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Sep 30, 2022

Humana Q3 2022 Earnings Report

Reported strong financial results and affirmed upward revision to full year adjusted EPS financial guidance.

Key Takeaways

Humana reported a strong third quarter with GAAP EPS of $9.39 and Adjusted EPS of $6.88. The company affirmed its full year 2022 Adjusted EPS guidance of approximately $25.00, representing 21% growth over FY 2021.

Reported 3Q22 earnings per diluted common share of $9.39 on a GAAP basis, Adjusted EPS of $6.88; reports YTD 2022 EPS of $22.16 on a GAAP basis, $23.58 on an Adjusted basis

Updated FY 2022 EPS guidance to 'approximately $23.27' on a GAAP basis; affirmed recent $0.25 per share upward revision to Adjusted EPS guidance of 'approximately $25.00', representing growth of 21 percent over FY 2021 Adjusted EPS

Achieved 96 percent of the company's Medicare Advantage members currently enrolled in 4-star and above contracts, and 66 percent of members in 4.5 and 5-star contracts for 2023, an industry-leader among its publicly traded peers

Anticipates 2023 individual Medicare Advantage membership growth of 325,000 to 400,000, or 7.1 percent to 8.7 percent growth, over projected FY 2022 ending membership; in line with anticipated high single-digit industry growth

Total Revenue
$22.7B
Previous year: $20.9B
+9.0%
EPS
$6.88
Previous year: $4.83
+42.4%
Gross Profit
$19.7B
Previous year: $19.2B
+2.7%
Cash and Equivalents
$13.6B
Previous year: $4.3B
+215.0%
Free Cash Flow
$8.17B
Previous year: $2.51B
+225.4%
Total Assets
$50.8B
Previous year: $45.3B
+12.0%

Humana

Humana

Humana Revenue by Segment

Forward Guidance

Humana affirmed its FY 2022 Adjusted EPS guidance that was previously revised upward as part of the company's Investor Day in September 2022. The current FY 2022 Adjusted EPS guidance of 'approximately $25.00' reflects 21 percent growth compared to FY 2021 Adjusted EPS results.

Revenue & Expenses

Visualization of income flow from segment revenue to net income