Benefits coordinator HMS Holdings (NASDAQ:HMSY) reported third-quarter results today before the markets opened, showing that it posted net revenues of $127.8 million, a robust 13% increase from the same period in the previous year and ahead of the $126.6 million Capital IQ consensus estimate.
While adjusted net income came in at $17.9 million, or $0.20 per share, essentially unchanged from $17.6 million, or $0.20 per share, in the same period in 2012, it was $0.02 per share worse than the CapIQ estimates of $0.22 per share.
HMS says while it saw business grow once more across all its business and markets as clients prepared for the implementation of Obamacare, it was still below its own expectations.
As a result, the benefits coordinator lowered its full-year revenue guidance from a range between $495 million to $525 million down to $495 million to $510 million, which is still within analyst estimates of HMS Holdings posting earnings of $0.84 per share in 2013 on revenues of $505.8 million.
Shares of the benefits coordinator closed 22.5% higher today.
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