Anthem Updates FY EPS View After Q3 Profit Rises - Quick Facts

(RTTNews) - Health insurer Anthem, Inc. (ANTM, WLP) Wednesday said it expects full-year reported net income in the range of $9.53 - $9.63 per share.

Adjusted net income is expected to be in the range of $10.10 - $10.20 per share and operating revenue is expected to be about $78.0 billion.

For the year, analysts look for earnings of $10.22 per share on revenues of $78.15 billion.

The forecast issued in July was for net income to be greater than $9.55 per share, including greater than $0.45 per share of net unfavorable items. Excluding these items, adjusted net income was expected to be greater than $10.00 per share.

Net income for the third quarter was $654.8 million, or $2.43 per share, compared to $630.9 million, or $2.22 per share last year.

Adjusted net income was $2.73 per share, while it totaled $2.50 last year. On average, 20 analysts polled by Thomson Reuters expected earnings of $2.33 per share for the quarter. Analysts' estimates typically exclude special items.

Operating revenue grew 7.6 percent to nearly $19.8 billion from nearly $18.4 billion in the prior year quarter. Analysts expected revenues of $19.64 billion.

The growth reflected premium increases to cover overall cost trends and higher enrollment in the Medicaid and Commercial self-funded businesses.

Medical enrollment totaled approximately 38.7 million members at September 30, 2015, an increase of 3.1 percent from 37.5 million at September 30, 2014.

The company now expects medical enrollment to grow by 800,000 - 1,000,000 members for the full year 2015.

Joseph Swedish, president and CEO, said, "Our solid third quarter 2015 results reflect continued enrollment growth in both Commercial and Government business segments and our emphasis on driving greater affordability and choice for members. We remain firmly focused on driving a differentiated consumer experience and capitalizing on the future opportunities for growth across our markets."