Humana mulls exiting Obamacare individual plans in some states
May 4 (Reuters) - U.S. health insurer Humana, which is being acquired by rival Aetna Inc reported a near 46 percent fall in quarterly profit and said it is considering exiting Obamacare individual plans in some states.
Humana's individual business, which sells plans under the Affordable Care Act, has been a drag on results and the company said it still expects to record losses in the business in 2016.
The company said it is in the process of finalizing the sort of insurance plans it will offer in the business next year, but it is also considering a number of changes, including exiting certain states or products.
Humana's net income fell to $234 million, or $1.56 per share, in the first quarter, from $430 million, or $2.82 per share, a year earlier, due to higher costs in its retail business.
Besides Obamacare individual plans, the business also sells Medicare Advantage plans and prescription drug plans, among others.
On an adjusted basis, Humana earned $1.86 per share.
Revenue slipped to $13.80 billion from $13.83 billion.
Analysts were expecting a profit of $1.81 per share and revenue of $13.76 billion, according to Thomson Reuters I/B/E/S. (Reporting by Amrutha Penumudi in Bengaluru; Editing by Savio D'Souza)
