Dive Brief:
- Optum has tapped its second chief financial officer in fewer than six months, confirming to Healthcare Dive that Ben Eklo, a longtime finance executive with the company, is stepping into the role.
- Eklo is replacing Roger Connor, who was named the CFO of Optum in May, effective Nov. 1, a spokesperson said.
- It’s the latest management shakeup at Optum’s parent company UnitedHealth, which has struggled amid acute operational, regulatory and public relations challenges this year.
Dive Insight:
Connor is departing Optum to return to the United Kingdom to spend more time with his family, according to an internal memo reviewed by Bloomberg. Eklo, who’s been with UnitedHealth for almost two decades, will step up as CFO in his place.
“This change reflects our broad commitment toward optimal execution across the company that will help drive improved performance for years to come,” the UnitedHealth spokesperson said.
As Optum’s CFO, Eklo will manage the finances of a division that’s larger than most standalone companies, with more than $250 billion in annual revenue.
Optum includes UnitedHealth’s massive pharmacy benefits business, provider network, data and technology assets, and more. The subsidiary is one of UnitedHealth’s two main reporting divisions, yet accounts for more than half of its total operating income.
Eklo’s appointment is the latest in a flurry of executive changes this year as UnitedHealth attempts to shore up investor confidence amid a series of recent crises, including a massive cyberattack, the killing of a top insurance executive and rising medical costs in its insurance business.
In April, UnitedHealth slashed its 2025 outlook and underperformed earnings targets for the first time in more than a decade. One month later, CEO Andrew Witty abruptly stepped down and was replaced by Stephen Hemsley, the chair of UnitedHealth’s board and its former CEO.
Since then, Hemsley has tapped a new chief financial officer and replaced leaders at care delivery unit Optum Health, data and analytics arm Optum Insight and payer business UnitedHealthcare.
The CEO has also committed to greater public transparency and accountability, forming a new board committee to oversee those efforts.
The changes have yet to reassure investors. UnitedHealth’s stock has recovered somewhat since the spring, but is still down more than 28% year to date. Some shareholders are also concerned about a loss of oversight with Hemsley holding the top board and management jobs.
UnitedHealth is set to report third quarter earnings before market open on Oct. 28.
