Humana posted a loss of $95 million, or 58 cents per share, for the second quarter ended June 30, due to charges of $130 million for restructuring and expected losses on insurance contracts.
As the company projected, increased utilization caused net income before those charges to drop 22% to $35 million, or 22 cents per share, from $45 million, or 28 cents per share, in the year-ago quarter. Revenues for the quarter grew 60% to $1.6 billion from $1 billion a year ago.
For the six months, Humana lost $42 million, or 26 cents a share, compared with net income of $98 million, or 60 cents per share, a year ago. Revenues for the period grew 48% to $3.1 billion from $2.1 billion from the prior year as a result of the October 1995 acquisition of Emphesys Financial Group.