Amerigroup Corp., Virginia Beach, Va., saw its year-end and fourth-quarter profits rise substantially thanks to acquisitions and stabilizing medical costs. For the year ended Dec. 31, 2003, net income at the Medicaid managed-care company climbed 43% to $67.3 million, or $2.95 per share, from $47 million, or $2.19 per share, in 2002. Revenue rose 40% to $1.6 billion. Full-year membership increased 45% to 857,000. For the fourth quarter, net income rose 48% to $17.5 million, or 69 cents per share, from $11.8 million, or 54 cents per share, in the year-ago quarter. Revenue jumped 37% to $424.2 million. Amerigroup said it expects 2004 per-share earnings of $3.09 to $3.14 on revenue growth of 10% to 12%. The company provides managed-care coverage to beneficiaries of Medicaid and related programs in the District of Columbia, Florida, Illinois, Maryland, New Jersey and Texas. -- by Laura B. Benko
Medicaid managed-care plan sees profits rise
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