Oscar Health Swings To Q1 Profit, Beats Street; Backs Annual Revenue Outlook; Stock Up In Pre-market

(RTTNews) - Oscar Health, Inc. (OSCR), a health insurance company, Tuesday reported a profit for the first quarter compared with a loss in the same quarter a year ago, primarily helped by growth in premiums. Profit as well as revenue beat analysts' view. The stock was more than 14 percent up in pre-market to $21.50.

The company posted net income of $177.37 million or $0.62 per share for the first quarter compared with loss of $39.77 million or $0.18 per share in the year-ago quarter.

Revenue for the quarter grew 46 percent to $2.142 billion from $1.469 billion in the previous year, driven mainly by higher membership, rate increases, and lower risk adjustment as a percentage of premiums. Premiums increased to $2.094 billion from $1.429 billion last year.

Analysts on average polled by Thomson-Reuters expected the company to report earnings of $0.27 per share on revenue of $2.01 billion for the quarter. Analysts' estimates typically exclude special items.

Looking ahead, the company has reaffirmed its full-year revenue outlook of $8.3 billion to $8.4 billion. The consensus estimate was for $8.33 billion.

Oscar Health shares had closed at $18.97, up 5.27 percent on Monday. The stock has been trading in the range of $4.72 - $19.04 in the last 1 year.