CNC Q2 2023 Earnings Report — Centene Corporation Revenue & Financial Results | Market Cap Arena

Centene CorporationCNC

Q2 2023 Earnings

Reported July 27, 2023

Quarter Comparison

Revenue

Operating Income

Gross Margin

Net Margin

EPS (Diluted)

Free Cash Flow

Metric	Q2 2023	Q1 2023	Q2 2022	QoQ Change	YoY Change
Revenue	$37.6B	$38.9B	—	-3.3%	—
Op. Income	$1.2B	$1.2B	—	-3.9%	—
Gross Margin	12.0%	11.8%	—	0.3pp	—
Net Margin	2.8%	2.9%	—	-0.1pp	—
EPS (Diluted)	$1.92	$2.04	—	-5.9%	—
Free Cash Flow	$2.3B	$4.0B	—	-42.4%	—

Revenue Flow

Item	Amount
REVENUE	$37.6B
Cost of Revenue	$33.1B
GROSS PROFIT	$4.5B
R&D Expenses	$0
Selling & Marketing	$0
General & Administrative	$0
SG&A Expenses	$3.0B
Other Expenses	$343M
Operating Expenses	$3.4B
Cost & Expenses	$36.4B
OPERATING INCOME	$1.2B
Interest Income	$0
Interest Expense	$181M
Other Income/Expenses	$244M
INCOME BEFORE TAX	$1.4B
Income Tax Expense	$360M
Net Income from Continuing Ops	$1.1B
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$1.1B
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$1.1B
D&A	$325M
EBIT	$1.6B
EBITDA	$1.9B
EPS	$2
EPS Diluted	$2

Income Statement

Item	Amount
REVENUE	$37.6B
Cost of Revenue	$33.1B
GROSS PROFIT	$4.5B
R&D Expenses	$0
Selling & Marketing	$0
General & Administrative	$0
SG&A Expenses	$3.0B
Other Expenses	$343M
Operating Expenses	$3.4B
Cost & Expenses	$36.4B
OPERATING INCOME	$1.2B
Interest Income	$0
Interest Expense	$181M
Other Income/Expenses	$244M
INCOME BEFORE TAX	$1.4B
Income Tax Expense	$360M
Net Income from Continuing Ops	$1.1B
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$1.1B
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$1.1B
D&A	$325M
EBIT	$1.6B
EBITDA	$1.9B
EPS	$2
EPS Diluted	$2

Cash Flow Statement

Item	Amount
Net Income	$1.1B
Depreciation & Amortization	$304M
Stock-Based Compensation	$56M
Deferred Income Tax	-$1M
Other Non-Cash Items	-$14M
Change in Working Capital	$1.1B
OPERATING CASH FLOW	$2.5B
Capital Expenditure	-$215M
Acquisitions (Net)	$199M
Purchases of Investments	-$1.6B
Sales/Maturities of Investments	$1.1B
Other Investing Activities	$0
NET CASH FROM INVESTING	-$451M
Net Debt Issuance	-$328M
Common Stock Repurchased	-$405M
Common Dividends Paid	$0
Other Financing Activities	-$11M
NET CASH FROM FINANCING	-$723M
FREE CASH FLOW	$2.3B
Net Change in Cash	$1.3B

Balance Sheet

Item	Amount
Cash & Equivalents	$17.2B
Short-Term Investments	$2.2B
Net Receivables	$13.6B
Inventory	$0
Other Current Assets	$1.9B
TOTAL CURRENT ASSETS	$34.9B
PP&E (Net)	$5.0B
Goodwill	$18.7B
Intangible Assets	$6.5B
Long-Term Investments	$16.1B
Tax Assets	$0
Other Non-Current Assets	$1.6B
TOTAL NON-CURRENT ASSETS	$48.0B
TOTAL ASSETS	$82.9B
Account Payables	$9.7B
Short-Term Debt	$110M
Deferred Revenue	$2.4B
Other Current Liabilities	$16.9B
TOTAL CURRENT LIABILITIES	$31.3B
Long-Term Debt	$17.9B
Deferred Revenue NC	$0
Deferred Tax Liabilities	$495M
Other Non-Current Liabilities	$4.2B
TOTAL NON-CURRENT LIABILITIES	$25.8B
TOTAL LIABILITIES	$57.1B
Common Stock	$1M
Additional Paid-In Capital	$20.2B
Retained Earnings	$11.5B
Treasury Stock	-$5.0B
Accum. Other Comp. Income	-$998M
Other Equity	$0
TOTAL STOCKHOLDERS' EQUITY	$25.7B
Minority Interest	$116M
TOTAL EQUITY	$25.8B
TOTAL LIABILITIES & EQUITY	$82.9B
Total Debt	$21.4B
Net Debt	$4.2B