Centene reported second quarter 2026 total revenues of $53.6 billion and GAAP EPS of $2.19, significantly exceeding analyst expectations. The company's Health Benefits Ratio (HBR) improved to 89.6% from 93.0% a year ago, driven by better performance in its Commercial and Medicare segments. As a result of the strong performance, Centene increased its full-year 2026 earnings guidance.
Key Highlights
- Centene raised its full-year 2026 guidance, now expecting GAAP diluted EPS to be greater than $3.11 and Adjusted diluted EPS to be greater than $4.80.
- The consolidated Health Benefits Ratio (HBR) improved by 340 basis points year-over-year to 89.6%, with the Commercial segment HBR showing significant improvement at 79.2%.
- Medicare segment revenue grew 17% year-over-year to $11.1 billion, with its HBR improving to 89.5% amid what the company called "fundamental outperformance."
- Total at-risk membership declined to 25.9 million from 28.0 million a year ago, primarily due to lower membership in the Medicaid and Marketplace segments.