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Jun 30, 2024
Centene Q2 2024 Earnings Report
Centene's financial results for the second quarter of 2024 were announced, featuring a diluted EPS of $2.16 and an adjusted diluted EPS of $2.42.
Key Takeaways
Centene Corporation reported a 3% increase in premium and service revenues, reaching $36.0 billion, and an adjusted diluted EPS of $2.42, a 15% increase from Q2 2023. The company reaffirms its 2024 adjusted diluted EPS guidance floor of greater than $6.80. While Medicaid faces challenges, overall performance remains on track.
Adjusted diluted EPS of $2.42, up 15% from $2.10 in the second quarter of 2023.
Premium and service revenues of $36.0 billion in the second quarter of 2024.
Membership increase of 34% in Marketplace, compared to the second quarter of 2023.
Reaffirms 2024 Adjusted Diluted EPS Guidance Floor of Greater Than $6.80
Centene
Centene
Centene Revenue by Segment
Revenue by Segment
Medicaid Revenue
CapyFin.comCommercial Revenue
CapyFin.comMedicare Revenue
CapyFin.comOther Revenue
CapyFin.com Forward Guidance
The Company reaffirms its 2024 GAAP diluted EPS guidance floor of greater than $5.94 and its 2024 adjusted diluted EPS guidance floor of greater than $6.80. The Company is increasing its 2024 premium and service revenues guidance range by $5.0 billion to a range of $141.0 billion to $143.0 billion to reflect an additional $2.0 billion Commercial premium revenue, $2.0 billion Medicare premium revenue and $1.0 billion Medicaid premium revenue. The Company's total revenue guidance has been updated to $155.0 billion to $157.0 billion. Additionally, the 2024 HBR is expected to be at the high end of the previous guidance range, approximately 87.9%.
Positive Outlook
- Reaffirms 2024 GAAP diluted EPS guidance floor of greater than $5.94
- Reaffirms 2024 adjusted diluted EPS guidance floor of greater than $6.80
- Increases 2024 premium and service revenues guidance range by $5.0 billion to a range of $141.0 billion to $143.0 billion
- Reflects an additional $2.0 billion Commercial premium revenue
- Reflects an additional $2.0 billion Medicare premium revenue
Challenges Ahead
- 2024 HBR is expected to be at the high end of the previous guidance range, approximately 87.9%.
- Medicaid redeterminations winding down
- Medicare Star rating impacts
- Higher acuity in Medicaid as we progressed through the redetermination process
- Continue to work with states to match rates with acuity
Revenue & Expenses
Visualization of income flow from segment revenue to net income