Molina Healthcare beat Wall Street expectations Monday as it reported earning $168 million in profit for the fourth quarter of 2019.
The insurer fell short of projections on revenue, however, posting $4.3 billion for the quarter, about $10 million short of analysts' estimates.
For the year, Molina earned $737 million in profit on $16.2 billion in revenue, up 4% from $707 million on $17.6 billion in revenue in 2018, according to the company's earnings release.
“We are pleased with our fourth quarter and full year results," CEO Joseph Zubretsky said in a statement. "We improved our Medicaid and Medicare margins and achieved exceptional marketplace margins."
In the financial filings, Molina touted several recently announced acquisitions that could provide a boost in 2020.
In October, the insurer announced that it would acquire assets from YourCare Health Plan in a deal valued at $40 million. Through the purchase, Molina will take on an additional 46,000 Medicaid members in New York, and it expects that deal to close in the first half of the year.
Last month, Molina announced that it would acquire all capital stock in NextLevel Health Partners for $50 million. That deal will add 50,000 more Medicaid and managed long-term care members to the portfolio and is also expected to close in the first half of 2020.
Molina projects about $18.3 billion in revenue for 2020 and between $674 million and $707 million in profit. It's anticipating membership of about 3.4 million, with the vast majority (3.1 million) in Medicaid and Medicare plans.
“Going forward, 2020 represents an important year in our pivot to growth strategy with a return to top-line growth," Zubretsky said. "Each of our three business lines are well positioned to grow in 2020 and beyond.”