July 28 (Reuters) – Centene on Tuesday raised its annual profit forecast, as the health insurer kept control of its costs.
The company’s quarterly results and outlook “represent meaningful milestones on our path to restoring profitability and increasing shareholder value,” said CEO Sarah London.
Shares of the company were up about 4% in premarket trading.
The company in April said it has better control over its medical costs and said that it is taking a prudent outlook for the remainder of the year.
Centene’s medical loss ratio, the percentage of premiums spent on medical care, was 89.6% in the second quarter. Analysts had expected the company to report a ratio of 91.30%, according to LSEG data.
The company now sees 2026 adjusted profit at more than $4.80 per share, higher than its previous expectations of above $3.40 per share. Analysts were expecting a profit of $3.52 per share, as per data compiled by LSEG.
(Reporting by Sneha S K and Sriparna Roy in Bengaluru; Editing by Maju Samuel)
Comments