|
Humana cuts 2019
membership forecast for prescription drug plans
Send a link to a friend
[November 28, 2018]
(Reuters) - Health insurer Humana Inc <HUM.N>
on Wednesday said it expected a bigger drop in membership for its
prescription drug plans in 2019, as it stuck to its pricing plans in an
intensely competitive market.
|
|
 The company now expects a fall of 750,000 to 800,000 members,
compared with 500,000.
The health insurer also reiterated its adjusted earnings forecast of
about $14.40 per share for the year 2018. Analysts were expecting a
forecast of $14.43 per share, according to IBES data from Refinitiv.
Humana, however, raised the net membership growth estimate for its
individual Medicare Advantage products by 100,000 members to a range
of 350,000 to 400,000 members for 2019.
[to top of second column] |
Individual Medicare Advantage health plans are offered to people
older than 65 or those with disabilities.
The improved forecast is due to higher-than-expected sales and
better retention of Medicare Advantage members, the company said in
a statement.
The company also plans to buy back $750 million of its shares
through an accelerated stock repurchase agreement with Goldman Sachs
& Co.
(Reporting by Manas Mishra and Saumya Sibi Joseph in Bengaluru;
Editing by Shounak Dasgupta)
[© 2018 Thomson Reuters. All rights
reserved.] Copyright 2018 Reuters. All rights reserved. This material may not be published,
broadcast, rewritten or redistributed.
Thompson Reuters is solely responsible for this content. |
