•
Mar 31, 2023

Humana Q1 2023 Earnings Report

Humana's Q1 2023 financial results were reported, showing a strong performance due to membership growth and favorable inpatient utilization trends. The company raised its full-year EPS guidance and affirmed strong individual Medicare Advantage membership growth.

Key Takeaways

Humana reported a strong start to the year with better-than-expected first-quarter results, driven by robust membership growth and favorable inpatient utilization trends in the individual Medicare Advantage business. The company increased its full-year 2023 adjusted EPS guidance by $0.25 to at least $28.25 and affirmed strong individual Medicare Advantage membership growth of at least 775,000, or 17.0 percent growth over FY 2022.

Reported 1Q23 earnings per share (EPS) of $9.87 on a GAAP basis, Adjusted EPS of $9.38, with strong 1Q23 performance underpinned by robust membership growth and favorable inpatient utilization trends in the individual Medicare Advantage business.

Increased FY 2023 EPS guidance to 'at least $27.88' on a GAAP basis; 'at least $28.25' on an Adjusted basis.

Affirmed strong 2023 individual Medicare Advantage membership growth of 'at least 775,000', or 17.0 percent growth over FY 2022 ending membership, meaningfully higher than industry growth

Company is pleased with the solid start, which reflects our company's strong fundamentals and positions us well for meeting our mid-term Adjusted EPS target of $37 in 2025.

Total Revenue
$25.7B
Previous year: $24.1B
+6.5%
EPS
$9.38
Previous year: $8.04
+16.7%
Gross Profit
$26.7B
Previous year: $21.1B
+26.8%
Cash and Equivalents
$13.7B
Previous year: $1.1B
+1153.2%
Free Cash Flow
$6.46B
Previous year: $7M
+92242.9%
Total Assets
$54.8B
Previous year: $46.3B
+18.3%

Humana

Humana

Forward Guidance

Humana raised its GAAP and Adjusted EPS guidance for the year ending December 31, 2023 (FY 2023). The company now expects FY 2023 GAAP to be 'at least $27.88', while Adjusted EPS is expected to be 'at least $28.25'.