UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Form 10-K (Mark One) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE FISCAL YEAR ENDED DECEMBER 31, 2023 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE TRANSITION PERIOD FROM ________ TO ________ Commission File Number 1-31719 MOLINA HEALTHCARE, INC. (Exact name of registrant as specified in its charter) Delaware 13-4204626 (State or ot ...

Molina Healthcare, Inc. (NYSE:MOH) Q3 2023 Earnings Conference Call October 26, 2023 8:00 AM ET Company Participants Joe Krocheski – Senior Vice President-Investor Relations Joe Zubretsky – President and Chief Executive Officer Mark Keim – Chief Financial Officer Conference Call Participants Josh Raskin – Nephron Research Kevin Fischbeck – Bank of America Nathan Rich – Goldman Sachs Justin Lake – Wolfe Research Calvin Sternick – JPMorgan Stephen Baxter – Wells Fargo Scott Fidel – Stephens A.J. Rice – UBS Ge ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ________ to ________ Commission file number: 001-31719 MOLINA HEALTHCARE, INC. (Exact name of registrant as specified in its charter) In ...

Financial Data and Key Metrics Changes - The company reported adjusted earnings per diluted share of $5.65 for Q2 2023, representing a 24% year-over-year growth on $8 billion of premium revenue [37] - The consolidated Medical Care Ratio (MCR) for Q2 was 87.5%, reflecting strong medical cost management and at the low end of the long-term target range [20][37] - The adjusted pre-tax margin was 5.3% for Q2, with a year-to-date adjusted pre-tax margin of 5.4% [12][15] Business Line Data and Key Metrics Changes - Medicaid, the flagship business, had an MCR of 88.3% for Q2, consistent with expectations and long-term targets, with year-to-date MCR at 88.4% [20][38] - The Medicare segment reported an MCR of 89.2%, slightly above the long-term target range, with increased utilization in outpatient and professional services [13][46] - The Marketplace business achieved an MCR of 73.7% for Q2, reflecting successful pricing strategies and a return to target margins [21][39] Market Data and Key Metrics Changes - The company experienced a decline of 93,000 Medicaid members during Q2, which was within expectations due to the initial impact of redeterminations [41] - The company anticipates a premium impact of approximately $1.6 billion from members disenrolling, with an expected earnings impact of about $1 per share [27] Company Strategy and Development Direction - The company aims to grow premiums at 13% to 15% through current footprint expansion, strategic initiatives, and accretive acquisitions, targeting $46 billion in premium revenue by 2026 [42] - The acquisition of Bright HealthCare's California Medicare business is expected to add approximately $1.8 billion in premium revenue, with no earnings contribution in the first year [18][43] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving long-term financial targets, with a projected annual earnings per share growth rate of 15% to 18% [19] - The company has not observed any emerging trends that would change membership or financial outlooks during the early stages of the Medicaid redetermination process [25] Other Important Information - The company increased its 2023 adjusted earnings guidance by $0.50 to at least $20.75 per share, driven by strong Q2 performance and higher expected investment income [24][40] - The company maintains a low leverage position with a debt-to-cap ratio of 40% and a trailing 12-month EBITDA ratio of 1.6 times [23] Q&A Session Summary Question: Can you discuss the discussions with states regarding rates and the impact from reverifications? - Management indicated that discussions are ongoing with states about potential rate adjustments due to acuity shifts, with most states committed to ensuring rates remain actuarially sound [54][78] Question: What was the actual benefit from the 2022 final risk adjustment true-up? - Management noted that the risk adjustment data validation impacts margins, and the benefit was cut in half due to margin retention [58][59] Question: How are you thinking about reconnects and disenrollments? - Management expects a high rate of reconnects for members disenrolled for procedural reasons, with states allowing 90 to 120 days for members to reestablish eligibility [90][91] Question: What is the timeline for reaching run rate on the Bright Health acquisition? - Management stated that the timeline for achieving target margins on the Bright acquisition is expected to be by the end of the second year post-acquisition [121] Question: How do you view the marketplace growth versus margin strategy for 2024? - Management reiterated that the strategy remains to achieve mid-single-digit margins while allowing for measured growth in the Marketplace segment [102][103]

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ________ to ________ Commission file number: 001-31719 MOLINA HEALTHCARE, INC. (Exact name of registrant as specified in its charter) (State ...

Molina Healthcare, Inc. (NYSE:MOH) Q1 2023 Earnings Conference Call April 27, 2023 8:00 AM ET Company Participants Joe Krocheski - SVP, IR Joe Zubretsky - President & CEO Mark Keim - CFO Conference Call Participants Josh Raskin - Nephron Research Stephen Baxter - Wells Fargo Justin Lake - Wolfe Research Nathan Rich - Goldman Sachs Scott Fidel - Stephens Michael Hall - Morgan Stanley George Hill - Deutsche Bank A.J. Rice - Credit Suisse Calvin Sternick - JPMorgan Sarah James - Cantor Fitzgerald Steven Valiqu ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ________ to ________ Commission file number: 001-31719 MOLINA HEALTHCARE, INC. (Exact name of registrant as specified in its charter) (State ...

Financial Performance - Molina Healthcare reported premium revenue of $30.883 billion for the year ended December 31, 2022, an increase of 14.3% from $26.855 billion in 2021[16]. - Total revenue for Molina Healthcare reached $31.974 billion in 2022, up from $27.771 billion in 2021, reflecting a growth of 15.8%[16]. - The company achieved a net income of $792 million in 2022, compared to $659 million in 2021, representing a year-over-year increase of 20.1%[16]. - Total dividends paid to the parent company amounted to $668 million in 2022[36]. - The company received $668 million and $564 million in dividends from regulated health plan subsidiaries during 2022 and 2021, respectively[142]. Membership and Enrollment - As of December 31, 2022, Molina Healthcare served approximately 5.3 million members, an increase from 5.199 million members in 2021[14][19]. - The company added approximately 750,000 new Medicaid members since March 31, 2020, primarily due to the suspension of redeterminations for Medicaid eligibility[76]. - The company expects Medicaid enrollment to decline after April 1, 2023, as states resume normal enrollment operations[76]. - The company estimates it will retain approximately 50% of the new Medicaid enrollees gained during the COVID-19 pandemic, but this is subject to uncertain variables[136]. Medicaid and Medicare Segments - The Medicaid segment contributed $24.827 billion in premium revenue for 2022, up from $20.461 billion in 2021, marking a growth of 21.6%[20]. - The Medicare segment reported premium revenue of $3.795 billion in 2022, an increase from $3.361 billion in 2021, reflecting a growth of 12.9%[20]. - Medicaid premium revenue constituted 80% of consolidated premium revenue for the year ended December 31, 2022[40]. - The company recognized approximately $197 million for the impact of risk corridors in 2022, down from $323 million in 2021[77]. - Medicare program PMPM premium rates ranged from $840 to $3,900 for the year ended December 31, 2022[63]. Contracts and Acquisitions - Molina Healthcare successfully retained all government contracts in 2022, with significant procurement wins in Texas, California, and Nebraska expected to enhance future growth[24][25][27]. - The company completed acquisitions that are projected to add approximately $10 billion in annual premium revenue, including the acquisition of AgeWell New York and My Choice Wisconsin[24]. - Iowa health plan awarded a four-year Medicaid managed care contract expected to begin on July 1, 2023[28]. - Mississippi health plan awarded a four-year Medicaid Coordinated Care Contract expected to begin on July 1, 2023[29]. - Acquisition of My Choice Wisconsin for approximately $150 million to enhance Long-Term Services and Supports business, expected to close in mid-2023[30]. Operational Efficiency - Molina Healthcare's Medical Care Ratio (MCR) improved slightly to 88.0% in 2022 from 88.3% in 2021, indicating effective management of medical costs[16]. - The overall medical care ratio for the year ended December 31, 2022, was 88.0%, and a one percentage point increase would have reduced net income per diluted share by approximately $4.04[180]. - The company emphasizes primary care physicians as the central point of care, which has proven effective in coordinating medical care for members[98]. - The company utilizes predictive analytics and member assessment processes to tailor programs for high-quality, affordable care[100]. Market and Competitive Landscape - The Medicaid managed care industry is subject to ongoing changes, with competition based on size, location, and quality of service[110]. - The Medicare market is highly competitive, with major competitors including CVS Health Corp., Humana Inc., and UnitedHealth Group Inc.[111]. - The company is subject to various fraud and abuse laws, including the federal False Claims Act, which can lead to significant penalties for violations[119]. Risks and Challenges - The termination of enhanced federal matching funds may result in Medicaid rate cuts, potentially reducing revenues and profit margins[139]. - The company operates with very low profit margins, and small changes in operating performance could disproportionately impact reported net income[141]. - The company faces risks from unforeseen changes in pharmaceutical regulations that may adversely affect revenues and operations[148]. - Cybersecurity threats pose a risk to the company's information systems, potentially leading to increased costs and reputational harm[163]. - The company is exposed to risks associated with outsourcing services to third parties, which may lead to operational vulnerabilities[162]. Employee and Corporate Culture - The company announced a transition to a permanent remote work environment for nearly all employees and enhanced benefits for 2023, including paid parental leave[123]. - The company is focused on employee development, diversity, equity, and inclusion, aiming to become a destination employer in the healthcare industry[124]. - As of December 31, 2022, the company had nearly 15,000 employees, reflecting the diversity of the members and communities served[122]. Compliance and Internal Controls - The company has identified material weaknesses in internal controls over financial reporting in the past, which could lead to material misstatements in financial statements[202]. - The company has experienced HIPAA breaches in the past, affecting over 500 individuals, which could result in significant liability[144]. - Encounter data accuracy is critical for compliance and premium rate determination, and challenges in obtaining complete data could lead to financial penalties[195]. - The complexity of Medicaid contract provisions can create uncertainty around revenue recognition, potentially impacting financial results[175].

Molina Healthcare, Inc. (NYSE:MOH) Q4 2022 Earnings Conference Call February 9, 2023 8:00 AM ET Company Participants Joe Krocheski - SVP, IR Joe Zubretsky - President & CEO Mark Keim - CFO Conference Call Participants Josh Raskin - Nephron Research A.J. Rice - Credit Suisse Justin Lake - Wolfe Research Calvin Sternick - JPMorgan Scott Fidel - Stephens Michael Hall - Morgan Stanley Stephen Baxter - Wells Fargo Nathan Rich - Goldman Sachs Gary Taylor - Cowen Steven Valiquette - Barclays Kevin Fischbeck - Bank ...

Financial Data and Key Metrics - Q3 2022 adjusted earnings per diluted share were $4.36, representing 54% YoY growth [9] - Consolidated medical care ratio (MCR) for Q3 was 88.4%, adjusted G&A ratio was 6.9%, and pretax margin was 4.3% [9] - Year-to-date MCR was 87.9%, adjusted G&A ratio was 6.9%, and pretax margin was 4.5%, in line with long-term targets [10] - Full-year 2022 premium revenue guidance increased by $500 million to $30.5 billion, with adjusted EPS guidance raised to at least $17.75 [14][36] Business Line Performance - Medicaid, representing 80% of revenue, reported a year-to-date MCR of 88.2%, reflecting strong medical cost management [11] - Medicare, representing 12% of revenue, reported a year-to-date MCR of 87.4%, in line with long-term targets despite COVID-related cost pressures [12] - Marketplace, representing 7% of revenue, is on track to return to profitability in 2022, with a Q3 MCR of 86.3% [13][30] Market Performance - Medicaid rate environment remains stable, with COVID costs tempering and strong execution on medical cost management [11] - Medicare niche serving low-income members continues to grow organically, with a year-to-date MCR of 87.4% [12] - Marketplace strategy focuses on stability, with no ambitious growth targets, and is expected to achieve mid-single-digit pretax margins [68][69] Strategy and Industry Competition - The company is executing a long-term growth strategy, with recent RFP wins in California, Iowa, and Nebraska expected to add $5.8 billion in annual premium revenue and $3 EPS at full run rate [15][17] - The company is preparing for significant expansion in California, with a 15-month build-out plan to handle new membership growth [17] - The company remains confident in its ability to win additional state contracts, with ongoing RFP submissions and business development initiatives [19] Management Commentary on Operating Environment and Future Outlook - Management highlighted strong Q3 performance, with premium revenue growth and realization of embedded earnings from 2021 [9] - The company expects 2023 to be a year of scaling operations for new revenue growth, with one-time nonrecurring expenses of $0.75 per share [22] - For 2024, the company anticipates premium revenue growth drivers, including organic growth, RFP wins, and acquisitions, leading to at least $37 billion in premium revenue [24] Other Important Information - The company has a strong balance sheet, with $298 million in parent company cash and substantial debt capacity to support growth strategies [33] - The company expects to achieve full run rate target margins by 2025, with significant fixed cost leverage from new contract wins [21][54] Q&A Session Summary Question: Preparation for LA County contract implementation - The company is confident in its ability to scale operations for the LA County contract, leveraging its 40-year presence in California and existing infrastructure [45] Question: Components of $1.7 billion organic growth - Organic growth is driven by a combination of membership and rate growth, with 3-4% annual growth expected, primarily in Medicaid and Medicare [49][50] Question: Margin ramp-up on new contract wins - The company expects new contract wins to achieve a 4% pretax margin, with conservative assumptions on fixed cost leverage and potential rate adjustments [53][54] Question: COVID and flu impact on utilization - The company maintains its outlook for $2.50 per share in COVID-related costs, with a normal flu season expected to cost $40 million+ [57][58] Question: Rate environment and Medicaid premium returns - The rate environment remains stable, with traditional processes for establishing cost baselines and trends [61][62] Question: Marketplace margins and growth strategy - The company aims for mid-single-digit pretax margins in Marketplace, with no significant growth expected due to strategic pricing for margin rather than market share [68][69] Question: Redetermination impact and recapture potential - The company expects $1.6 billion in revenue loss from redeterminations, split evenly between 2023 and 2024, with potential upside from recapturing members in Marketplace [73][74] Question: Embedded earnings power and redetermination dynamics - The company clarified its embedded earnings power, with $5.75 per share expected by 2025, and no significant margin impact anticipated from redeterminations [76][77][82] Question: LA County contract protest scenarios - The company is preparing for full implementation of the LA County contract, with no speculation on potential outcomes of ongoing protests [89][93] Question: RFP success factors and transferability to future RFPs - The company attributes its RFP success to a well-developed business unit with a playbook focused on state-specific needs and referenceable national capabilities [96][98] Question: Marketplace strategy amid market exits - The company does not expect significant membership growth from market exits, as it has priced for margin rather than market share [99][102] Question: Potential for Marketplace growth in California - The company sees potential for Marketplace growth in California but has not included it in current estimates, focusing first on Medicaid implementation [104][105] Question: M&A environment and capital allocation - The company remains active in M&A, with a robust pipeline and ample capital capacity to support growth through acquisitions and organic expansion [108][110][111] Question: Tailwinds and headwinds for 2023 - The company highlighted potential tailwinds from embedded earnings, organic growth, operational catalysts, and rising interest rates, with headwinds from redeterminations and pharmacy carve-outs [115][117] Question: Medicare Advantage growth outlook - The company expects low-teens growth in Medicare Advantage, focusing on low-income niches and leveraging its Medicaid footprint [121][122]