Centene posted strong second-quarter earnings growth Tuesday on a 10% increase in revenue and 7% rise in membership over the prior-year quarter.
The St. Louis-based managed-care plan reported net income from operations of $280 million in the quarter on revenue of $12 billion, thanks to improvements in its exchange marketplace business nationally.
That compared with earnings from operations of $225 million in the year-earlier quarter on revenue of $10.9 billion.
"We are pleased with the strong second quarter performance across our product lines," said CEO Michael Neidorff. "The marketplace business continues to be particularly strong, confirming our business as usual approach."
Membership ballooned by 788,300 enrollees to 12.2 million in the quarter fueled by a surge in exchange business, the company said in Tuesday's earnings release.
It was particularly pronounced in Missouri, where Centene's membership rose to 278,300 in the quarter from 102,900 in the year-earlier period.
Meantime, Centene kept costs in check.
Its medical loss ratio, or the percentage of premium dollars used for care, touched 86.3% in the quarter compared to 86.6% in the prior-year quarter.
Centene has big growth plans for Nevada. This month its Nevada subsidiary, SilverSummit Healthplan, began serving Medicaid recipients enrolled in Nevada's Medicaid managed care program, the company said
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