Universal American Earnings: Everything You Must Know Now

Universal American Corp (NYSE:UAM) delivered a profit and beat Wall Street’s expectations, AND beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company.

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Universal American Corp Earnings Cheat Sheet

Results: Adjusted Earnings Per Share decreased 25.93% to $0.20 in the quarter versus EPS of $0.27 in the year-earlier quarter.

Revenue: Rose 5.93% to $563.3 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Universal American Corp reported adjusted EPS income of $0.20 per share. By that measure, the company beat the mean analyst estimate of $0.17. It beat the average revenue estimate of $549.08 million.

Quoting Management: Richard A. Barasch, Chairman and CEO commented, “Our Medicare Advantage business performed well in the 1st quarter of 2013. Our benefit ratios, after netting out positive prior period items, remain in line with our expectations and we are seeing the effect of reducing our cost structure.”

Key Stats (on next page)…

Revenue increased 1.63% from $554.24 million in the previous quarter. EPS increased 25% from $0.16 in the previous quarter.

Looking Forward: Analysts have a more negative outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has fallen from a profit of $0.15 to a profit $0.14. For the current year, the average estimate has moved down from a profit of $0.65 to a profit of $0.62 over the last ninety days.

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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)