M
ME NEWS
24 Apr 2025, 06:55
Molina Healthcare Posts Solid Q1 2025 Results, Reaffirms Full-Year Guidance
Molina Healthcare reported strong financial results for the first quarter of 2025, underscoring effective cost management and solid premium growth. The company achieved GAAP earnings of $5.45 per diluted share and adjusted earnings of $6.08 per diluted share, both reflecting year-over-year growth.
Key Highlights:
Total revenue: $11.15 billion (+12% YoY)
Premium revenue: $10.63 billion (+12% YoY)
GAAP net income: $298 million (+5% YoY)
Adjusted net income: $333 million (+6% YoY)
Medical care ratio (MCR): 89.2% vs. 88.5% in Q1 2024
Adjusted G&A ratio: 6.8%, reflecting continued operating efficiency
Membership: 5.75 million (+25,000 YoY)
Segment MCRs:
Medicaid: 90.3%
Medicare: 88.3%
Marketplace: 81.7% (adjusted ~77.7% excluding risk reconciliation effects)
Capital & Liquidity:
Cash at parent company: $191 million
Share repurchase: $500 million (1.7 million shares) in Q1
Operating cash flow: $190 million
Guidance (2025, reaffirmed):
Premium revenue: ~$42 billion
GAAP EPS: ≥ $22.32
Adjusted EPS: ≥ $24.50 (+8% YoY)
New store embedded earnings: $8.65 per share (2026–2028 potential)
CEO Joseph Zubretsky stated that Molina is “executing well in a disciplined manner,” with solid momentum in both revenue and earnings. The company maintains its long-term target of 13–15% annual adjusted EPS growth.
Molina Healthcare reported strong financial results for the first quarter of 2025, underscoring effective cost management and solid premium growth. The company achieved GAAP earnings of $5.45 per diluted share and adjusted earnings of $6.08 per diluted share, both reflecting year-over-year growth.
Key Highlights:
Total revenue: $11.15 billion (+12% YoY)
Premium revenue: $10.63 billion (+12% YoY)
GAAP net income: $298 million (+5% YoY)
Adjusted net income: $333 million (+6% YoY)
Medical care ratio (MCR): 89.2% vs. 88.5% in Q1 2024
Adjusted G&A ratio: 6.8%, reflecting continued operating efficiency
Membership: 5.75 million (+25,000 YoY)
Segment MCRs:
Medicaid: 90.3%
Medicare: 88.3%
Marketplace: 81.7% (adjusted ~77.7% excluding risk reconciliation effects)
Capital & Liquidity:
Cash at parent company: $191 million
Share repurchase: $500 million (1.7 million shares) in Q1
Operating cash flow: $190 million
Guidance (2025, reaffirmed):
Premium revenue: ~$42 billion
GAAP EPS: ≥ $22.32
Adjusted EPS: ≥ $24.50 (+8% YoY)
New store embedded earnings: $8.65 per share (2026–2028 potential)
CEO Joseph Zubretsky stated that Molina is “executing well in a disciplined manner,” with solid momentum in both revenue and earnings. The company maintains its long-term target of 13–15% annual adjusted EPS growth.