LOUISVILLE, Ky. -- Humana Inc. says its fourth-quarter net income fell 3.5 percent as the health insurer paid out more in claims that offset continued growth in its lucrative Medicare Advantage membership.
The company, based in Louisville, Ky., stuck with its 2013 earnings projection of between $7.60 and $7.80 per share.
Humana's fourth-quarter earnings were dragged by a higher percentage of premium dollars from its members that went to pay for medical claims in its key retail segment.
Humana reported net income of $192 million, or $1.19 per share, in the fourth quarter. That's down from $199 million, or $1.20 per share, a year ago. Analysts polled by FactSet expected earnings of $1.07 per share.
Revenue rose to nearly $9.6 billion from nearly $9.1 billion a year ago.