The World’s Biggest Healthcare Companies in 2018
Innovation in the services as well as products has been the primary focus healthcare companies 2017. Mergers and acquisitions of smaller healthcare companies were also one of the key strategies adopted during the year. Some of the biggest healthcare companies as of 2017 include:
It is one of the world’s top healthcare companies providing pharmaceuticals, medical products, healthcare systems and hospital services. Its offering extends to pharmaceutical, biotechnology and healthcare equipment industries. It posted a revenue growth of 4.9% in 2017 driven by increase in price and drug utilization. It did some smart acquisitions and extended its relationships with existing customers in its pharmaceutical distribution businesses in North America. It formed a joint venture with Change Healthcare Holdings in March 2017 to provide innovative solutions to payers, providers and consumers.
The Company provides medical benefits to people in the US and 130 other countries. It processes more than one trillion transactions a year and employs 285,000 people worldwide. Based in Minnesota, US, the company operates through its United Healthcare and Optum units with a revenue growth of 13% and 11% in 2017 respectively.
It witnessed a revenue growth of 4.1% in 2017 mainly driven by growth in its pharmacy network, prescription volumes and pharmacy benefit management (PBM) product introductions. Headquartered in Rhode Island, US, the company has more than 9,800 retail stores and up to 1,100 MinuteClinic medical facilities employing around 246,000 people. It entered into a merger agreement to acquire healthcare benefits company Aetna for $69bn in December 2017.
It is a sourcing and distribution Services Company engaged in providing pharmaceutical products to healthcare providers, veterinary practices and livestock producers. It recently acquired H D Smith an US-based company which is expected to drive the company's revenue further by up to 11% in 2018. Headquartered in Pennsylvania, US the company employs 20,000 people in 50 countries worldwide.
With revenue of $129.9bn in 2017 the company reported a revenue increase of 7% in 2017 mainly driven by its two business segments pharmaceutical and medical. Headquartered in Dublin, Ohio, US, the company provides medical products, pharmaceuticals and solutions to hospitals, pharmacies, healthcare systems, clinical laboratories, ambulatory surgery centers and physician offices. It acquired Patient Care, Deep Vein Thrombosis and Nutritional Insufficiency businesses from Medtronic for $6.1bn in July 2017 increasing its product offerings to approximately 21,000 stock-keeping units in 1,200 categories.
Express Scripts Holding:
Amongst the biggest pharmacy benefit managers in the US with recorded revenue of $100.06bn in 2017 mainly derived from delivery of prescription drugs which accounted for 98.2% of the total revenue. It offers a range of services starting from home delivery pharmacy care, specialty pharmacy care, network-pharmacy claims processing and benefit-design consultation. With an employee base of around 28,000 people worldwide and a client base of 3,000, the company was ranked as one of Fortune’s 2017 world’s most admired Companies.
With a revenue of $89.06bn and an increased of 5.8% year-on-year in 2017 has driven by revenue growth covering all of its segments, including commercial and speciality business (5.3%) and government business (6.2%).Headquartered in Indiana, US, the company is involved in providing medical and specialty products. The company’s medical enrolment witnessed a growth of by 0.8% in 2017 to reach 40.2 million, while enrolment in the commercial and specialty business increased by 278,000 members in 2017.The acquisition of 1st Choice in February 2018 increased the consumer base of its affiliated Medicare and Medicaid plans to 780,000 in Florida.
It operates through entities Kaiser Foundation Hospitals and its subsidiaries, Kaiser Foundation Health Plan and The Permanente Medical Groups. Headquartered in Oakland, California, it provides healthcare and coverage to 11.8 million US customers through its 39 hospitals and 680 medical facilities with a workforce of 213,087.It is one of the first companies to receive ‘Centers for Medicare & Medicaid Services’ Health Equity Award in February 2018.It acquired Washington-based Group Health Cooperative in February 2017, adding roughly 651,000 Group Health members and 6,000 employees to its business.
A healthcare benefits company based in the US which provides health insurance products and related services to almost 38 million people operating through its healthcare and large case pensions segments. Its insurance segment comprises of domestic group life insurance, group disability insurance and absence management businesses. It witnessed a decline in revenue by 4% in 2017, compared with $63.1bn in 2016, due to lower premiums in the healthcare segment, temporary suspension of the health insurer fee and because of sale of its group insurance segment to Hartford Life and Accident Insurance Company in November for $1.45bn.
It operates through its retail, group and specialty, healthcare services, and individual commercial segments. Based in Louisville, Kentucky it serves close to 260,000 people through 195 clinics across 27 markets. Its revenues decreased by 1% in 2017 due to lower revenue from its individual commercial segment. It signed a definitive agreement to sell its KMG America Corporation subsidiary to Continental General Insurance Company in November 2017.It signed a agreement to buy 40% minority stake in Kindred at Home Division of Kindred Healthcare for $800m in December 2017.It opened 15 new clinics in seven markets in 2017.
- Pawan Mudholkar