Anthem, Indianapolis, said net income almost doubled to $171.9 million, or $1.19 per share, in the fourth quarter ended Dec. 31 and grew by 60% to $549.1 million, or $4.51 per share, for all of 2002. A key factor in Anthem's financial performance was increased membership, including 2.2 million members gained in the acquisition of Trigon Healthcare, Richmond, Va. Revenue grew 50% to $3.9 billion for the fourth quarter and 28% to $13 billion for the year. Anthem ended the year with 11.1 million members, a 40% increase from 2001. For 2003 Anthem raised its earnings projections by 10 cents to $4.85 per share.
Humana, Louisville, Ky., reported a loss of $1.7 million, or 1 cent per share, in the fourth quarter, following a $58.2 million charge related to its recent consolidation efforts. That compares with net income of $35.1 million, or 21 cents per share, in the year-ago period. For the year, Humana said its earnings grew 21% to $142.8 million, or 85 cents per share. Revenue rose 9% to $2.86 billion for the fourth quarter and 10% to $11.26 billion for the year. Membership increased 3% to 6.6 million. Humana announced in December that it would cut 2,300 jobs, or about 17% or its workforce, this year partly because of the closing of three customer-service centers. In connection, the company expects to record additional charges of about 12 cents per share in the first half of this year. The company projects 2003 earnings of $1.23 per share to $1.28 per share. -- by Laura B. Benko