Molina Healthcare, Inc. (NYSE: MOH):
-
Adjusted net income per diluted share, continuing operations1,
of $0.64.
-
Net income per diluted share, continuing operations, of $0.10.
-
Aggregate membership grew by 11% compared with fourth quarter 2013;
133,000 new Medicaid Expansion lives added.
-
Total revenue of $2.1 billion, up 21% sequentially.
-
General and administrative expense ratio declined sequentially to 9.1%
in the first quarter of 2014, from 11.0% in the fourth quarter of 2013.
-
Expanded and diversified footprint to South Carolina; began serving
members under the state’s new full-risk Medicaid managed care program
effective January 1, 2014.
Molina Healthcare, Inc. (NYSE: MOH) today reported its financial results
for the first quarter of 2014.
“First quarter operating results were strong,” said J. Mario Molina,
M.D., chief executive officer of Molina Healthcare, Inc. “These results
demonstrate the progress we are making towards managing our growth.
While we have been investing in the infrastructure – staffing, training,
technology – to be ready to accommodate the growth associated with the
dual eligible programs and the Affordable Care Act, we have continued to
improve the administrative efficiency of our existing business.”
Overview of Financial Results
At its Investor Day on February 13, 2014, the Company stated that its
first quarter results could be adversely affected by three factors: (A)
general and administrative expenses incurred before related revenue is
realized; (B) delays in securing agreements for the reimbursement
(including reimbursement for tax impacts) of the Affordable Care Act’s
Health Insurer Fee (HIF); and (C) delays in the recognition of quality
or at risk performance related revenue.
Results reported for the first quarter of 2014 would have been
higher except for:
|
|
(A)
|
|
General and administrative expenses for which no related revenue was
recognized reduced first quarter earnings by approximately $20
million, or $0.19 per diluted share (GAAP and adjusted basis). The
Company’s full year guidance for 2014 anticipates an administrative
expense ratio of 7.5% for the fourth quarter of 2014.
|
|
|
|
(B)
|
|
The absence of full reimbursement for the HIF reduced first quarter
earnings by approximately $16 million, or $0.15 per diluted share
(GAAP and adjusted basis). The Company had not secured agreements
with the states of California, Michigan, New Mexico, Texas, Utah and
South Carolina at the close of the first quarter of 2014 for the
reimbursement (including income tax effect) of the HIF. The Company
remains guardedly optimistic that it will secure such agreements
with all of its state partners prior to the close of 2014.
|
|
|
|
(C)
|
|
The failure to recognize a portion of the Texas health plan’s
quality incentive revenue reduced first quarter earnings by
approximately $6 million, or $0.06 per diluted share (GAAP and
adjusted basis). Changes to the metrics associated with the
achievement of that quality incentive revenue make it difficult to
recognize revenue as of March 31, 2014. The Company remains
guardedly optimistic that it will be able to recognize most of its
quality revenue in Texas prior to the close of 2014.
|
First Quarter of 2014 Compared with the First Quarter of 2013
Financial results for the first quarter of 2014 are difficult to compare
with the first quarter of 2013 for the following reasons:
-
The recognition in the first quarter of 2013 of $24 million in revenue
related to 2012 and 2011;
-
The $16 million of HIF not reimbursed by the Company’s state partners
in the first quarter of 2014;
-
The $6 million of quality revenue not recognized in the first quarter
of 2014;
-
An out of period benefit recorded at the Texas health plan in the
first quarter of 2013 that improved that health plan’s financial
performance by approximately $13 million over what it would have
otherwise reported;
-
The impact of lower margins associated with the startup of operations
in South Carolina and the provision of new benefits to members in
Florida and New Mexico; and
-
The impact of a much higher effective tax rate in the first quarter of
2014 due to the non-deductibility of the HIF.
Sequential Comparison of Financial Results
First quarter 2014 financial results improved when compared with fourth
quarter 2013 due to:
-
An increase in total revenue of 21%; primarily due to the Company’s
expansion into South Carolina, expanded member benefits in New Mexico
and Florida, and substantial membership increases in California; and
-
A decrease in the general and administrative expense ratio to 9.1%,
from 11.0% in the fourth quarter of 2013; partially offset by
-
The impact of that portion of the HIF not reimbursed by the Company’s
state partners which, as noted above, reduced pretax income in the
first quarter of 2014 by approximately $16 million.
Net Income Per Share Guidance
The Company reaffirms its guidance for fiscal year 2014 as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Low End
|
|
|
|
High End
|
|
|
|
Net income per diluted share, continuing operations
|
|
|
|
$1.65
|
|
|
|
$2.15
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted net income per diluted share, continuing operations
|
|
|
|
$4.00
|
|
|
|
$4.50
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Conference Call
The Company’s management will host a conference call and webcast to
discuss its first quarter results at 5:00 p.m. Eastern time on Thursday,
May 1, 2014. The number to call for the interactive teleconference is
(212) 231-2939. A telephonic replay of the conference call will be
available from 7:00 p.m. Eastern time on Thursday, May 1, 2014, through
6:00 p.m. on Friday, May 2, 2014, by dialing (800) 633-8284 and entering
confirmation number 21711622. A live broadcast of Molina Healthcare’s
conference call will be available on the Company’s website, www.molinahealthcare.com.
A 30-day online replay will be available approximately an hour following
the conclusion of the live broadcast.
About Molina Healthcare
Molina Healthcare, Inc., a FORTUNE 500 company, provides quality and
cost-effective Medicaid-related solutions to meet the health care needs
of low-income families and individuals and to assist state agencies in
their administration of the Medicaid program. The Company’s licensed
health plans in California, Florida, Illinois, Michigan, New Mexico,
Ohio, South Carolina, Texas, Utah, Washington, and Wisconsin currently
serve approximately 2.2 million members, and its subsidiary, Molina
Medicaid Solutions, provides business processing and information
technology administrative services to Medicaid agencies in Idaho,
Louisiana, Maine, New Jersey, and West Virginia, and drug rebate
administration services in Florida.
Notes:
|
|
|
1.
|
|
Adjusted net income per diluted share, continuing operations, is a
non-GAAP financial measure used by management as a supplemental
metric in evaluating its financial performance, its financing and
business decisions, and in forecasting and planning for future
periods. This measure is not determined in accordance with
accounting principles generally accepted in the United States of
America (GAAP) and should not be viewed as a substitute for the most
directly comparable GAAP measure, which is diluted net income per
share, continuing operations. See below for reconciliations of the
Company’s non-GAAP measures to the most directly comparable GAAP
measures.
|
Safe Harbor Statement under the Private Securities Litigation
Reform Act of 1995: This earnings release contains “forward-looking
statements” regarding the Company’s plans, expectations, and anticipated
future events. Actual results could differ materially due to numerous
known and unknown risks and uncertainties. Those known risks and
uncertainties include, but are not limited to, the following:
-
uncertainties associated with the implementation of the Affordable
Care Act, including the full grossed up reimbursement by states of the
non-deductible health insurer fee, the expansion of Medicaid
eligibility in the states that participate to previously uninsured
populations unfamiliar with managed care, the implementation of state
insurance marketplaces, the effect of various implementing
regulations, and uncertainties regarding the impact of other federal
or state health care and insurance reform measures, including the dual
eligibles demonstration programs in California, Illinois, Michigan,
Ohio, and South Carolina;
-
newly FDA-approved drugs such as sovaldi, olysio, and other drugs
for hepatitis C or other medical conditions that are exorbitantly
priced but not factored into the calculation of our capitated rates
for 2014;
-
significant budget pressures on state governments and their
potential inability to maintain current rates, to implement expected
rate increases, or to maintain existing benefit packages or membership
eligibility thresholds or criteria;
-
management of our medical costs, including seasonal flu patterns
and rates of utilization that are consistent with our expectations,
and our ability to reduce over time the high medical costs commonly
associated with new patient populations;
-
the accurate estimation of incurred but not paid medical costs
across our health plans;
-
retroactive adjustments to premium revenue or accounting estimates
which require adjustment based upon subsequent developments, including
Medicaid pharmaceutical rebates or retroactive premium rate increases;
-
efforts by states to recoup previously paid amounts, including
claims by the Washington Health Care Authority (HCA) that it overpaid
our Washington health plan for certain claims related to psychotropic
drugs and the Washington Community Options Program Entry System
(COPES);
-
the success of our efforts to retain existing government contracts
and to obtain new government contracts in connection with state
requests for proposals (RFPs) in both existing and new states, and our
ability to increase our revenues consistent with our expectations;
-
the continuation and renewal of the government contracts of both
our health plans and Molina Medicaid Solutions and the terms under
which such contracts are renewed;
-
government audits and reviews, and any fine, enrollment freeze, or
monitoring program that may result therefrom;
-
changes with respect to our provider contracts and the loss of
providers;
-
the establishment of a federal or state medical cost expenditure
floor as a percentage of the premiums we receive, and the
interpretation and implementation of medical cost expenditure floors,
administrative cost and profit ceilings, and profit sharing
arrangements;
-
the interpretation and implementation of at-risk premium rules
regarding the achievement of certain quality measures;
-
approval by state regulators of dividends and distributions by our
health plan subsidiaries;
-
changes in funding under our contracts as a result of regulatory
changes, programmatic adjustments, or other reforms;
-
high dollar claims related to catastrophic illness;
-
the favorable or unfavorable resolution of litigation, arbitration,
or administrative proceedings;
-
the relatively small number of states in which we operate health
plans;
-
our management of a portion of College Health Enterprises’ hospital
in Long Beach, California;
-
the availability of adequate financing on acceptable terms to fund
and capitalize our expansion and growth, repay our outstanding
indebtedness at maturity and meet our liquidity needs, including the
interest expense and other costs associated with such financing;
-
the failure of a state in which we operate to renew its federal
Medicaid waiver;
-
an inadvertent unauthorized disclosure of protected health
information;
-
changes generally affecting the managed care or Medicaid management
information systems industries;
-
increases in government surcharges, taxes, and assessments;
-
changes in general economic conditions, including unemployment
rates;
-
increasing consolidation in the Medicaid industry;
and numerous other risk factors, including those discussed in the
Company’s periodic reports and filings with the Securities and Exchange
Commission. These reports can be accessed under the investor relations
tab of the Company’s website or on the SEC’s website at www.sec.gov.
Given these risks and uncertainties, we can give no assurances that the
Company’s forward-looking statements will prove to be accurate, or that
any other results or events projected or contemplated by the Company’s
forward-looking statements will in fact occur, and we caution investors
not to place undue reliance on these statements. All forward-looking
statements in this release represent the Company’s judgment as of May 1,
2014, and we disclaim any obligation to update any forward-looking
statements to conform the statement to actual results or changes in the
Company’s expectations.
|
|
|
|
|
|
|
|
MOLINA HEALTHCARE, INC.
UNAUDITED CONSOLIDATED STATEMENTS OF INCOME
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
March 31,
|
|
|
|
|
|
|
|
|
2014
|
|
|
|
|
|
2013
|
|
|
|
|
|
|
|
|
(Amounts in thousands,
except net income per share)
|
|
|
|
Revenue:
|
|
|
|
|
|
|
|
|
|
|
|
Premium revenue
|
|
|
|
$
|
1,940,337
|
|
|
|
|
$
|
1,497,433
|
|
|
|
|
Service revenue
|
|
|
|
|
53,630
|
|
|
|
|
|
49,756
|
|
|
|
|
Premium tax revenue
|
|
|
|
|
51,693
|
|
|
|
|
|
37,000
|
|
|
|
|
Health insurer fee revenue (1)
|
|
|
|
|
18,696
|
|
|
|
|
|
–
|
|
|
|
|
Investment income
|
|
|
|
|
1,629
|
|
|
|
|
|
1,516
|
|
|
|
|
Other revenue
|
|
|
|
|
3,258
|
|
|
|
|
|
4,694
|
|
|
|
|
Total revenue
|
|
|
|
|
2,069,243
|
|
|
|
|
|
1,590,399
|
|
|
|
|
Operating expenses:
|
|
|
|
|
|
|
|
|
|
|
|
Medical care costs
|
|
|
|
|
1,721,658
|
|
|
|
|
|
1,287,915
|
|
|
|
|
Cost of service revenue
|
|
|
|
|
40,657
|
|
|
|
|
|
39,770
|
|
|
|
|
General and administrative expenses
|
|
|
|
|
188,087
|
|
|
|
|
|
141,278
|
|
|
|
|
Premium tax expenses
|
|
|
|
|
51,693
|
|
|
|
|
|
37,000
|
|
|
|
|
Health insurer fee expenses (1)
|
|
|
|
|
22,190
|
|
|
|
|
|
–
|
|
|
|
|
Depreciation and amortization
|
|
|
|
|
20,691
|
|
|
|
|
|
16,563
|
|
|
|
|
Total operating expenses
|
|
|
|
|
2,044,976
|
|
|
|
|
|
1,522,526
|
|
|
|
|
Operating income
|
|
|
|
|
24,267
|
|
|
|
|
|
67,873
|
|
|
|
|
Other expenses, net:
|
|
|
|
|
|
|
|
|
|
|
|
Interest expense
|
|
|
|
|
13,822
|
|
|
|
|
|
13,037
|
|
|
|
|
Other income, net
|
|
|
|
|
(44
|
)
|
|
|
|
|
(131
|
)
|
|
|
|
Total other expenses, net
|
|
|
|
|
13,778
|
|
|
|
|
|
12,906
|
|
|
|
|
Income from continuing operations before income tax expense
|
|
|
|
|
10,489
|
|
|
|
|
|
54,967
|
|
|
|
|
Income tax expense
|
|
|
|
|
5,655
|
|
|
|
|
|
24,445
|
|
|
|
|
Income from continuing operations
|
|
|
|
|
4,834
|
|
|
|
|
|
30,522
|
|
|
|
|
Loss from discontinued operations, net of tax
|
|
|
|
|
(336
|
)
|
|
|
|
|
(607
|
)
|
|
|
|
Net income
|
|
|
|
$
|
4,498
|
|
|
|
|
$
|
29,915
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted net income (loss) per share:
|
|
|
|
|
|
|
|
|
|
|
|
Continuing operations
|
|
|
|
$
|
0.10
|
|
|
|
|
$
|
0.65
|
|
|
|
|
Discontinued operations
|
|
|
|
|
(0.01
|
)
|
|
|
|
|
(0.01
|
)
|
|
|
|
Diluted net income per share
|
|
|
|
$
|
0.09
|
|
|
|
|
$
|
0.64
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted weighted average shares outstanding
|
|
|
|
|
47,520
|
|
|
|
|
|
46,443
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating Statistics, Continuing Operations:
|
|
|
|
|
|
|
|
|
|
|
|
Medical care ratio (2)
|
|
|
|
|
88.7
|
%
|
|
|
|
|
86.0
|
%
|
|
|
|
Service revenue ratio (3)
|
|
|
|
|
75.8
|
%
|
|
|
|
|
79.9
|
%
|
|
|
|
General and administrative expense ratio (4)
|
|
|
|
|
9.1
|
%
|
|
|
|
|
8.9
|
%
|
|
|
|
Premium tax ratio (2)
|
|
|
|
|
2.6
|
%
|
|
|
|
|
2.4
|
%
|
|
|
|
Effective tax rate
|
|
|
|
|
53.9
|
%
|
|
|
|
|
44.5
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
____________
|
(1) Health insurer fee expenses represent insurer fees
levied by the federal government under the Affordable Care Act,
which are not tax deductible. Associated revenues represent state
and federal reimbursement of such fees (including the related
income tax effect) for Medicaid and Medicare insurers.
|
(2) Medical care ratio represents medical care costs as
a percentage of premium revenue; premium tax ratio represents
premium taxes as a percentage of premium revenue plus premium tax
revenue.
|
(3) Service revenue ratio represents cost of service
revenue as a percentage of service revenue.
|
(4) Computed as a percentage of total revenue.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
MOLINA HEALTHCARE, INC.
CONSOLIDATED BALANCE SHEETS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
March 31, 2014
|
|
|
|
Dec. 31, 2013
|
|
|
|
|
|
|
|
(Amounts in thousands,
except per-share data)
|
|
|
|
ASSETS
|
|
|
|
Current assets:
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash equivalents
|
|
|
|
$
|
1,083,369
|
|
|
|
|
$
|
935,895
|
|
|
|
|
Investments
|
|
|
|
|
696,200
|
|
|
|
|
|
703,052
|
|
|
|
|
Receivables
|
|
|
|
|
338,232
|
|
|
|
|
|
298,935
|
|
|
|
|
Income taxes refundable
|
|
|
|
|
28,100
|
|
|
|
|
|
32,742
|
|
|
|
|
Deferred income taxes
|
|
|
|
|
22,414
|
|
|
|
|
|
26,556
|
|
|
|
|
Prepaid expenses and other current assets
|
|
|
|
|
112,916
|
|
|
|
|
|
42,484
|
|
|
|
|
Total current assets
|
|
|
|
|
2,281,231
|
|
|
|
|
|
2,039,664
|
|
|
|
|
Property, equipment, and capitalized software, net
|
|
|
|
|
310,364
|
|
|
|
|
|
292,083
|
|
|
|
|
Deferred contract costs
|
|
|
|
|
44,740
|
|
|
|
|
|
45,675
|
|
|
|
|
Intangible assets, net
|
|
|
|
|
93,587
|
|
|
|
|
|
98,871
|
|
|
|
|
Goodwill
|
|
|
|
|
230,738
|
|
|
|
|
|
230,738
|
|
|
|
|
Restricted investments
|
|
|
|
|
82,036
|
|
|
|
|
|
63,093
|
|
|
|
|
Auction rate securities
|
|
|
|
|
10,928
|
|
|
|
|
|
10,898
|
|
|
|
|
Deferred income taxes
|
|
|
|
|
3,510
|
|
|
|
|
|
–
|
|
|
|
|
Derivative asset
|
|
|
|
|
196,617
|
|
|
|
|
|
186,351
|
|
|
|
|
Other assets
|
|
|
|
|
39,730
|
|
|
|
|
|
35,564
|
|
|
|
|
|
|
|
|
$
|
3,293,481
|
|
|
|
|
$
|
3,002,937
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES AND STOCKHOLDERS’ EQUITY
|
|
|
|
Current liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
Medical claims and benefits payable
|
|
|
|
$
|
819,541
|
|
|
|
|
$
|
669,787
|
|
|
|
|
Accounts payable and accrued liabilities
|
|
|
|
|
406,414
|
|
|
|
|
|
319,965
|
|
|
|
|
Deferred revenue
|
|
|
|
|
146,276
|
|
|
|
|
|
122,216
|
|
|
|
|
Current maturities of long-term debt
|
|
|
|
|
183,713
|
|
|
|
|
|
182,008
|
|
|
|
|
Total current liabilities
|
|
|
|
|
1,555,944
|
|
|
|
|
|
1,293,976
|
|
|
|
|
Convertible senior notes
|
|
|
|
|
421,004
|
|
|
|
|
|
416,368
|
|
|
|
|
Lease financing obligations
|
|
|
|
|
159,754
|
|
|
|
|
|
159,394
|
|
|
|
|
Lease financing obligations – related party
|
|
|
|
|
34,820
|
|
|
|
|
|
27,092
|
|
|
|
|
Deferred income taxes
|
|
|
|
|
–
|
|
|
|
|
|
580
|
|
|
|
|
Derivative liability
|
|
|
|
|
196,503
|
|
|
|
|
|
186,239
|
|
|
|
|
Other long-term liabilities
|
|
|
|
|
27,736
|
|
|
|
|
|
26,351
|
|
|
|
|
Total liabilities
|
|
|
|
|
2,395,761
|
|
|
|
|
|
2,110,000
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Stockholders’ equity:
|
|
|
|
|
|
|
|
|
|
|
|
Common stock, $0.001 par value; 150,000 shares authorized;
outstanding: 46,263 shares at March 31, 2014 and 45,871 shares at
December 31, 2013
|
|
|
|
|
46
|
|
|
|
|
|
46
|
|
|
|
|
Preferred stock, $0.001 par value; 20,000 shares authorized, no
shares issued and outstanding
|
|
|
|
|
–
|
|
|
|
|
|
–
|
|
|
|
|
Additional paid-in capital
|
|
|
|
|
340,429
|
|
|
|
|
|
340,848
|
|
|
|
|
Accumulated other comprehensive loss
|
|
|
|
|
(382
|
)
|
|
|
|
|
(1,086
|
)
|
|
|
|
Retained earnings
|
|
|
|
|
557,627
|
|
|
|
|
|
553,129
|
|
|
|
|
Total stockholders’ equity
|
|
|
|
|
897,720
|
|
|
|
|
|
892,937
|
|
|
|
|
|
|
|
|
$
|
3,293,481
|
|
|
|
|
$
|
3,002,937
|
|
|
|
|
|
|
|
|
|
|
|
|
MOLINA HEALTHCARE, INC.
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS,
CONTINUING AND DISCONTINUED OPERATIONS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
March 31,
|
|
|
|
|
|
|
|
|
2014
|
|
|
|
|
|
2013
|
|
|
|
|
|
|
|
|
(Amounts in thousands)
|
|
|
|
Operating activities:
|
|
|
|
|
|
|
|
|
|
|
|
Net income
|
|
|
|
$
|
4,498
|
|
|
|
|
$
|
29,915
|
|
|
|
|
Adjustments to reconcile net income to net cash provided by
operating activities:
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation and amortization
|
|
|
|
|
32,994
|
|
|
|
|
|
21,799
|
|
|
|
|
Deferred income taxes
|
|
|
|
|
(670
|
)
|
|
|
|
|
(16
|
)
|
|
|
|
Stock-based compensation
|
|
|
|
|
5,596
|
|
|
|
|
|
4,421
|
|
|
|
|
Amortization of convertible senior notes and lease financing
obligations
|
|
|
|
|
6,674
|
|
|
|
|
|
3,723
|
|
|
|
|
Amortization of premium/discount on investments
|
|
|
|
|
3,023
|
|
|
|
|
|
1,502
|
|
|
|
|
Amortization of deferred financing costs
|
|
|
|
|
651
|
|
|
|
|
|
1,248
|
|
|
|
|
Gain on derivatives, net
|
|
|
|
|
(2
|
)
|
|
|
|
|
(119
|
)
|
|
|
|
Change in fair value of contingent consideration liabilities
|
|
|
|
|
(4,265
|
)
|
|
|
|
|
–
|
|
|
|
|
Gain on disposal of property and equipment, net
|
|
|
|
|
(950
|
)
|
|
|
|
|
–
|
|
|
|
|
Tax deficiency from employee stock compensation
|
|
|
|
|
(5
|
)
|
|
|
|
|
(42
|
)
|
|
|
|
Changes in operating assets and liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
Receivables
|
|
|
|
|
(39,297
|
)
|
|
|
|
|
(569
|
)
|
|
|
|
Prepaid expenses and other assets
|
|
|
|
|
(78,023
|
)
|
|
|
|
|
(8,956
|
)
|
|
|
|
Medical claims and benefits payable
|
|
|
|
|
149,754
|
|
|
|
|
|
(3,385
|
)
|
|
|
|
Accounts payable and accrued liabilities
|
|
|
|
|
102,217
|
|
|
|
|
|
(31,847
|
)
|
|
|
|
Deferred revenue
|
|
|
|
|
24,060
|
|
|
|
|
|
(5,994
|
)
|
|
|
|
Income taxes
|
|
|
|
|
4,642
|
|
|
|
|
|
8,424
|
|
|
|
|
Net cash provided by operating activities
|
|
|
|
|
210,897
|
|
|
|
|
|
20,104
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Investing activities:
|
|
|
|
|
|
|
|
|
|
|
|
Purchases of investments
|
|
|
|
|
(142,145
|
)
|
|
|
|
|
(76,012
|
)
|
|
|
|
Sales and maturities of investments
|
|
|
|
|
147,370
|
|
|
|
|
|
75,647
|
|
|
|
|
Purchases of equipment
|
|
|
|
|
(17,788
|
)
|
|
|
|
|
(11,167
|
)
|
|
|
|
Increase in restricted investments
|
|
|
|
|
(14,381
|
)
|
|
|
|
|
(11,016
|
)
|
|
|
|
Sale of property and equipment
|
|
|
|
|
5,715
|
|
|
|
|
|
–
|
|
|
|
|
Change in deferred contract costs
|
|
|
|
|
(6,145
|
)
|
|
|
|
|
1,756
|
|
|
|
|
Change in other noncurrent assets and liabilities
|
|
|
|
|
(117
|
)
|
|
|
|
|
(408
|
)
|
|
|
|
Net cash used in investing activities
|
|
|
|
|
(27,491
|
)
|
|
|
|
|
(21,200
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Financing activities:
|
|
|
|
|
|
|
|
|
|
|
|
Proceeds from issuance of 1.125% Notes, net of deferred financing
costs
|
|
|
|
|
–
|
|
|
|
|
|
537,973
|
|
|
|
|
Purchase of 1.125% Notes call option
|
|
|
|
|
–
|
|
|
|
|
|
(149,331
|
)
|
|
|
|
Proceeds from issuance of warrants
|
|
|
|
|
–
|
|
|
|
|
|
75,074
|
|
|
|
|
Treasury stock purchases
|
|
|
|
|
–
|
|
|
|
|
|
(50,000
|
)
|
|
|
|
Principal payments on term loan
|
|
|
|
|
–
|
|
|
|
|
|
(291
|
)
|
|
|
|
Repayment of amounts borrowed under credit facility
|
|
|
|
|
–
|
|
|
|
|
|
(40,000
|
)
|
|
|
|
Contingent consideration liabilities settled
|
|
|
|
|
(38,119
|
)
|
|
|
|
|
–
|
|
|
|
|
Proceeds from employee stock plans
|
|
|
|
|
1,330
|
|
|
|
|
|
235
|
|
|
|
|
Excess tax benefits from employee stock compensation
|
|
|
|
|
877
|
|
|
|
|
|
1,177
|
|
|
|
|
Principal payments on lease financing obligations
|
|
|
|
|
(20
|
)
|
|
|
|
|
–
|
|
|
|
|
Net cash (used in) provided by financing activities
|
|
|
|
|
(35,932
|
)
|
|
|
|
|
374,837
|
|
|
|
|
Net increase in cash and cash equivalents
|
|
|
|
|
147,474
|
|
|
|
|
|
373,741
|
|
|
|
|
Cash and cash equivalents at beginning of period
|
|
|
|
|
935,895
|
|
|
|
|
|
795,770
|
|
|
|
|
Cash and cash equivalents at end of period
|
|
|
|
$
|
1,083,369
|
|
|
|
|
$
|
1,169,511
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
MOLINA HEALTHCARE, INC. UNAUDITED NON-GAAP
FINANCIAL MEASURES
|
|
|
|
|
|
|
|
|
|
The Company uses two non-GAAP financial measures as supplemental
metrics in evaluating its financial performance, making financing
and business decisions, and forecasting and planning for future
periods. For these reasons, management believes such measures are
useful supplemental measures to investors in comparing the
Company’s performance to the performance of other public companies
in the health care industry. These non-GAAP financial measures
should be considered as supplements to, and not as substitutes for
or superior to, GAAP measures.
|
|
The first of these non-GAAP measures is earnings before interest,
taxes, depreciation and amortization (EBITDA). The following table
reconciles net income, which the Company believes to be the most
comparable GAAP measure, to EBITDA.
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
March 31,
|
|
|
|
|
|
|
|
|
2014
|
|
|
|
|
2013
|
|
|
|
|
|
|
|
(Amounts in thousands)
|
|
|
|
Net income
|
|
|
|
$
|
4,498
|
|
|
|
$
|
29,915
|
|
|
|
Adjustments:
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation, and amortization of intangible assets and capitalized
software
|
|
|
|
|
25,914
|
|
|
|
|
21,799
|
|
|
|
Interest expense
|
|
|
|
|
13,822
|
|
|
|
|
13,037
|
|
|
|
Income tax expense
|
|
|
|
|
5,237
|
|
|
|
|
24,270
|
|
|
|
EBITDA
|
|
|
|
$
|
49,471
|
|
|
|
$
|
89,021
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
The second of these non-GAAP measures is adjusted net income,
continuing operations (including adjusted net income per diluted
share). The following table reconciles net income from continuing
operations, which the Company believes to be the most comparable
GAAP measure, to adjusted net income, continuing operations.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended March 31,
|
|
|
|
|
|
|
|
2014
|
|
|
|
2013
|
|
|
|
|
|
|
|
(In thousands, except per diluted share amounts)
|
|
|
|
Net income, continuing operations
|
|
|
|
$
|
4,834
|
|
|
|
|
$
|
0.10
|
|
|
|
$
|
30,522
|
|
|
|
|
$
|
0.65
|
|
|
|
Adjustments, net of tax:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation, and amortization of capitalized software
|
|
|
|
|
12,998
|
|
|
|
|
|
0.27
|
|
|
|
|
10,679
|
|
|
|
|
|
0.23
|
|
|
|
Stock-based compensation
|
|
|
|
|
4,899
|
|
|
|
|
|
0.10
|
|
|
|
|
3,600
|
|
|
|
|
|
0.08
|
|
|
|
Amortization of convertible senior notes and lease financing
obligations
|
|
|
|
|
4,205
|
|
|
|
|
|
0.10
|
|
|
|
|
2,345
|
|
|
|
|
|
0.05
|
|
|
|
Amortization of intangible assets
|
|
|
|
|
3,329
|
|
|
|
|
|
0.07
|
|
|
|
|
3,054
|
|
|
|
|
|
0.07
|
|
|
|
Change in fair value of derivatives
|
|
|
|
|
(1
|
)
|
|
|
|
|
–
|
|
|
|
|
(75
|
)
|
|
|
|
|
–
|
|
|
|
Adjusted net income, continuing operations
|
|
|
|
$
|
30,264
|
|
|
|
|
$
|
0.64
|
|
|
|
$
|
50,125
|
|
|
|
|
$
|
1.08
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
MOLINA HEALTHCARE, INC.
UNAUDITED HEALTH PLANS SEGMENT MEMBERSHIP DATA,
CONTINUING OPERATIONS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
March 31,
2014
|
|
|
|
Dec. 31,
2013
|
|
|
|
March 31,
2013
|
|
|
|
Ending Membership by Health Plan:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
California
|
|
|
418,000
|
|
|
|
368,000
|
|
|
|
332,000
|
|
|
|
Florida
|
|
|
91,000
|
|
|
|
89,000
|
|
|
|
75,000
|
|
|
|
Illinois
|
|
|
5,000
|
|
|
|
4,000
|
|
|
|
–
|
|
|
|
Michigan
|
|
|
218,000
|
|
|
|
213,000
|
|
|
|
217,000
|
|
|
|
New Mexico
|
|
|
183,000
|
|
|
|
168,000
|
|
|
|
91,000
|
|
|
|
Ohio
|
|
|
260,000
|
|
|
|
255,000
|
|
|
|
242,000
|
|
|
|
South Carolina (1)
|
|
|
126,000
|
|
|
|
–
|
|
|
|
–
|
|
|
|
Texas
|
|
|
246,000
|
|
|
|
252,000
|
|
|
|
274,000
|
|
|
|
Utah
|
|
|
80,000
|
|
|
|
86,000
|
|
|
|
87,000
|
|
|
|
Washington
|
|
|
434,000
|
|
|
|
403,000
|
|
|
|
416,000
|
|
|
|
Wisconsin
|
|
|
90,000
|
|
|
|
93,000
|
|
|
|
86,000
|
|
|
|
|
|
|
2,151,000
|
|
|
|
1,931,000
|
|
|
|
1,820,000
|
|
|
|
Ending Membership by Program:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Temporary Assistance for Needy Families (TANF)
|
|
|
1,575,300
|
|
|
|
1,503,800
|
|
|
|
1,402,000
|
|
|
|
Aged, Blind or Disabled (ABD)
|
|
|
309,900
|
|
|
|
288,600
|
|
|
|
269,300
|
|
|
|
Medicaid Expansion (2)
|
|
|
133,000
|
|
|
|
–
|
|
|
|
–
|
|
|
|
Children’s Health Insurance Program (CHIP)
|
|
|
83,700
|
|
|
|
99,200
|
|
|
|
114,400
|
|
|
|
Medicare Special Needs Plans
|
|
|
41,400
|
|
|
|
39,400
|
|
|
|
34,300
|
|
|
|
Health Insurance Marketplaces (3)
|
|
|
7,700
|
|
|
|
–
|
|
|
|
–
|
|
|
|
|
|
|
2,151,000
|
|
|
|
1,931,000
|
|
|
|
1,820,000
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
____________
|
(1) The South Carolina health plan began serving
members under the state of South Carolina’s new full-risk Medicaid
managed care program effective January 1, 2014.
|
(2) Medicaid Expansion membership phased in effective
January 1, 2014.
|
(3) Health Insurance Marketplaces became available for
consumers to access coverage beginning January 1, 2014.
|
|
|
|
|
|
MOLINA HEALTHCARE, INC.
UNAUDITED SELECTED HEALTH PLANS SEGMENT FINANCIAL DATA,
CONTINUING OPERATIONS
(In thousands, except percentages and per-member-per-month
amounts)
|
|
|
|
|
|
|
|
|
Three Months Ended March 31, 2014
|
|
|
|
|
Member
Months (1)
|
|
|
|
Premium Revenue
|
|
|
|
Medical Care Costs
|
|
|
|
MCR (2)
|
|
|
|
Medical
Margin
|
|
|
|
|
|
|
|
Total
|
|
|
|
PMPM
|
|
|
|
Total
|
|
|
|
PMPM
|
|
|
|
|
|
|
|
California
|
|
|
1,254
|
|
|
|
$ 277,642
|
|
|
|
$ 221.42
|
|
|
|
$ 237,344
|
|
|
|
$ 189.28
|
|
|
|
85.5
|
%
|
|
|
|
$
|
40,298
|
|
|
Florida
|
|
|
270
|
|
|
|
105,166
|
|
|
|
389.67
|
|
|
|
93,461
|
|
|
|
346.30
|
|
|
|
88.9
|
|
|
|
|
|
11,705
|
|
|
Illinois (3)
|
|
|
14
|
|
|
|
15,171
|
|
|
|
1,078.41
|
|
|
|
14,494
|
|
|
|
1,030.28
|
|
|
|
95.5
|
|
|
|
|
|
677
|
|
|
Michigan
|
|
|
648
|
|
|
|
173,496
|
|
|
|
267.58
|
|
|
|
135,320
|
|
|
|
208.70
|
|
|
|
78.0
|
|
|
|
|
|
38,176
|
|
|
New Mexico
|
|
|
549
|
|
|
|
225,068
|
|
|
|
410.00
|
|
|
|
196,409
|
|
|
|
357.79
|
|
|
|
87.3
|
|
|
|
|
|
28,659
|
|
|
Ohio
|
|
|
772
|
|
|
|
278,295
|
|
|
|
360.62
|
|
|
|
237,328
|
|
|
|
307.53
|
|
|
|
85.3
|
|
|
|
|
|
40,967
|
|
|
South Carolina
|
|
|
394
|
|
|
|
96,020
|
|
|
|
243.41
|
|
|
|
90,262
|
|
|
|
228.82
|
|
|
|
94.0
|
|
|
|
|
|
5,758
|
|
|
Texas
|
|
|
749
|
|
|
|
320,096
|
|
|
|
427.27
|
|
|
|
292,958
|
|
|
|
391.05
|
|
|
|
91.5
|
|
|
|
|
|
27,138
|
|
|
Utah
|
|
|
246
|
|
|
|
78,654
|
|
|
|
319.96
|
|
|
|
67,200
|
|
|
|
273.37
|
|
|
|
85.4
|
|
|
|
|
|
11,454
|
|
|
Washington
|
|
|
1,276
|
|
|
|
323,461
|
|
|
|
253.48
|
|
|
|
298,107
|
|
|
|
233.61
|
|
|
|
92.2
|
|
|
|
|
|
25,354
|
|
|
Wisconsin
|
|
|
274
|
|
|
|
38,528
|
|
|
|
140.67
|
|
|
|
28,809
|
|
|
|
105.19
|
|
|
|
74.8
|
|
|
|
|
|
9,719
|
|
|
Other (4)
|
|
|
–
|
|
|
|
8,740
|
|
|
|
–
|
|
|
|
29,966
|
|
|
|
–
|
|
|
|
–
|
|
|
|
|
|
(21,226
|
)
|
|
|
|
|
6,446
|
|
|
|
$ 1,940,337
|
|
|
|
$ 301.00
|
|
|
|
$ 1,721,658
|
|
|
|
$ 267.08
|
|
|
|
88.7
|
%
|
|
|
|
$
|
218,679
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended March 31, 2013
|
|
|
|
|
Member
Months (1)
|
|
|
|
Premium Revenue
|
|
|
|
Medical Care Costs
|
|
|
|
MCR (2)
|
|
|
|
Medical
Margin
|
|
|
|
|
|
|
|
Total
|
|
|
|
PMPM
|
|
|
|
Total
|
|
|
|
PMPM
|
|
|
|
|
|
|
|
California
|
|
|
1,001
|
|
|
|
$ 187,788
|
|
|
|
$ 187.55
|
|
|
|
$ 159,763
|
|
|
|
$ 159.56
|
|
|
|
85.1
|
%
|
|
|
|
$
|
28,025
|
|
|
Florida
|
|
|
223
|
|
|
|
58,164
|
|
|
|
260.13
|
|
|
|
49,404
|
|
|
|
220.95
|
|
|
|
84.9
|
|
|
|
|
|
8,760
|
|
|
Michigan
|
|
|
652
|
|
|
|
166,557
|
|
|
|
255.52
|
|
|
|
146,748
|
|
|
|
225.13
|
|
|
|
88.1
|
|
|
|
|
|
19,809
|
|
|
New Mexico
|
|
|
274
|
|
|
|
84,000
|
|
|
|
306.97
|
|
|
|
72,149
|
|
|
|
263.66
|
|
|
|
85.9
|
|
|
|
|
|
11,851
|
|
|
Ohio
|
|
|
726
|
|
|
|
268,808
|
|
|
|
370.44
|
|
|
|
227,454
|
|
|
|
313.45
|
|
|
|
84.6
|
|
|
|
|
|
41,354
|
|
|
Texas
|
|
|
832
|
|
|
|
329,451
|
|
|
|
395.96
|
|
|
|
266,449
|
|
|
|
320.24
|
|
|
|
80.9
|
|
|
|
|
|
63,002
|
|
|
Utah
|
|
|
259
|
|
|
|
74,956
|
|
|
|
289.59
|
|
|
|
65,029
|
|
|
|
251.24
|
|
|
|
86.8
|
|
|
|
|
|
9,927
|
|
|
Washington
|
|
|
1,250
|
|
|
|
298,286
|
|
|
|
238.70
|
|
|
|
261,397
|
|
|
|
209.18
|
|
|
|
87.6
|
|
|
|
|
|
36,889
|
|
|
Wisconsin
|
|
|
200
|
|
|
|
27,124
|
|
|
|
135.53
|
|
|
|
23,664
|
|
|
|
118.24
|
|
|
|
87.2
|
|
|
|
|
|
3,460
|
|
|
Other (3)(4)
|
|
|
–
|
|
|
|
2,299
|
|
|
|
–
|
|
|
|
15,858
|
|
|
|
–
|
|
|
|
–
|
|
|
|
|
|
(13,559
|
)
|
|
|
|
|
5,417
|
|
|
|
$ 1,497,433
|
|
|
|
$ 276.45
|
|
|
|
$ 1,287,915
|
|
|
|
$ 237.77
|
|
|
|
86.0
|
%
|
|
|
|
$
|
209,518
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
____________
|
|
|
(1) A member month is defined as the aggregate of each
month’s ending membership for the period presented.
|
(2) The MCR represents medical costs as a percentage of
premium revenue.
|
(3) The Illinois health plan’s results prior to October
1, 2013, were insignificant and reported in “Other.”
|
(4) “Other” medical care costs include primarily
medically related administrative costs at the parent company, and
direct delivery costs.
|
|
|
|
|
|
|
|
MOLINA HEALTHCARE, INC.
|
|
|
|
UNAUDITED SELECTED FINANCIAL DATA
|
|
|
|
(Dollars in thousands, except per-member-per-month amounts)
|
|
|
|
|
|
|
|
The following tables provide the details of the Company’s medical
care costs from continuing operations for the periods indicated:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended March 31,
|
|
|
|
|
|
|
2014
|
|
|
|
|
2013
|
|
|
|
|
|
|
|
Amount
|
|
|
|
PMPM
|
|
|
|
% of
Total
|
|
|
|
Amount
|
|
|
|
PMPM
|
|
|
|
% of
Total
|
|
|
|
Fee for service
|
|
|
$
|
1,181,061
|
|
|
|
$
|
183.21
|
|
|
|
68.6
|
%
|
|
|
|
$
|
866,755
|
|
|
|
$
|
160.02
|
|
|
|
67.3
|
%
|
|
|
|
Pharmacy
|
|
|
|
286,628
|
|
|
|
|
44.46
|
|
|
|
16.7
|
|
|
|
|
|
231,838
|
|
|
|
|
42.80
|
|
|
|
18.0
|
|
|
|
|
Capitation
|
|
|
|
169,439
|
|
|
|
|
26.28
|
|
|
|
9.8
|
|
|
|
|
|
140,324
|
|
|
|
|
25.91
|
|
|
|
10.9
|
|
|
|
|
Direct delivery
|
|
|
|
22,021
|
|
|
|
|
3.42
|
|
|
|
1.3
|
|
|
|
|
|
8,684
|
|
|
|
|
1.60
|
|
|
|
0.7
|
|
|
|
|
Other
|
|
|
|
62,509
|
|
|
|
|
9.71
|
|
|
|
3.6
|
|
|
|
|
|
40,314
|
|
|
|
|
7.44
|
|
|
|
3.1
|
|
|
|
|
|
|
|
$
|
1,721,658
|
|
|
|
$
|
267.08
|
|
|
|
100.0
|
%
|
|
|
|
$
|
1,287,915
|
|
|
|
$
|
237.77
|
|
|
|
100.0
|
%
|
|
|
|
The following table provides the details of the Company’s medical
claims and benefits payable as of the dates indicated:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
March 31,
2014
|
|
|
|
Dec. 31,
2013
|
|
|
|
Fee-for-service claims incurred but not paid (IBNP)
|
|
|
|
$
|
592,403
|
|
|
|
$
|
424,173
|
|
|
|
Pharmacy payable
|
|
|
|
|
51,743
|
|
|
|
|
45,037
|
|
|
|
Capitation payable
|
|
|
|
|
23,583
|
|
|
|
|
20,267
|
|
|
|
Other
|
|
|
|
|
151,812
|
|
|
|
|
180,310
|
|
|
|
|
|
|
|
$
|
819,541
|
|
|
|
$
|
669,787
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
MOLINA HEALTHCARE, INC. UNAUDITED CHANGE IN MEDICAL
CLAIMS AND BENEFITS PAYABLE
|
|
|
|
|
|
|
|
|
|
|
|
The Company’s claims liability includes an allowance for adverse
claims development based on historical experience and other
factors including, but not limited to, variations in claims
payment patterns, changes in utilization and cost trends, known
outbreaks of disease, and large claims. The Company’s reserving
methodology is consistently applied across all periods presented.
The amounts displayed for “Components of medical care costs
related to: Prior period” represent the amount by which the
Company’s original estimate of claims and benefits payable at the
beginning of the period were more than the actual amount of the
liability based on information (principally the payment of claims)
developed since that liability was first reported. The following
table shows the components of the change in medical claims and
benefits payable from continuing and discontinued operations as of
the periods indicated:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
March 31,
|
|
|
|
Year Ended
December 31,
2013
|
|
|
|
|
|
|
2014
|
|
|
|
2013
|
|
|
|
|
|
|
|
|
|
(Dollars in thousands,
except per-member amounts)
|
|
|
|
Balances at beginning of period
|
|
|
$
|
669,787
|
|
|
|
|
$
|
494,530
|
|
|
|
|
$
|
494,530
|
|
|
|
|
Components of medical care costs related to:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Current period
|
|
|
|
1,773,332
|
|
|
|
|
|
1,347,181
|
|
|
|
|
|
5,434,443
|
|
|
|
|
Prior period
|
|
|
|
(50,904
|
)
|
|
|
|
|
(58,427
|
)
|
|
|
|
|
(52,779
|
)
|
|
|
|
Total medical care costs
|
|
|
|
1,722,428
|
|
|
|
|
|
1,288,754
|
|
|
|
|
|
5,381,664
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Change in non-risk provider payables
|
|
|
|
(28,560
|
)
|
|
|
|
|
(7,638
|
)
|
|
|
|
|
111,267
|
|
|
|
|
Payments for medical care costs related to:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Current period
|
|
|
|
1,172,672
|
|
|
|
|
|
948,820
|
|
|
|
|
|
4,932,195
|
|
|
|
|
Prior period
|
|
|
|
371,442
|
|
|
|
|
|
335,681
|
|
|
|
|
|
385,479
|
|
|
|
|
Total paid
|
|
|
|
1,544,114
|
|
|
|
|
|
1,284,501
|
|
|
|
|
|
5,317,674
|
|
|
|
|
Balances at end of period
|
|
|
$
|
819,541
|
|
|
|
|
$
|
491,145
|
|
|
|
|
$
|
669,787
|
|
|
|
|
Benefit from prior period as a percentage of:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance at beginning of period
|
|
|
|
7.6
|
%
|
|
|
|
|
11.8
|
%
|
|
|
|
|
10.7
|
%
|
|
|
|
Premium revenue, trailing twelve months
|
|
|
|
0.8
|
%
|
|
|
|
|
1.0
|
%
|
|
|
|
|
0.9
|
%
|
|
|
|
Medical care costs, trailing twelve months
|
|
|
|
0.9
|
%
|
|
|
|
|
1.1
|
%
|
|
|
|
|
1.0
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Claims Data:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Days in claims payable, fee for service
|
|
|
|
46
|
|
|
|
|
|
38
|
|
|
|
|
|
43
|
|
|
|
|
Number of members at end of period
|
|
|
|
2,151,000
|
|
|
|
|
|
1,820,000
|
|
|
|
|
|
1,931,000
|
|
|
|
|
Number of claims in inventory at end of period
|
|
|
|
287,300
|
|
|
|
|
|
135,400
|
|
|
|
|
|
145,800
|
|
|
|
|
Billed charges of claims in inventory at end of period
|
|
|
$
|
517,300
|
|
|
|
|
$
|
236,700
|
|
|
|
|
$
|
276,500
|
|
|
|
|
Claims in inventory per member at end of period
|
|
|
|
0.13
|
|
|
|
|
|
0.07
|
|
|
|
|
|
0.08
|
|
|
|
|
Billed charges of claims in inventory per member
at end of period
|
|
|
$
|
240.49
|
|
|
|
|
$
|
130.05
|
|
|
|
|
$
|
143.19
|
|
|
|
|
Number of claims received during the period
|
|
|
|
5,986,000
|
|
|
|
|
|
5,271,000
|
|
|
|
|
|
21,317,500
|
|
|
|
|
Billed charges of claims received during the period
|
|
|
$
|
6,354,000
|
|
|
|
|
$
|
5,170,700
|
|
|
|
|
$
|
21,414,600
|
|
|
|
|
Copyright Business Wire 2014