8-KEarnings & ResultsRegulation FD

Elevance Health, Inc. 8-K Report, Financial Results (Jan 12, 2016)

Filed January 12, 2016For Securities:ELV

Summary

This 8-K filing by Anthem, Inc. (now Elevance Health) provides preliminary financial results for full-year 2015 and initial guidance for 2016. The company anticipates full-year 2015 net income per share of approximately $9.38 and adjusted net income per share of approximately $10.16. These figures include several adjustments, notably transaction-related costs and amortization of other intangible assets. The company also reported an expected year-end medical enrollment of approximately 38.6 million members for 2015. Looking ahead to 2016, Anthem projects net income per share to exceed $10.35, with adjusted net income per share expected to be greater than $10.80, excluding certain items like transaction costs related to the Cigna acquisition, investment gains/losses, and impairment losses. Investors should note that the 2016 guidance explicitly excludes potential transaction costs and financial outcomes related to the Cigna acquisition, which was a significant ongoing event at the time of this filing.

Key Highlights

  • 1Anthem, Inc. (ELV) released preliminary full-year 2015 financial results and 2016 outlook via an 8-K filing.
  • 2Full-year 2015 net income per share is expected to be approximately $9.38.
  • 3Full-year 2015 adjusted net income per share is projected to be approximately $10.16, after accounting for $0.78 per share in net unfavorable items.
  • 4The company anticipates 2015 year-end medical enrollment to reach approximately 38.6 million members.
  • 5For full-year 2016, net income per share is expected to exceed $10.35.
  • 6Adjusted net income per share for 2016 is projected to be greater than $10.80, excluding specific items.
  • 72016 guidance explicitly excludes transaction costs and financial outcomes related to the Cigna acquisition.

Frequently Asked Questions

Anthem anticipates full-year 2015 net income per share to be approximately $9.38 and adjusted net income per share to be approximately $10.16. This adjusted figure excludes net unfavorable items totaling $0.78 per share, including costs related to acquisitions, debt extinguishment, and amortization of intangible assets.

The company expects its year-end 2015 medical enrollment to be approximately 38.6 million members.

For full-year 2016, Anthem expects net income per share to exceed $10.35, with adjusted net income per share projected to be greater than $10.80. These projections exclude items such as amortization of other intangible assets, transaction costs related to the Cigna acquisition, and investment gains or losses.

No, the 2016 guidance explicitly states that it does not include any transaction costs associated with the acquisition of Cigna Corporation, nor any investment gains or losses or other-than-temporary impairment losses on investments. These items are expected to be excluded from the adjusted net income calculation.