Anthem Profits Skyrocket 234%
Check out this interesting article about the success Anthem is having and how one insurer’s profit is roughly equivalent to the whole dialysis industry.
Profit soared by 234 percent to $1.2 billion in Anthem’s fourth quarter, compared to $368 million for the same period last year, according to the insurer’s earnings report Wednesday.
Full year 2017 financial results were also strong. Anthem reported a 55 percent increase in net profits year-over-year of $3.84 billion, compared to $2.47 billion in 2016.
During the fourth quarter, Anthem recorded a one-time, non-cash deferred tax benefit from corporate tax reform of $1.1 billion, reducing the total income tax expense in 2017 to $121 million, an effective tax rate of 3.1 percent.
“We are pleased with our 2017 performance, which is the result of improved execution in all areas of our business and an increased focus on aligning strategic investments and capabilities to more effectively meet the changing needs of the more than 40 million consumers we are privileged to serve,” said CEO Gail Boudreaux, who took the reins of the company this year from former CEO Joseph Swedish.
Anthem plans to expand its Medicare Advantage market, which Boudreaux said has historically lagged. The company is already seeing strong individual Medicare Advantage growth going into 2018 that has outpaced the rate as a market.
“I believe we are now well-positioned to leverage our improved individual Medicare Advantage platform,” she said. “We continue to expect organic growth rates in the low to mid double-digits over the next few years outpacing growth in our existing markets of 6 to 9 percent.” …
To read the entire article, please click here to be redirected to the original article source, Healthcare Finance.
Leave a Reply