Press Release

• Highmark Health's total revenues grew 11%, up more than $3 billion, from 2024 to 2025
• Allegheny Health Network reports 11% revenue growth, $90 million operating income, a $237 million improvement year over year
• Highmark Health Plans reports 12% revenue growth, $609 million operating loss
• Diversified businesses report 7% revenue growth, United Concordia Dental records $88 million operating gain

Highmark Health 2025 Year-End Financials

PITTSBURGH (March 24, 2026) — Highmark Health today announced consolidated financial results for the twelve months ended Dec. 31, 2025, with $32.4 billion in revenue, a $674 million operating loss, and a $175 million net loss.

Top-line revenue growth of more than $3 billion represents an 11% increase, reflecting continued demand for the organization's products and services, even as shifting economic forces reshape how care is delivered and financed.

Despite sustained insurance claims pressure, Highmark Health maintained a strong balance sheet — with $11.8 billion in cash and investments and net assets of $9.8 billion as of Dec. 31 — and continues to pursue strategic growth opportunities.

In December 2025, Highmark Health announced an affiliation agreement between Highmark Inc. and Blue KC (Blue Cross and Blue Shield of Kansas City). With $3 billion in annual revenue, 1,200 employees and 1 million members, Blue KC is Missouri's largest nonprofit health insurer. That affiliation will close March 31, 2026.

In October 2025, Highmark Health and its provider organization, Allegheny Health Network (AHN), announced an affiliation agreement with Heritage Valley Health System, a two-hospital provider network with annual revenues of $500 million that serves Allegheny, Beaver, Butler and Lawrence counties in Southwestern Pennsylvania; eastern Ohio; and the panhandle of West Virginia.

Pending regulatory approvals, the Heritage Valley affiliation will take effect in 2026.

"Highmark Health's diverse business portfolio and growth strategy are critical to navigating the significant challenges of this industry and ensuring our long-term success," said David Holmberg, Highmark Health CEO. “That organizational strength has enabled us to be transformative in addressing opportunities to make health care more accessible, effective and affordable through our Living Health model and for the millions of people we serve across the country.”

For the year, strong 2025 performances by AHN (a 14-hospital care delivery network based in Pittsburgh) and United Concordia Dental (a dental insurance company that serves customers nationwide) were offset by continued pressure on health-plan and stop-loss businesses due to higher-than-expected utilization.

Even so, Highmark Health Plan remains the largest health insurer in the combined Pennsylvania, Delaware, West Virginia, and western New York market. Core Health Plan and BlueCard membership stood at nearly 7 million as of Jan. 1, 2026.

"Our scale is our strength, and the strategic affiliations we announced last year will broaden our reach and enhance access to care," said Carl Daley, chief financial officer and treasurer of Highmark Health.

Allegheny Health Network

AHN reported revenue of $5.7 billion for the 12 months ended Dec. 31, 2025, with operating income of $90 million, an improvement of $237 million year-over-year, reflecting overall volume growth within the provider system and the success of the AHN team's operational efficiency efforts. AHN's net earnings before interest, taxes, depreciation and amortization (net EBITDA) were $372 million for the year, an increase of $257 million compared to last year. These results include the favorable impact of $54 million in FEMA funds associated with prior years' COVID relief settlements.

Through Dec. 31, AHN reported increased year-over-year patient volumes in several categories, including:

• 3% increase in inpatient discharges and observations
• 5% increase in outpatient registrations
• 7% increase in physician visits
• 4% increase in emergency room visits

Highmark Health Plans

Highmark Health Plans reported $24.8 billion in operating revenue and a $609 million operating loss for the twelve months ended Dec. 31. While elevated utilization and claims trends are expected to persist industry-wide into 2026, the Health Plans have made adjustments to pricing and product mix across their portfolio of businesses, better positioning the Health Plans for recovery in the months ahead.

"The adjustments we have made, and our commitment to managing health costs, give us confidence that we can deliver improved financial results year-over-year in 2026 while continuing to advance our strategy and deliver on our mission," Daley said.

Diversified Businesses

Highmark Health's diversified businesses delivered $3.2 billion in consolidated operating revenue for the twelve months ended Dec. 31. United Concordia Dental reported $1.8 billion in operating revenue and $88 million in operating income.

HM Insurance Group reported $1.3 billion in operating revenue and a $107 million operating loss, due to an increase in frequency and severity of high-dollar claims.

"Though we expect challenges to persist, we have strategically repositioned our stop-loss businesses to improve the financial performance going forward," Daley said.