Unitedhealth Group Incorporated · NYSE:UNH
Unitedhealth — Investor Presentation (2019)
23 slides from Unitedhealth's investor presentation, 2019
Slide 1: Optum Presentation
Optum Presentation
Slide 2: Growth momentum
Growth momentum 2019 EXPECTED GROWTH REVENUE EARNINGS $412.1B $9.35B 11% year over year growth 14% year over year growth Growth momentum a ~ oO 4x 50% revenues since 2011 of UnitedHealth Group operating earnings OPTUM 1
Slide 3: We believe better health outcomes are possible at societal scale
dedicated people of Optum serving Optum consumers WE BELIEVE better health outcomes and experiences, at a lower cost, are possible at a societal scale OPTUM 2
Slide 4: Our capabilities
Our capabilities CLINICAL EXPERTISE a © DATA&® * ” ANALYTICS EMBEDDED an 9 Oe CONSUMER TECHNOLOGIES ge EXPERIENCE in the power of connections OPTUM 3
Slide 5: Delivering on our strategic agenda
Make a greater impact on quality, experiences and costs Delivering on our strategic agenda PD, local care delivery condition-centric management > OPTUM 4
Slide 6: Reinventing local care delivery
WE BELIEVE in connected, patient-centric local care Reinventing local care delivery When you meet us , you've met us @ if Urgent and Pharmacy care Behavioral High-value surgical care services health network specialists Serving payers through OptumCare a HouseCalls A OPTUM 5
Slide 7: Reinventing local care delivery: Texas practices
Reinventing local care delivery A5 Mi Americans struggle with mental illness tna 500 community pharmacies located in mental health centers eee Oo medication adherence, nearly % aut: he oe 90 Yo + double most retail pharmacies s OptumCare practices in Texas 30%+ "9% cost savings vs. in hospital fee-f
Slide 8: OptumCare practices in New Jersey and Southern California
OptumCare practices in New Jersey "37% ‘10% emergency visits among patients served Medicaid members from 3 years ago OptumCare practices in Southern California 30 ~3x payers people served in value-based served arrangements over last 3 years OPTUM 7
Slide 9: Reinventing local care delivery: uniting care and coverage
Reinventing local care delivery UNITES CARE AND COVERAGE “ 2 0 of savings when compared to 0] UnitedHealthcare similar offerings A Reinventing local care delivery increase in patients served through value-based contracts in the last year Business Combinations + Organic Growth A OPTUM 8
Slide 10: Reinventing local care delivery: physicians and evidence-based medicine
Reinventing local care delivery physicians 1 0 k physicians 46 k+ added last year optum Reinventing local care delivery EMBEDDED INTO CLINICIAN’S WORKFLOW EVIDENCE-BASED MEDICINE WITH POINT-OF-CARE TECHNOLOGY 50 0K ++ reduction in knee procedures through 0] use of appropriate alternatives optum OPTU
Slide 11: Supporting the whole person throughout their care journey
Reinventing local care delivery pa JOHN MUIR HEALTH 3) A % Revenue cycle Information Managed management technology analytics WE BELIEVE in supporting the whole person, ghout their care journey Care coordination OPTUM 10
Slide 12: Advancing condition-centric management: comprehensive cancer care
Advancing condition-centric management COMPREHENSIVE CANCER CARE Launched first condition-centric model DATA AND EVIDENCE-BASED PROTOCOLS Advancing condition-centric management CANCER GUIDANCE PROGRAM Providing oncologists real-time view Consistent with National Comprehensive of treatment plans Canc
Slide 13: Cancer guidance program results
Advancing condition-centric management CANCER GUIDANCE PROGRAM 10) "G0 60%+ 6% 22M treatments automatically Inpatient members approved admissions with access OPTUMCare Cancer Center ~600 ~30% new patients referred oncology drug each month costs for seniors OPTUM 12
Slide 14: Advancing condition-centric management: specialty drugs
Advancing condition-centric management ~| ~50% of total pharmaceutical market spending due to specialty drugs by 2022 24% average lower specialty costs from our @ advanced specialty management strategies FA ~50% savings per at-home infusion compared to hospital setting ™» Optum Banke RALLY AVAILABLE
Slide 15: Distinctive societal returns
Distinctive societal returns WE BELIEVE we have the right people, expertise and capabilities to create a connected system to deliver better quality, experiences and affordability Growth of artificial intelligence in health care $40M > $20B average expected investment collective per organization over
Slide 16: Connecting clinical data across the health system
connecting information and people is the key to achieving true system transformation Connecting clinical data across the health system INTEROPERABILITY SOLUTIONS standardize Right person Right system Right time information sharing leverage billions of transactions es, OPTUM 15,
Slide 17: Interoperability solutions
Connecting clinical data across the health system INTEROPERABILITY SOLUTIONS Connecting clinical data across the health system Enabling providers to make sereeseseeneeneeey >» more informed decisions at point of care INTEROPERABILITY SOLUTIONS OPTUM 16
Slide 18: Advanced technologies
Advanced technologies Artificial Intelligence hundreds of machine learning ZN models help predict onset of disease sooner Advanced technologies Pharmacogenomics matching consumer medications to genetic makeup to prevent adverse drug reactions OPTUM 17
Slide 19: Simplifying health care administration
Simplifying health care administration Q optum360 9 out of 10 ~$70B hospitals annual billings Expanding our reach and impact OUR OPPORTUNITY $1.47+ $850B+ lobal addressable US addressable health ealth services market services market OPTUM 18
Slide 20: OptumHealth and OptumInsight outlook
OptumHealth REVENUE EARNINGS ($ billions) ($ billions) 27-30% -28% 424% > Saat 423% > ss $3.75- $30.0 $3.85 ae 2018 2019E 2020P 2018 2019E 2020P CONSUMERS SERVED (lives in millions) 2019E 2020P Range Consumer lives 96 Growth REVENUE PER CONSUMER SERVED (per month) 2019E 2020P Range Revenue per $26.0
Slide 21: OptumRx and 2019 performance
OptumRx REVENUE EARNINGS ($ billions) ($ billions) 1-9% 16%» __ 458% > ——*s __#8% > $6915 Ge $3.85 $4.05- 2018 2019E 2020P 2018 2019E 2020P ADJUSTED SCRIPTS (scripts in millions) 2019E 2020P Range Adjusted scripts 1,330 1,280 — 1,300 Growth (1%) (4%) - (2%) Pro forma growth! 7% -8% OPERATING MARGIN
Slide 22: 2020 outlook
2020 outlook Revenue OptumHealth $ 30,000 $38,000 - $39,000 27% - 30% Optuminsight 9,900 11,000 - 11,500 11% - 16% OptumRx 73,700 79,000 - 80,000 7% - 9% Optum (including eliminations) $ 112,100 $127,000 - $128,000 13% - 14% Operating earnings OptumHealth $ 3,000 $3,750 - $ 3,850 25% - 28% Optuminsi
Slide 23: OPTUM 22
ar 1 ba Vil a for customers, and experiences for patients, and for shareholders & OPTUM OPTUM 22