Anthem is boosting its guidance on the back of $1.8 billion in profit for the second quarter.
That represents a drop of about 21% from Q2 2020 at the height of the COVID-19 pandemic. Insurers across the board raked in massive earnings in the prior-year quarter, with their profits so high due to plummeting care volumes that Congress got involved.
Anthem posted $33.9 billion in revenue for the quarter, up nearly 16% from the $29.3 billion reported in Q2 2020.
The insurers’ results for the second quarter surpassed Wall Street’s expectations for both profit and revenue, according to predictions from Zacks Investment Research.
“We continued to deliver on our commitments to our stakeholders while making considerable progress against our long-term strategy during the second quarter, all while navigating an uncertain environment due to the pandemic,” said Gail Boudreaux, Anthem CEO, in a statement.
“Our continued success is a function of our relentless focus on the needs of our clients and customers and an unwavering commitment to improve the health of humanity, starting with our members, their communities and our own associates,” she said.
Through the first half of 2021, Anthem brought in $66.2 billion in revenue, up 12.5% from the first half of 2020, where the company reported $58.9 billion in revenue. Profits were down 9% through the first six months of 2021, sitting at $3.5 billion.
Anthem reported $3.8 billion in profit for the first half of 2020.
The insurer boasted 44.3 million members as of June 30, an increase of 1.9 million compared to the prior year quarter. This includes growth of 2.1 million lives in the its government business.
Due to the results in Q2, Anthem is boosting its guidance to greater than $24.89 per share, which accounts for about 61 cents per share in net unfavorable items. The company expects revenues for the year of about $137.1 billion.