The review of the Net Profit Margin showed a fluctuating trend. It decreased from 5.99% in 2020 to 3.6% in 2024.
The average EBIT Margin during this period was 8.5%.
In the current year, UNITED HEALTH was able to cover its interest liabilities 8.3 times, compared to 13.47 times in 2020.
The Asset Turnover increased to 1.34 times in 2024, up from 1.30 in 2020, indicating a consistent performance in utilizing assets relative to revenue.
Profitability
The revenue of United Health has shown consistent year-on-year growth. It increased by 9% from 2020 to 2021, followed by a further rise of 12.71% from 2021 to 2022. Additionally, there was a 7.7% increase recorded between 2023 and 2024, which is the current period.
United Health’s profitability performance is also strong, as evidenced by a notable return on capital employed throughout the analysis period.
Liquidity
The company’s liquidity results appear poor, with the current ratio rising from 0.79:1 to 0.83:1 over the last year. This indicates that the company lacks sufficient assets to cover its current liabilities.
Capital Structure
UNITED HEALTH is financed through both equity and debt. The debt-to-equity (D/E) ratio has been declining year on year. The company’s gearing position appears high, standing at 204% this year.