WellPoint earnings fall well short of analysts' expectations

Back to TopCommentsE-mailPrintBookmark and Share

WellPoint Inc.’s fourth-quarter profit met the company’s predictions but fell far below the expectations of Wall Street analysts.

The Indianapolis-based health insurer reported earnings of $335.3 million, or 96 cents per share, down 39 percent from the same quarter a year ago.

Excluding investment losses, WellPoint would have earned 99 cents per share in the quarter. On that basis, analysts were expecting $1.12 per share, according to a survey by Thomson Reuters.

For all of 2011, WellPoint earned $7.00 per share, excluding investment gains, a 3.9 percent increase over the previous year. But analysts were expecting even more—$7.10 per share.

WellPoint said it expects to earn $7.60 per share for all of 2012, again below analysts’ estimates.

“Our fourth quarter results were at the high end of our guidance range and concluded a successful 2011,” said Angela Braly, WellPoint’s CEO, in a prepared statement. WellPoint had previously predicted it would earn from 94 cents to $1.04, excluding investment gains, in the quarter.

Revenue in the fourth-quarter rose 5 percent, compared with the same quarter last year, to $15.3 billion. Wall Street analysts expected it to reach $15.4 billion.

WellPoint ended the year with 34.3 million members in its health insurance plans, down slightly from the third quarter of 2011. WellPoint covers more Americans than any other health insurer.

In 2012, WellPoint expects to lose roughly 600,000 health plan members.

WellPoint’s shares closed Tuesday at $69.40 apiece. Over the last 12 months, WellPoint’s shares have generated a return of 15.5 percent, including dividends.


Post a comment to this story

We reserve the right to remove any post that we feel is obscene, profane, vulgar, racist, sexually explicit, abusive, or hateful.
You are legally responsible for what you post and your anonymity is not guaranteed.
Posts that insult, defame, threaten, harass or abuse other readers or people mentioned in IBJ editorial content are also subject to removal. Please respect the privacy of individuals and refrain from posting personal information.
No solicitations, spamming or advertisements are allowed. Readers may post links to other informational websites that are relevant to the topic at hand, but please do not link to objectionable material.
We may remove messages that are unrelated to the topic, encourage illegal activity, use all capital letters or are unreadable.

Messages that are flagged by readers as objectionable will be reviewed and may or may not be removed. Please do not flag a post simply because you disagree with it.

Sponsored by

facebook - twitter on Facebook & Twitter

Follow on TwitterFollow IBJ on Facebook:
Follow on TwitterFollow IBJ's Tweets on these topics:
Subscribe to IBJ
  1. Yes sir keep cashing those 300K a year checks direct to IMS, while millions disappear from the teams like Rahal's. Guess there wasn't enough ka- ching going around to keep Sarah Fisher in business without their "merger". LOL._____.Meanwhile back in Realville the series with the "best racing in the world" drew what appeared to be about 5000 live spectators ( and probably 1500 of those Target "freebies", and was beaten in the ratings by a series that reportedly consists of "parades" and aired while most people are still sleeping. That will generate those big ka-chings for sure. :-). But, hey, as long as the Speedway gets the cash who gives a damn about the teams?

  2. Welcome to PETERSON LOAN AGENCY Company (A Personalized Service for All Your Financial Needs) We, Liberal Investment Company Providers offers loan at a very low interest rate of 2%, we offer Personal loans, Debt Consolidation Loan, Venture Capital, Business Loan, Educational Loan, Home Loan, and Loan for any reason and urgent needs!. with a maximum duration of 30 years. Have you been turned down by your bank? Do you have bad credit? Do you have unpaid bills? Are you in debt? Do you need to set up a business? Worry no more as we are here to offer you a low interest loan. Our loan ranges from $5,000-USD (Five Thousand US dollars) to $50, 000,000.00.(Fifty Million US dollars). We also lend in USA DOLLARS EURO and POUNDS ! Fill in this form and forward it to our email: PETERSONLOANAGENCY@GMAIL.COM 1. Your Full names:_______ 2. Contact address:_______ 3. Country Of Residence:______ 4. Loan Amount Required:________ 5. Duration:_____ 6. Gender:_____ 7. Occupation:________ 8. Monthly Income:_______ 9. Date Of Birth:________ 10.Telephone Number:________ 11. Purpose of loan:_________ Yours In Service, MR PERRY, PETERSONLOANAGENCY@GMAIL.COM

  3. If I could actually get the prices...I would do this on my own. We need laws that force provides to publish the costs they will charge. Everyone else gives you the price in advance...except hospitals.

  4. I was under the impression that fencing is not allowed on a front yard and that on a corner, both sides are considered "front" yards, therefore can't be fenced without a variance. Also impedes the visibility for drivers at the intersection. Am I understanding this correctly? Might be why a fence was not included in the plans and a request for a variance will have to be made?.

  5. I was a big fan of Cowards and Carrots, which I got a chance to see at the show. It's currently on Kickstarter, but the designer also put out What's He Building in There last year, which got a fair amount of buzz.