Humana is raising its full-year earnings outlook to a range of $5.55 to $5.65 a share, up from its previous estimate of $5.15 to $5.35 a share, mainly to reflect the impact of favorable prior-period reserve development impacting first-quarter earnings, partially offset by a higher effective tax rate now anticipated. Analysts expect year earnings of $5.53 a share.
Humana on Monday reported first-quarter net income of $258.8 million, $1.52 a share, up from $205.7 million, or $1.22 a share, the year before, ahead of management's guidance and the consensus estimate of $1.14 a share. Revenue rose 9.5% to $8.44 billion, up from $7.71 billion the previous year, with total premium and administrative services fees up 9.2%; the consensus was $8.27 billion in revenue.
-- Reported by Andrea Tse in New York
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