Centene Says It Is Positioned To Capture Long-Term Growth In Government-Sponsored Healthcare, Lifts Annual Outlook

Financial Performance - Centene Corporation reported third-quarter sales of $42.02 billion, a 10.5% increase year-over-year, surpassing the consensus estimate of $37.69 billion [1] - The company achieved an adjusted EPS of $1.62 for the quarter, exceeding the consensus of $1.38 [1] - Premium and service revenues for the third quarter increased by 6% to $36.9 billion, driven by Medicaid rate increases and membership growth in the Marketplace business [1] Membership and Market Position - Total managed care membership rose by 2.4% to 28.64 million at the end of the third quarter, compared to 27.97 million a year ago [2] - Enrollment in the commercial marketplace business grew to 4.50 million members from 3.68 million a year ago, while total Medicaid memberships fell by 14.2% to 13.07 million [2] Guidance and Future Outlook - The company updated its revenue guidance to $159 billion—$161 billion, up from the previous guidance of $155.0 billion—$157.0 billion [3] - The 2024 Health Benefits Ratio (HBR) is expected to be around 88.3%-88.5%, an increase from the high end of the previous guidance range [3] - Centene reaffirmed its 2024 adjusted EPS guidance floor of over $6.80, compared to a consensus of $6.82 [2][3] Stock Performance - Centene's stock (CNC) rose by 13.6% to $70.02 during the premarket session following the earnings report [3]