(Reuters) -Humana beat Wall Street estimates for second-quarter profit on Wednesday, helped by strength in its government-backed Medicare Advantage insurance business for older adults.
The health insurer heavily depends on Medicare Advantage plans, under which the U.S government pays private insurers a set rate to manage healthcare for people aged 65 and older or with disabilities.
Humana (NYSE:) raised its annual Medicare Advantage annual membership growth forecast by 75,000.
On an adjusted basis, Humana reported a profit of $6.96 per share, higher than the average analyst estimate of $5.85, according to LSEG data.