Pittsburgh-based Highmark Health Monday announced net earnings of close to $47 million for 2022.
The company, with offices in Allentown and Easton, said consolidated financial results for the 2022 fiscal year, included $26 billion in revenue, an operating gain of $440 million, and a net loss of $346 million.
The insurance business units, which include Highmark Health Plans, United Concordia Dental and HM Insurance Group, posted positive results, Highmark Healthcare said.
In addition, Allegheny Health Network showed increased patient volumes year-over-year, but faced cost pressures due to supply chain issues, inflation and higher labor costs and shortages, the company said.
“Despite facing multiple challenges, Highmark Health is in a strong, stable position. This strength and stability allows us to deliver on our Living Health promise to build a health, coverage, and care ecosystem that works better for everyone,” said David Holmberg, president
and CEO of Highmark Health. “We continue to deliver on a longstanding promise to play a leading role in strengthening the health and economic resilience of the communities we serve. And we have confidence in our financial performance and capital plan, our Living Health strategy, and our people.”
Highmark Health maintained a strong balance sheet with $11 billion in cash and investments and net assets of $9 billion as of December 31, 2022.
The organization’s strong financial performance allowed Highmark Health to provide more than $300 million in community support, including charity care, uncompensated care, and corporate giving, and direct more than $900 million toward capital investments to support building the organization’s blended health model, Highmark Health said.
“What we said, and proved, during the pandemic, is just as true in this economic environment: Highmark Health is built for this. In good times or bad, we have the strength and flexibility to adapt to challenges and continue providing exceptional service to our customers, members, patients and communities,” Holmberg said.
“Highmark Health experienced headwinds from staffing challenges, equity portfolio performance, and supply chain issues throughout 2022, and we expect some of those challenges will continue into 2023,” said Janine Colinear, senior vice president of finance and interim CFO and treasurer of Highmark Health. “However, the diversity of our business model, our continued growth through partnerships and affiliations, and strong performance will allow us deliver on our mission to create a remarkable health experience, freeing people to be their best.”