Centene(US:CNC) Prnewswire·2026-02-06 11:00Core Insights - Centene Corporation reported a GAAP diluted loss per share of $(13.53) for the full year 2025, primarily due to a goodwill impairment of $6.7 billion, while the adjusted diluted earnings per share (EPS) was $2.08 [1][19] - For 2026, the company expects adjusted diluted EPS to exceed $3.00, indicating a positive outlook for profitability and margin improvement [1] Financial Performance - Total revenues for Q4 2025 were $49.725 billion, a 23% increase from $36.296 billion in Q4 2024; full-year revenues reached $194.777 billion, up 20% from $145.505 billion in 2024 [1][12] - Premium and service revenues for Q4 2025 were $44.727 billion, compared to $36.296 billion in Q4 2024, driven by growth in the PDP and Marketplace businesses [1][12] - The health benefits ratio (HBR) for Q4 2025 was 94.3%, up from 89.6% in Q4 2024, while the full-year HBR was 91.9%, an increase from 88.3% in 2024 [1][12] Membership Trends - Total at-risk membership as of December 31, 2025, was 27.634 million, a slight decrease from 28.601 million in 2024; traditional Medicaid membership decreased to 10.933 million from 11.408 million [6] - Marketplace membership increased significantly to 5.541 million from 4.382 million in 2024, indicating strong growth in this segment [6] Operational Efficiency - The SG&A expense ratio for Q4 2025 was 7.5%, down from 8.9% in Q4 2024; the full-year SG&A expense ratio was also 7.4%, compared to 8.5% in 2024, reflecting improved expense management [1][12] - Cash flow from operations for the full year 2025 was $5.088 billion, driven by improved timing of pharmacy rebates and higher medical claims liabilities [1][19] Strategic Developments - In December 2025, Centene signed an agreement to divest the remaining Magellan Health businesses, resulting in non-cash impairment charges of $513 million [2][12] - The company has engaged in community support initiatives, including contributions to food banks and partnerships aimed at addressing housing insecurity [5][9]