Earnings: $7.16 per share adjusted, vs. $6.61 expected by analysts, according to LSEG.
Revenue: $100.08 billion adjusted, vs. $99.26 billion expected by LSEG.
UnitedHealth reported revenue of $99.80 billion, up from $91.9 billion in the same period last year. The adjusted $100.08 billion revenue figure excludes the impact from the cyberattack.
The company said it incurred a charge of around $7 billion during the quarter from selling its Brazil operations, according to a release Tuesday. The currency effects from the Brazil sale as well as adverse impacts from the cyberattack contributed to a net loss during the period, UnitedHealth said. The company reported it had a net loss of $1.41 billion, or $1.53 per share, compared with net income of $5.61 billion, or $5.95, a share, a year earlier.
UnitedHealth reported adjusted earnings of $6.91 per share for the quarter. The company said the adjusted figure excludes the Brazil sale, but only part of the impact from the cyberattack. It broke down the effects from the cyberattack into two categories: “direct response” and “business disruption” costs.
Direct response efforts, like UnitedHealth’s effort to restore Change Healthcare platforms, amounted to an impact of 49 cents per share in the quarter. Business disruption costs, like lost Change Healthcare revenue, amounted to 25 cents per share. UnitedHealth said its adjusted earnings figure included the business disruption impacts, but excluded the direct response costs. The $7.16 adjusted EPS figure excludes the entire impact from the cyberattack.
The company said the total impact from the cyberattack in the first quarter was 74 cents per share, and it expects the full-year impact to be between $1.15 and $1.35 per share.
UnitedHealth reported a medical cost ratio, which is the amount of every premium dollar that goes toward medical costs, of 84.3% for the first quarter. That included 40 basis points of impact from the cyberattack, the company said. Analysts were expecting an MCR of 83.8%, according to StreetAccount. A lower ratio typically indicates higher profitability.
Shares of UnitedHealth rose more than 5% Tuesday morning. As of Monday’s close, the stock was down around 15% for the year.
UnitedHealth is made up of two major business units: Optum and UnitedHealthcare. Optum offers a range of pharmacy services, consulting services and provides medical care for around 103 million consumers, according to the company’s website.
Optum reported $61.1 billion in revenue for the first quarter, up from $54.1 billion in the same period last year. UnitedHealth said Optum’s revenue growth was led by its patient care and pharmacy arms due to “strong expansion” in the number of people served.
In 2022, Optum completed a $13 billion merger with Change Healthcare, which offers tools for payment and revenue cycle management. Change Healthcare processes more than 15 billion billing transactions annually, and one in every three patient records passes through its systems, according to the company.
UnitedHealth disclosed in February that a cyberthreat actor breached part of Change Healthcare’s information technology network, prompting the company to immediately disconnect the affected systems. The fallout has been far reaching across the health-care sector, as many doctors were left without a way to fill prescriptions or get paid for their services.
The company has been working to bring systems back online in recent weeks, and UnitedHealth said Tuesday that it has advanced more than $6 billion to health-care providers in need of assistance.
UnitedHealth said it continues to make “significant progress” in restoring Change Healthcare’s services.
“I’m immensely grateful for our colleagues who continue to work tirelessly — day and night — to restore services, free up funds for providers and protect the broader health system.,” UnitedHealth CEO Andrew Witty said during the company’s quarterly call with investors.
UnitedHealth’s other business unit, UnitedHealthcare, provides insurance coverage and benefit services to millions of Americans, according to its website. UnitedHealthcare reported revenue of $75.4 billion for the first quarter, up from $70.5 billion a year ago.
The company said the growth was driven by an increase in the number of people that UnitedHealthcare serves in the U.S. The unit’s total number of domestic consumers served grew by 2 million during the first quarter.
UnitedHealth said it updated its full-year net earnings outlook and expects to report between $17.60 and $18.20 per share, largely due to the cyberattack and the Brazil sale.
During the company’s earnings call, UnitedHealth CFO John Rex said UnitedHealthcare is “pretty much back to normal in terms of claim submission activity” in the wake of the cyberattack. He said claims are flowing as expected.
In late February, the U.S. Department of Justice reportedly launched an antitrust investigation into UnitedHealth, according to a report from the Wall Street Journal. The company declined to comment on the matter during its investor call.
People stand in front of an Apple store in Beijing, China, on April 9, 2025.
Tingshu Wang | Reuters
Apple iPhone sales in China rose in the second quarter of the year for the first time in two years, Counterpoint Research said, as the tech giant looks to turnaround its business in one of its most critical markets.
Sales of iPhones in China jumped 8% year-on-year in the three months to the end of June, according to Counterpoint Research. It’s the first time Apple has recorded growth in China since the second quarter of 2023.
Apple’s performance was boosted by promotions in May as Chinese e-commerce firms discounted Apple’s iPhone 16 models, its latest devices, Counterpoint said. The tech giant also increased trade-in prices for some iPhone.
“Apple’s adjustment of iPhone prices in May was well timed and well received, coming a week ahead of the 618 shopping festival,” Ethan Qi, associate director at Counterpoint said in a press release. The 618 shopping festival happens in China every June and e-commerce retailers offer heavy discounts.
Apple’s return to growth in China will be welcomed by investors who have seen the company’s stock fall around 15% this year as it faces a number of headwinds.
Since then, Huawei has aggressively launched devices in China and has even begun dipping its toe back into international markets. The Chinese tech giant has found success eating away at some of Apple’s market share in China.
Huawei’s sales rose 12% year-on-year in the second-quarter, according to Counterpoint. The firm was the biggest player in China by market share in the second quarter, followed by Vivo and then Apple in third place.
“Huawei is still riding high on core user loyalty as they replace their old phones for new Huawei releases,” Counterpoint Senior Analyst Ivan Lam said.
Chinese tech giant Baidu has bolstered its core search platform with artificial intelligence in the biggest overhaul of the product in 10 years.
Analysts told CNBC the move was a bid to keep ahead of fast-moving rivals like DeepSeek, rather than traditional search players.
“There has been some small pressure on the search business but the focus on AI and Ernie Bot is a key move ahead,” Dan Ives, global head of tech research at Wedbush Securities, told CNBC by email. Ernie Bot is Baidu’s AI chatbot.
“Baidu is not waiting around to watch the paint dry, full steam ahead on AI,” he added.
Baidu AI overhaul
Baidu is China’s biggest search engine, but — as is also being seen by Google — the search market is being disrupted.
Users are flocking instead to AI services such as ChatGPT or DeepSeek, which shocked the world this year with its advanced model it claimed was created at a fraction of the cost of rivals.
But Kai Wang, Asia equity market strategist at Morningstar, also noted that short video platforms such as Douyin and Kuaishou are also getting into AI search and piling pressure on Baidu.
To counter this, Baidu made some major changes to its core search product:
Users can now enter more than a thousand characters in the search box, versus 28 previously;
Questions can be asked in a more direct and conversational manner, mirroring how people now use chatbots;
Users can ask questions through voice but also prompt the seach engine with pictures and files;
Baidu has integrated its AI chatbot features, which enable users to generate photos, text and videos, into the product.
“This is more aligned with how people use ChatGPT and DeepSeek in terms of how they look for answers,” Wang said.
Outside of China, Google has also been looking to enhance its core search product with AI, highlighting how search has been under pressure from the burgeoning technology.
Baidu on the offense
Baidu was one of China’s first movers when it came to AI, releasing its first models and ChatGPT-style product Ernie Bot to the public in 2023. Since then, it has aggressively launched updated AI models.
However, the Beijing-headquartered company has also faced intense competition from fellow tech giants like Alibaba and Tencent, as well as upstarts such as DeepSeek.
These companies have also been launching new models and infusing AI into their products and Baidu’s stock has fallen behind as a result. Baidu shares have risen around 2.5% this year, versus a 30.5% surge for Alibaba and a 20% rise for Tencent.
“This is a defensive and offensive move … Baidu needs to be aggressive and perception-wise show they are not the little brother to Tencent on the AI front,” Wedbush Securities’ Ives added.
Founded in 2022, ElevenLabs is an AI voice generation startup based in London. It competes with the likes of Speechmatics and Hume AI.
Sopa Images | Lightrocket | Getty Images
LONDON — ElevenLabs, a London-based startup that specializes in generating synthetic voices through artificial intelligence, has revealed plans to be IPO-ready within five years.
The company told CNBC it is targeting major global expansion as it prepares for an initial public offering.
“We expect to build more hubs in Europe, Asia and South America, and just keep scaling,” Mati Staniszewski, ElevenLabs’ CEO and co-founder, told CNBC in an interview at the firm’s London office.
He identified Paris, Singapore, Brazil and Mexico as potential new locations. London is currently ElevenLabs’ biggest office, followed by New York, Warsaw, San Francisco, Japan, India and Bangalore.
Staniszewski said the eventual aim is to get the company ready for an IPO in the next five years.
“From a commercial standpoint, we would like to be ready for an IPO in that time,” he said. “If the market is right, we would like to create a public company … that’s going to be here for the next generation.”
Undecided on location
Founded in 2022 by Staniszewski and Piotr Dąbkowski, ElevenLabs is an AI voice generation startup that competes with the likes of Speechmatics and Hume AI.
The company divides its business into three main camps: consumer-facing voice assistants, integrations with corporates such as Cisco, and tailor-made applications for specific industries like health care.
Staniszewski said the firm hasn’t yet decided where it could list, but that this decision will largely rest on where most of its users are located at the time.
“If the U.K. is able to start accelerating,” ElevenLabs will consider London as a listing destination, Staniszewski said.
The city has faced criticisms from entrepreneurs and venture capitalists that its stock market is unfavorable toward high-growth tech firms.
Meanwhile, British money transfer firm Wiselast month said it plans to move its primary listing location to the U.S.,
Fundraising plans
ElevenLabs was valued at $3.3 billion following a recent $180 million funding round. The company is backed by the likes of Andreessen Horowitz, Sequoia Capital and ICONIQ Growth, as well as corporate names like Salesforce and Deutsche Telekom.
Staniszewski said his startup was open to raising more money from VCs, but it would depend on whether it sees a valid business need, like scaling further in other markets. “The way we try to raise is very much like, if there’s a bet we want to take, to accelerate that bet [we will] take the money,” he said.
