On Feb. 13, WellCare Health Plans
- Revenue grew 129% with the addition of prescription drug plan products and the launch of a Medicaid health plan in Georgia.
- Despite a big increase in medical benefits and administrative expenses, margins improved because of higher sales.
- Free cash flow increased significantly due to the increase in net profit and favorable changes in working capital.
- WellCare has begun private fee-for-service plans in more than 739 counties in 39 states and Washington, D.C. and now has about 18,000 members.
- For the first quarter, the company is expecting revenues of $1.2 billion and earnings per diluted share of $0.53.
(Figures in millions, except per-share data)
Income Statement Highlights
|
Q4 2006 |
Q4 2005 |
Change |
|
|---|---|---|---|
|
Sales |
$1,171.2 |
$511.5 |
129.0% |
|
Net Profit |
$57.0 |
$10.8 |
425.5% |
|
EPS |
$1.38 |
$0.27 |
411.1% |
|
Diluted Shares |
41.2 |
39.7 |
3.7% |
Get back to basics with a look at the income statement.
Margin Checkup
|
Q4 2006 |
Q4 2005 |
Change* |
|
|---|---|---|---|
|
Gross Margin |
22.7% |
20.8% |
1.9 |
|
Operating Margin |
7.9% |
3.5% |
4.4 |
|
Net Margin |
4.9% |
2.1% |
2.7 |
Margins are the earnings engine. See how they work.
Balance Sheet Highlights
|
Assets |
Q4 2006 |
Q4 2005 |
Change |
|---|---|---|---|
|
Cash + ST Invest. |
$1,091.0 |
$515.9 |
111.5% |
|
Accounts Rec. |
$40.9 |
$0.0 |
N/A |
|
Inventory |
No data |
No data |
No data |
|
Liabilities |
Q4 2006 |
Q4 2005 |
Change |
|---|---|---|---|
|
Accounts Payable |
$8.0 |
$4.9 |
64.7% |
|
Long-Term Debt |
$154.0 |
$155.5 |
(0.9%) |
Learn the ways of the balance sheet.
Cash Flow Highlights
|
2006 |
2005 |
Change |
|
|---|---|---|---|
|
Cash From Ops. |
$512.7 |
$81.4 |
529.4% |
|
Capital Expenditures |
$35.5 |
$28.9 |
22.8% |
|
Free Cash Flow |
$477.1 |
$52.5 |
808.7% |
Find out why Fools always follow the money.
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