Humana Inc. posted strong third-quarter results, beating the Wall Street consensus earnings projection. The firm credited its lower-than-expected medical loss ratio (MLR), financial tailwinds from merger and acquisitions (M&A) and its yearlong value-creation plan as the main drivers of the results.
The insurer reported $6.88 in adjusted earnings per share (EPS), beating the consensus projection of $6.27. Executives maintained their estimated end-of-year adjusted EPS of approximately $25.00. Centene’s MLR was 85.6%, and its total revenues reached $22.79 billion in the quarter, up from $20.6 billion in the third quarter last year. Executives said they project membership growth in 2023 of 325,000 to 400,000 members, or 7.1% to 8.7%.