Tampa, Fla.-based WellCare Health Plans — a private Medicare and Medicaid managed care company — reported net income of $19.3 million for the third quarter of this year, down 70 percent from the $64 million it posted for the third quarter of 2013.
WellCare's premium revenue for the third quarter of this year increased to $3.3 billion, up 35 percent from the third quarter of 2013. However, its medical benefits expenses also grew to $3 billion, a 40 percent increase over the third quarter of last year.
WellCare's membership also increased. As of Sept. 30, its membership grew 43 percent to 4 million compared with membership of 2.8 million at the same time last year. The company's Medicaid segment experienced enrollment growth of 28 percent year-over-year, with 2.3 million members as of Sept. 30.
"We are pleased by the fundamental performance of the company in the quarter and more importantly operational and financial progress," said Dave Gallitano, chairman of the board and CEO of WellCare.
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