Oct 27 (Reuters) - Health insurer Centene raised its annual profit forecast on Tuesday and reported better-than-expected third-quarter results.
Health insurers have grappled with rising medical costs in recent years as patients seek more care, putting pressure on profits and prompting companies to focus on cost controls.
Centene's medical loss ratio, the percentage of premiums spent on medical care, came in at 92.7% in the third quarter, unchanged from last year. Analysts has expected the company to report a ratio of 92.84%.
"Solid underlying fundamentals within our core businesses have powered a faster recovery to our earnings trajectory than previously anticipated," said Centene CEO Sarah M. London.
The company now sees 2026 adjusted profit to be more than $5.20 per share, higher than its previous expectation of more than $4.80 per share. Analysts expected a profit of $4.88, per data compiled by LSEG.
(Reporting by Padmanabhan Ananthan and Sneha S K in Bengaluru; Editing by Shinjini Ganguli)