Amerigroup has reported total revenues of $1.36bn for the fourth quarter of 2009, an increase of 18.5% compared to $1.15bn for the same period last year. Revenues increased 4.5% sequentially.
The company’s premiums revenues for the fourth quarter were $1.4bn, an increase of 19.3% compared to $1.1bn in the year ago quarter. Premium revenues increased 4.5% sequentially, reflecting the impact of rate increases in Tennessee and Georgia and membership gains in the Temporary Aid for Needy Family (TANF) product in most markets.
For the fourth quarter ended December 31, 2009, the company posted a net income of $40.2m, or $0.79 per share compared to $35.8m, or $0.67 per share for the same period last year.
For the full year 2009, the company has reported total revenues of $5.2bn compared to $4.4bn in 2008. Premium revenues increased 18.2% to $5.2bn from $4.4bn last year. Net income was $149.3m, or $2.85 per diluted share compared to a net loss of $56.6m, or $1.07 per share in 2008.
James Carlson, chairman and CEO of Amerigroup, said: “We are very pleased with our strong finish to the year. Though 2009 included many challenges, we were able to respond effectively. While total membership exceeded expectations during the year, primarily due to swelling medicaid eligibility in most states, premium rates were suppressed due to unprecedented state budget deficits.
“Our outpatient costs are beginning to show signs of moderation and the impact of the H1N1 virus declined during the fourth quarter. Considering the range of outcomes that were possible in the fourth quarter of 2009, we are encouraged with the way our performance improved.”