Centene Corp. registered sizable top- and bottom-line growth in the third quarter. The managed-care company is benefiting directly from the Patient Protection and Affordable Care Act, and executives believe profitability will remain high through the rest of this year and beyond.
Membership exploded again at St. Louis-based Centene. That increase drove much of the increase in revenue and earnings. The health insurer said as of Sept. 30, it covered more than 3.7 million people, a 42% increase from the same period a year ago.
Medicaid is the largest portion of Centene's business. Centene's Medicaid population was almost 2.6 million people, as of Sept. 30, up 32% from last year. Under the ACA, income eligibility for Medicaid expanded this year to 138% of the federal poverty level. Centene covers 193,100 Medicaid expansion lives in California, Illinois, Massachusetts, New Hampshire, Ohio and Washington. That's up significantly from the first quarter of this year, when Centene's Medicaid expansion population was 99,700.