On April 27, Coventry Health Care
- Revenues increased by 15.4%, thanks to an increase in membership and higher managed care premiums.
- The company repurchased 4 million shares at a cost of $221.3 million during the quarter.
- On April 7, Coventry acquired workers' compensation managed care services business units from Concentra Operating Corporation; on April 27, it agreed to acquire certain group health insurance businesses from Mutual of Omaha.
- For the second quarter, Coventry estimates total revenues of about $2.3 billion to 2.4 billion, with diluted EPS in the range of $0.94-$0.96.
(Figures in millions, except per-share data.)
Income Statement Highlights
Q1 2007 |
Q1 2006 |
Change |
|
---|---|---|---|
Sales |
$2,236.5 |
$1,938.7 |
15.4% |
Net Profit |
$121.7 |
$121.0 |
0.6% |
EPS |
$0.76 |
$0.74 |
2.7% |
Diluted Shares |
159.6 |
163.3 |
(2.3%) |
Get back to basics with the income statement.
Margin Checkup
Q1 2007 |
Q1 2006 |
Change* |
|
---|---|---|---|
Gross Margin |
25.9% |
27.7% |
(1.8) |
Operating Margin |
8.1% |
9.4% |
(1.4) |
Net Margin |
5.4% |
6.2% |
(0.8) |
Margins are the earnings engine.
Balance Sheet Highlights
Assets |
Q1 2007 |
Q1 2006 |
Change |
---|---|---|---|
Cash + ST Invest. |
$3,292.4 |
$2,354.2 |
39.9% |
Accounts Rec. |
$212.8 |
$209.8 |
1.4% |
Inventory |
No Data |
No Data |
No Data |
Liabilities |
Q1 2007 |
Q1 2006 |
Change |
---|---|---|---|
Accounts Payable* |
$442.8 |
$422.0 |
4.9% |
Long-Term Debt |
$978.5 |
$760.5 |
28.7% |
The balance sheet reflects the company's health.
Cash Flow Highlights
Q1 2007 |
Q1 2006 |
Change |
|
---|---|---|---|
Cash From Ops. |
$483.6 |
$490.6 |
(1.4%) |
Capital Expenditures |
$3.0 |
$26.8 |
(88.7%) |
Free Cash Flow |
$480.6 |
$463.8 |
3.6% |
Free cash flow is a Fool's best friend.
Related Foolishness:
Coventry Health Care is a recommendation of Motley Fool Stock Advisor, where Tom and David Gardner are always on the lookout for the market's best investments. Try it out for yourself -- it's free for 30 days.Fool by Numbers is designed to give you the raw earnings information in a timely fashion, putting all the numbers you need in one easy-to-read place. But at The Motley Fool, we believe numbers tell only part of the story, so check Fool.com for more of our in-depth discussion of what the numbers mean. This data has been provided by Netscribes. To provide feedback on this article, please click on the "feedback" button below.