Revenue growth helped UnitedHealth Group Inc. overcome lower health care services profit margins during the first quarter.
UnitedHealth, Minnetonka, Minn., is reporting $899 million in net income for the latest quarter on $18 billion in revenue, up from $743 million in net income on $11 billion in revenue for the first quarter of 2005.
UnitedHealth is predicting that its new Medicare Part D prescription drug plans will achieve an operating profit margin of about 3% over the course of the year, but the plans started out with a negative profit margin, or loss, of about 7%.