healthcare sector include UnitedHealth Group, CVS Health, and HCA Healthcare. Each of these companies competes for market share, investor attention, and revenue in overlapping segments. See how Elevance Health stacks up by comparing their revenue breakdown, margins, and growth metrics.
Elevance Health Competitors
Elevance Health’s key competitors and comparable public companies in the healthcare sector include UnitedHealth Group, CVS Health, and HCA Healthcare. Each of these companies competes for market share, investor attention, and revenue in overlapping segments. See how Elevance Health stacks up by comparing their revenue breakdown, margins, and growth metrics.
Elevance Health Competitors
Elevance Health’s key competitors and comparable public companies in the healthcare sector include UnitedHealth Group, CVS Health, and HCA Healthcare. Each of these companies competes for market share, investor attention, and revenue in overlapping segments. See how Elevance Health stacks up by comparing their revenue breakdown, margins, and growth metrics.
Elevance Health Competitors
Elevance Health’s key competitors and comparable public companies in the healthcare sector include UnitedHealth Group, CVS Health, and HCA Healthcare. Each of these companies competes for market share, investor attention, and revenue in overlapping segments. See how Elevance Health stacks up by comparing their revenue breakdown, margins, and growth metrics.
Revenue Breakdown
| Segment | 2024 | 2023 | YoY Growth |
|---|---|---|---|
| Health Benefits (Commercial, Medicare, Medicaid) | $145,000 | $136,000 | +6.6% |
| Carelon (Pharmacy, Behavioral, Clinical Services) | $30,500 | $26,000 | +17.3% |
| Other Revenue | $1,500 | $1,400 | +7.1% |
| Total Revenue | $177,000 | $163,000 | +8.6% |
Health Benefits (Commercial, Medicare, Medicaid) — 82% of Revenue
Carelon (Pharmacy, Behavioral, Clinical Services) — 17% of Revenue
Other Revenue — 1% of Revenue
Income Statement Overview
| Metric | 2024 | 2023 |
|---|---|---|
| Total Revenue | $177,000 | $163,000 |
| Cost of Revenue | $149,000 | $136,000 |
| Gross Profit | $28,000 | $27,000 |
| Operating Expenses | $17,800 | $17,200 |
| Operating Income | $10,200 | $9,800 |
| Net Income | $6,000 | $6,000 |
All values in millions USD unless otherwise stated.
Key Financial Metrics
- Gross Margin: 15.8%
- Operating Margin: 5.8%
- Revenue Growth: 8.6%
Is Elevance Health Profitable?
Yes, Elevance Health is profitable. The company reported net income of $6,000 on total revenue of $177,000. With an operating margin of 5.8%, Elevance Health demonstrates solid profitability for the healthcare sector. The gross margin of 15.8% reflects Elevance Health’s pricing power and cost structure.
What to Watch
- Medical cost trends and benefit expense ratio normalization
- Carelon health services growth and contribution to total earnings
- Medicaid redetermination impact on membership and revenue
- Medicare Advantage star ratings and enrollment growth trajectory
Elevance Health (ELV) Financial Summary
Elevance Health (ELV) is a healthcare company that generated $177,000 in total revenue in fiscal year 2024. Revenue grew 8.6% year-over-year. The company earned $6,000 in net income, making it profitable. For a deeper look at Elevance Health’s revenue breakdown, business segments, and financial performance, review the detailed analysis above.