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Investing.com -- Centene Corporation (NYSE:CNC) reported first-quarter 2025 results on Friday that exceeded analyst expectations, driven by strong membership growth and improved performance across its business segments.
The healthcare insurer also raised its full-year revenue guidance, citing outperformance in Marketplace enrollment and Medicare member retention.
Centene posted adjusted diluted earnings per share of $2.90 for the quarter, surpassing the analyst consensus of $2.38 by $0.52.
Revenue came in at $48.62 billion, significantly above the $42.79 billion estimate.
The company’s premium and service revenue grew 17% YoY, while membership increased 29% in Marketplace and 22% in Medicare PDP compared to the first quarter of 2024.
Based on the strong first-quarter performance, Centene raised its 2025 premium and service revenues guidance by $6.0 billion to a range of $164.0 billion to $166.0 billion.
The increase reflects $5.0 billion in additional Marketplace premium revenue due to enrollment outperformance and $1.0 billion in additional Medicare Advantage premium revenue.
"Our first quarter results demonstrate the resiliency of Centene’s platform and the progress we are making as an organization while navigating a dynamic policy landscape," said Sarah M. London, Chief Executive Officer of Centene.
The company reiterated its 2025 adjusted diluted EPS guidance floor of greater than $7.25, maintaining confidence in its full-year outlook despite the revenue increase.
Centene’s strong start to the year positions it well for continued growth in its core businesses.
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