WellPoint Q2 Profit Climbs; Updates 2013 EPS View - Quick Facts

(RTTNews) - Health insurer WellPoint Inc. (WLP) posted higher second-quarter net income of $800.1 million, or $2.64 a share, compared with the prior year's $643.6 million, or $1.94 a share. Excluding items, adjusted net income totaled $2.60 per share in the second quarter of 2013. On average, 20 analysts polled by Thomson Reuters expected earnings per share of $2.11 for the quarter. Analysts' estimates typically exclude one-time items.

The firm clocked total operating revenue of $17.6 billion, up 16.0 percent from $15.17 billion in the prior-year quarter, driven by the inclusion of Amerigroup business in the second quarter of 2013. The increase from Amerigroup was partially offset by lower Medicare revenue due to the drop in membership. Analysts estimated revenues of $17.89 billion for the quarter.

For 2013, the firm now expects net income, on both a GAAP and adjusted basis, to be at least $8.00 per share, including net investment gains of $0.05 per share from the first six months of 2013, offset by costs of $0.05 per share related to the early termination notice of Amerigroup's PBM contract. Twenty analysts project earnings of $8.03 per share for 2013.

On July 23, 2013, the board declared a quarterly dividend to shareholders for the third quarter of 2013 of $0.375 per share. The third quarter dividend is payable on September 25, 2013, to shareholders of record at the close of business on September 10, 2013.