Humana boosts guidance as it posts $588M in Q2 profit

Humana brought in $588 million in profit for the second quarter of 2021, down 67.8% from its haul in the prior-year quarter.

This echoes its peers’ quarterly performance. Insurers posted sky-high profits in the second quarter of 2020 as healthcare utilization plummeted under the pandemic, raking in so much cash that Congress began a probe of their finances.

In Q2 2020, Humana earned $1.8 billion in profit. While this quarter’s results represent a steep drop off year over year, they did surpass Wall Street’s expectations, according to Zacks Investment Research.

Revenues were up year over year, according to the earnings report, reaching $20.6 billion. This also beat the Street, according to Zacks.

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Profit is also down through June 30 compared to the first half of 2020, according to the report. Through the first two quarters of this year, Humana earned $1.4 billion in profit, compared to 2.3 billion in the first half of 2020.

Revenue increased 8.7% year over year, however. Through the first half of this year, Humana has brought in $41.3 billion in revenue compared to $38 billion in the first half of 2020.

“This year, we continue to focus on delivering strong operating performance, while navigating a dynamic environment due to the ongoing COVID-19 pandemic, all while staying true to our commitment to delivering the highest quality healthcare experience for our members and patients,” CEO Bruce Broussard said in a statement.

Humana’s membership also saw a bump compared to Q2 2020, the insurer said. As of June 30, total medical membership stood at 17 million, representing an increase of 254,000 from the prior year quarter.

As a result of the performance, Humana said it would boost its guidance for the year to between $24.97 and $25.47. It also raised its revenue guidance to between $82.5 billion and $83.5 billion.

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