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Centene shares up 3% on beat and raise

EditorRachael Rajan
Published 26/04/2024, 11:38
© Reuters.
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ST. LOUIS - Centene Corporation (NYSE: NYSE:CNC) reported a robust first quarter for 2024, with adjusted earnings per share (EPS) and revenue surpassing Wall Street's expectations. The healthcare company also lifted its full-year guidance for 2024, sending its shares up by 3.07% as the market responded positively to the news.

For the quarter ended March 31, 2024, Centene announced an adjusted EPS of $2.26, which was $0.18 higher than the analyst estimate of $2.08. Total revenue reached $40.41 billion, significantly exceeding the consensus estimate of $36.54 billion and marking a 4% increase from the $35.0 billion reported in the same quarter of the previous year. This revenue growth was attributed to a 41% membership increase in the Marketplace and was partly offset by divestitures and lower Medicaid membership.

The company's performance was bolstered by strategic growth initiatives and a focus on increasing access to affordable healthcare. "We are executing against our strategic plans for growth and increasing access to affordable, high-quality healthcare for our members and the communities we serve," said CEO Sarah M. London.

Looking ahead, Centene has raised its full-year 2024 adjusted diluted EPS guidance to greater than $6.80, which is above the analyst consensus of $6.77. This updated outlook reflects Centene's confidence in its diversified platform and the momentum generated by its core businesses.

The company's financial health is further demonstrated by its operational achievements, including the commencement of statewide contracts in Oklahoma and the selection of its Michigan subsidiary by the Michigan Department of Health and Human Services to continue serving as a Medicaid health plan.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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