NYSE$CNC

Centene Corp · Q4 2021 earnings

Q4 2021 earnings · · Investor relations

Briefing

Centene reported strong fourth quarter results, meeting the high end of earnings guidance. The company focused on advancing initiatives to achieve value creation goals and 2022 operational objectives.

Centene Corporation reported a 15% increase in total revenues for Q4 2021, reaching $32.6 billion, and diluted EPS of $1.01. The company's managed care membership increased by 1.1 million members compared to the previous year. Centene reiterates its 2022 Adjusted diluted EPS guidance of $5.30 to $5.50 and HBR guidance of 87.6% to 88.2%.

  • Total revenues reached $32.6 billion, a 15% increase year-over-year.
  • Premium and service revenues were $30.5 billion, representing a 15% increase year-over-year.
  • Diluted EPS was reported at $1.01, compared to a diluted loss per share of $(0.02) in Q4 2020.
  • Adjusted diluted EPS was $1.01, compared to $0.46 in the fourth quarter of 2020.

Headline financials

Total Revenue

$32.6B

Previous: $28.3B+15.1%
EPS (adj)

$1.01

Previous: $0.46+119.6%
SG&A expense ratio

9.3%

Previous: 10.3%-9.7%
Adjusted SG&A ratio

9.2%

Previous: 9.7%-5.2%
Days in claims payable

52

No prior period
Capital Expenditures

$248M

Previous: $206M+20.4%
Free Cash Flow

$427M

Previous: $2.78B-84.6%
Net Income

$593M

Previous: -$12M+5041.7%
Operating Income

$603M

Previous: $15M+3920.0%
Gross Profit

$3.63B

Previous: $3.3B+10.0%
Cash & Equivalents

$13.1B

Previous: $10.8B+21.5%
Total Assets

$78.4B

Previous: $68.7B+14.1%
Stock-Based Comp

$76M

Previous: $63M+20.6%

Revenue & EPS history

Centene · Revenue · Quarterly

$32.6B

Q4 2021+15.1%vs Q4 2020
Beat estimate in 12 of 16 quarters(75%)
ActualEstimate

Revenue by segment

Centene · $32.6B total across 4 segments · Q4 2021

  • Medicaid
    $21.5B+11.4%
  • Commercial
    $4.57B+9.3%
  • Medicare
    $4.39B+42.3%
  • Other
    $2.09B+80.1%

Forward guidance

Centene reiterates its 2022 Adjusted diluted EPS guidance of $5.30 to $5.50 and HBR guidance of 87.6% to 88.2% provided at its December 2021 Investor Day.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2021

Historical avgQ4 2021

+0.4%

Avg return

Earnings day

+0.4%

Avg return

5 days after

+1.9%

Avg return

30 days after

54%

37 / 68 earnings

Positive

+13.8%

Q1 2014

Best reaction

-10.4%

Q2 2016

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+0.5%+22.6%+33.9%
Q4 2025-3.7%+1.3%+9.3%
Q3 2025+12.5%+3.9%+18.5%
Q1 2025-6.3%-2.8%-8.4%
Q4 2024-5.4%-9.1%-8.3%
Q3 2024+0.0%+0.3%-2.0%
Q2 2024+9.0%+14.1%+16.5%
Q1 2024-2.4%-4.5%-1.4%
Q4 2023+1.1%+4.4%+7.5%
Q3 2023-3.0%-4.8%+4.7%
Q2 2023-2.7%-3.7%-9.2%
Q1 2023-1.5%+1.9%-6.3%
Q4 2022+2.7%+2.4%-7.7%
Q3 2022+11.9%+13.2%+10.3%
Q2 2022+0.6%+1.1%+4.1%
Q1 2022-4.9%-5.1%-3.5%
Q4 2021+6.4%+3.1%+4.5%
Q3 2021+3.8%+4.8%+11.2%
Q2 2021-4.0%-5.6%-12.5%
Q1 2021-9.9%-6.5%+11.7%
Q4 2020+4.8%+1.6%+6.3%
Q3 2020-7.9%-11.0%-6.3%
Q2 2020-1.4%-3.0%-10.1%
Q1 2020-6.6%-8.3%-5.5%
Q4 2019+5.1%+0.4%-5.0%
Q3 2019+5.7%+5.4%+30.4%
Q2 2019+3.0%+2.4%-12.7%
Q1 2019+4.4%+9.5%+15.3%
Q4 2018-2.9%-3.2%-13.2%
Q3 2018-8.3%-9.9%-5.5%
Q2 2018-3.1%-3.0%+6.0%
Q1 2018-1.2%-0.4%+5.5%
Q4 2017+5.0%+2.3%+0.9%
Q3 2017-7.4%-3.7%-1.1%
Q2 2017-1.0%-1.8%+2.1%
Q1 2017+1.1%+3.3%+4.5%
Q4 2016+7.9%+9.1%+9.3%
Q3 2016+1.4%+0.1%-10.5%
Q2 2016-10.4%-6.3%-10.0%
Q1 2016+4.2%
Q4 2015+2.2%
Q3 2015+5.3%
Q2 2015+0.2%
Q1 2015-9.7%
Q4 2014+5.6%
Q3 2014+9.3%
Q2 2014+5.8%
Q1 2014+13.8%
Q4 2013+4.5%
Q3 2013-4.1%
Q2 2013+5.1%
Q1 2013+4.4%
Q4 2012+6.1%
Q3 2012+0.3%
Q2 2012+6.9%
Q1 2012-6.0%
Q4 2011-2.5%
Q3 2011+12.6%
Q2 2011+3.3%
Q1 2010+10.9%
Q1 2011+2.4%
Q4 2008-6.5%
Q4 2010-6.5%
Q3 2009-6.6%
Q2 2009-6.6%
Q3 2010-6.6%
Q4 2009-5.3%
Q2 2010-5.3%

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