Centene Corp on Tuesday said profit at its fast-growing Medicare Advantage (MA) business will take a beating in 2024 due to a sharp cut in its rating by a U.S. federal agency and likely lower-than-expected government payouts to health insurers.
Centene does not expect its MA business to grow next year and it will likely "shrink a little", Chief Financial Officer Andrew Asher said in a post-earnings conference call.
Asher said the company expects negative profit margins in the business in 2024 temporarily, after CMS cutMA plans are government-supported insurance plans that private companies offer people over 65 years of age. In the fourth quarter, Centene reported an adjusted profit of 86 cents per share, beating Wall Street estimates by a cent.
The company said its quarterly health benefits ratio, which measures medical costs in relation to premiums collected, stood at 88.7%, better than estimates of 88.8%, according to six analysts polled by Refinitiv. Revenue from Centene's Medicare health insurance business rose about 24% to $5.45 billion from a year earlier.Our Standards:
South Africa Latest News, South Africa Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Twitter flags Biden tweet accusing GOP of wanting to cut Social Security, MedicareTwitter flagged a tweet Sunday from President Biden that claimed Republicans threatened to cut Social Security and Medicare – a popular White House notion on the debt ceiling.
Read more »
Bitcoin Miners Hut 8, US Bitcoin Corp. Announce MergerBitcoin mining firms Hut8Mining and U.S. Bitcoin Corp. are merging to form a new company with access to 825 MW of energy. Egreechee reports
Read more »
White House Slams Manchin-GOP Push for Social Security, Medicare CommissionsThe TRUST Act is a ploy to gut Social Security and Medicare behind closed doors, says one progressive advocacy group.
Read more »
Seniors urge Congress to protect Social Security, Medicare ahead of State of the UnionDebt ceiling woes have led to fierce debate about the future of Social Security and Medicare. But how lawmakers address those programs is up for debate.
Read more »
Public Storage has advantage in clutter battleThe stuff-storing giant has kicked off an $11 bln takeover battle with an offer to buy smaller rival Life Storage. Based on today’s prices, the proposal leaves room for counterbids. But with storage companies looking historically expensive, Public’s stock gives it an advantage.
Read more »
Major violations found at Santa Clara County’s main hospitalHospital now at risk of losing out on Medicare reimbursements
Read more »