Humana Lifts Full-Year Earnings Guidance
September 15 2022 - 7:07AM
Dow Jones News
By Dean Seal
Humana Inc. on Thursday raised its full-year profit and adjusted
earnings outlook to reflect lower-than-expected medical cost trends
and the lack of a Covid-19 headwind this year.
The health insurance company said it now expects earnings of
about $23.08 a share for fiscal year 2022, up from its prior
forecast of $20.30 a share.
Stripping out one-time items, adjusted earnings are expected to
be about $25 a share, compared with its previous guidance of about
$24.75 a share.
The adjustments were driven by lower cost trends in Humana's
Medicare Advantage and Medicaid businesses and the lack of a
Covid-19 headwind, the company said. The company no longer deems it
necessary to include a discrete Covid-19 headwind in its full-year
guidance, it said.
Humana said the 25 cents of additional per-share adjusted
earnings it expects for the year will be invested into marketing
for the company's 2023 Medicare Advantage annual election period,
assuming those funds aren't needed to cover a
stronger-than-expected flu season.
Shares rose 5% to $481.50 in premarket trading.
Write to Dean Seal at dean.seal@wsj.com
(END) Dow Jones Newswires
September 15, 2022 07:52 ET (11:52 GMT)
Copyright (c) 2022 Dow Jones & Company, Inc.
Humana (NYSE:HUM)
Historical Stock Chart
From Aug 2024 to Sep 2024
Humana (NYSE:HUM)
Historical Stock Chart
From Sep 2023 to Sep 2024
