Workflow
Molina Healthcare(MOH) - 2024 Q3 - Quarterly Results
MOHMolina Healthcare(MOH)2024-10-23 20:19

Revenue and Membership Growth - Premium revenue for Q3 2024 was 9.7billion,an189.7 billion, an 18% increase year-over-year[2][3] - The company served approximately 5.6 million members as of September 30, 2024, an 8% increase year-over-year[2] - Full-year 2024 premium revenue guidance remains unchanged at approximately 38 billion, a 17% increase from 2023[10] - Total membership increased to 5,598,000 in Q3 2024 from 4,995,000 in Q4 2023, with Medicaid membership reaching 4,941,000[24] - Premium revenue for Medicaid in Q3 2024 was 7,668million,withamedicalmarginof7,668 million, with a medical margin of 730 million and an MCR of 90.5%[25] - Consolidated premium revenue for Q3 2024 was 9,694million,withamedicalmarginof9,694 million, with a medical margin of 1,051 million and an MCR of 89.2%[25] Net Income and Earnings Per Share - GAAP net income for Q3 2024 was 5.65perdilutedshare,a345.65 per diluted share, a 34% increase year-over-year[2][4] - Adjusted net income for Q3 2024 was 6.01 per diluted share, a 19% increase year-over-year[2][4] - Full-year 2024 adjusted earnings per diluted share guidance remains unchanged at least 23.50,representing1323.50, representing 13% growth over 2023[10] - Net income for Q3 2024 was 928 million, up from 875millioninQ32023[22]−GAAPNetincomefor2024is875 million in Q3 2023[22] - GAAP Net income for 2024 is 326 million, or 5.65perdilutedshare,comparedto5.65 per diluted share, compared to 245 million, or 4.21perdilutedsharein2023[33]−Adjustednetincomefor2024is4.21 per diluted share in 2023[33] - Adjusted net income for 2024 is 347 million, or 6.01perdilutedshare,comparedto6.01 per diluted share, compared to 294 million, or 5.05perdilutedsharein2023[33]−2024guidanceprojectsGAAPNetincomeof5.05 per diluted share in 2023[33] - 2024 guidance projects GAAP Net income of 1.25 billion, or 21.59perdilutedshare[35]−Adjustednetincomefor2024isprojectedat21.59 per diluted share[35] - Adjusted net income for 2024 is projected at 1.36 billion, or 23.50perdilutedshare[35]MedicalCareRatioandCostManagement−TheconsolidatedMedicalCareRatio(MCR)forQ32024was89.223.50 per diluted share[35] Medical Care Ratio and Cost Management - The consolidated Medical Care Ratio (MCR) for Q3 2024 was 89.2%, reflecting focus on managing medical costs[5] - The G&A ratio for Q3 2024 was 6.5%, reflecting disciplined cost management and one-time credits[7] - Days in Claims Payable decreased to 48 days in Q3 2024 from 51 days in Q3 2023[28] - Medical claims and benefits payable ending balance was 4,732 million in Q3 2024, up from 4,204millioninQ42023[29]CashFlowandFinancialPosition−Cashandinvestmentsattheparentcompanywere4,204 million in Q4 2023[29] Cash Flow and Financial Position - Cash and investments at the parent company were 195 million as of September 30, 2024, down from 742millionattheendof2023[8]−OperatingcashflowfortheninemonthsendedSeptember30,2024was742 million at the end of 2023[8] - Operating cash flow for the nine months ended September 30, 2024 was 868 million, compared to 2,352millionforthesameperiodin2023[9]−Netcashprovidedbyoperatingactivitieswas2,352 million for the same period in 2023[9] - Net cash provided by operating activities was 868 million in Q3 2024, down from 2,352millioninQ32023[22]−Totalliabilitiesincreasedto2,352 million in Q3 2023[22] - Total liabilities increased to 10,988 million in Q3 2024 from 10,677millioninQ42023[20]−Totalstockholders′equityincreasedto10,677 million in Q4 2023[20] - Total stockholders' equity increased to 4,770 million in Q3 2024 from 4,215millioninQ42023[20]Non−GAAPMeasuresandAdjustments−Adjustednetincomeandadjustedafter−taxmarginareusedasnon−GAAPmeasurestoassessfinancialperformance[31][32]−Totaladjustmentsfor2024include4,215 million in Q4 2023[20] Non-GAAP Measures and Adjustments - Adjusted net income and adjusted after-tax margin are used as non-GAAP measures to assess financial performance[31][32] - Total adjustments for 2024 include 21 million for amortization of intangible assets, 11millionforacquisition−relatedexpenses,and11 million for acquisition-related expenses, and (7) million for other adjustments[33] - The nine months ended September 30, 2024, include non-recurring litigation and one-time termination benefits, totaling 16million[33]−Adjustmentsfor2024guidanceinclude16 million[33] - Adjustments for 2024 guidance include 148 million for amortization of intangible assets, acquisition-related expenses, and other adjustments[35] - The income tax effect for 2024 guidance is calculated at a statutory tax rate of approximately 25.5%, resulting in a $38 million adjustment[35]