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Mar 31

Molina Q1 2025 Earnings Report

Molina reported solid Q1 2025 results with increased revenue and disciplined cost management.

Key Takeaways

Molina Healthcare posted a strong Q1 2025 performance, driven by a 12% year-over-year increase in premium revenue and continued growth across its Medicaid, Medicare, and Marketplace segments. The company reaffirmed its full-year guidance and maintained cost efficiency despite pressures from Medicaid redeterminations.

Premium revenue rose to $10.628 billion, up 12% YoY.

Adjusted EPS reached $6.08, a 6% increase YoY.

Membership climbed to approximately 5.75 million.

Reaffirmed full-year 2025 premium revenue guidance of $42 billion.

Total Revenue
$11.1B
Previous year: $9.93B
+12.2%
EPS
$6.08
Previous year: $5.73
+6.1%
Medicaid Members
4.81M
Previous year: 5.12M
-6.1%
Medicare Members
260K
Previous year: 258K
+0.8%
Marketplace Members
662K
Previous year: 346K
+91.3%
Cash and Equivalents
$4.86B
Previous year: $4.51B
+7.6%
Free Cash Flow
$168M
Previous year: $187M
-10.2%
Total Assets
$16.4B
Previous year: $15.5B
+5.6%

Molina

Molina

Molina Revenue by Segment

Forward Guidance

Molina reaffirmed its full-year 2025 outlook with expected premium revenue of $42 billion and adjusted EPS of at least $24.50.

Positive Outlook

  • Full-year premium revenue guidance unchanged at $42 billion.
  • Adjusted EPS guidance reaffirmed at $24.50.
  • Strong medical cost management across all segments.
  • New store embedded earnings expected at $8.65 per share.
  • Confidence in long-term EPS growth target of 13–15%.

Challenges Ahead

  • Cash and investments at parent company dropped to $191 million.
  • Operating cash flow declined to $190 million from $214 million YoY.
  • Higher medical costs in Medicaid due to increased utilization.
  • Exit from MAPD in thirteen states may impact Medicare growth.
  • Marketplace segment affected by prior year adjustments and new acquisition integration.