Centene profit bolstered by Health Net acquisition
Operating profit for the fourth quarter was $255 million, compared to $112 million the year before.
Centene's revenue grew by 89 percent in the fourth quarter, bolstered by its acquisition of Health Net, according to the company's earnings report.
For the fourth quarter of 2016, total revenue increased to $11.9 billion from $6.3 billion for the last quarter of 2015 primarily as result of the acquisition of Health Net, a California insurer.
Operating profit for the fourth quarter was $255 million, compared to $112 million the year before, and for the year, Centene reported $559 million in profit, compared to $356 million in 2015.
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"Our strong fourth quarter results give us favorable operating momentum heading into 2017, and the successful integration of Health Net bolsters this with greater scale and product diversity," said Chairman and CEO Michael F. Neidorff.
During the fourth quarter, Centene received approximately $500 million in payments from California.
Centene, which specializes in Medicaid, saw managed care membership grow by 124 percent over 2015, from 6.3 to of 11.4 million.
Twitter: @SusanJMorse
