Centene (CNC) Q1 2026 Earnings
How Did CNC Stock React to Q1 2026 Earnings?
S&P 500 over the same 30 days: +6.29%.
Did CNC Beat Earnings? Q1 2026 Results
Yes. Centene reported Q1 2026 earnings of $3.37 a share on Apr 27, 2026, beating the $2.13 consensus estimate by 57.9%. Revenue was $49.9B against a $47.6B estimate.
Centene Corp delivered a blowout first quarter for 2026, posting adjusted diluted EPS of $3.37 against a Wall Street consensus of $2.13, a beat of 57.90% that reflected broad-based outperformance across its major business segments. Revenue climbed 7.1% year-over-year to $49.94 billion, clearing the $47.55 billion consensus estimate by 5.03%, as premium and service revenues grew 5% to $44.66 billion. The single most material driver of the upside was a meaningful improvement in the Medicare segment health benefits ratio, which tightened to 84.9% from 86.3% a year ago, aided by stronger-than-expected results in both Medicare Advantage and PDP and the absence of a premium deficiency reserve charge that had weighed on year-ago results. Medicaid HBR also improved modestly to 93.1%, and SG&A discipline pushed that ratio down to 7.6% from 7.9%. The strong quarter prompted management to raise full-year 2026 guidance, lifting adjusted EPS to greater than $3.40 and increasing total revenue guidance to a range of $187.50 billion to $191.50 billion, even as broader industry headwinds from ACA subsidy uncertainty continue to reshape the competitive landscape.
- Medicaid HBR improvement to 93.1% from 93.6% driven by rate increases, medical cost management, and moderate flu
- Medicare segment HBR improvement to 84.9% from 86.3% with outperformance in both Medicare Advantage and PDP
- SG&A expense ratio improved to 7.6% from 7.9% through cost discipline and favorable business mix
- Premium yield and PDP membership growth driving revenue increases
- State-directed payments and rate increases to address medical trend in Medicaid
- No premium deficiency reserve in Q1 2026 vs. PDR charge in Q1 2025 for Medicare Advantage
- Strong operating cash flow of $4.4 billion
“We continue to make tangible progress in our margin recovery efforts while strengthening the fundamental operations of each of our businesses.”
Centene CEO, on the earnings call
What Was Centene's Outlook in Q1 2026?
Centene raised its full-year 2026 guidance. GAAP diluted EPS is now expected to be greater than $2.37 (up from prior guidance), and adjusted diluted EPS is now expected to be greater than $3.40. Premium and service revenues guidance was increased by $1.0 billion to a range of $171.0 billion to $175.0 billion, driven by Medicaid. Total revenues are expected in the range of $187.5 billion to $191.5 billion. Investment and other income expectation was raised by $50 million to $1.45 billion. Full-year HBR is guided at 90.9% to 91.7%, SG&A expense ratio at 7.0% to 7.6%, effective tax rate at 27.0% to 28.0%, and diluted shares outstanding of approximately 495.6 million to 498.6 million.
CNC YoY Financials
| Metric | Q1 2026 | Q1 2025 | Year over year |
|---|---|---|---|
| Revenue | $49.9B | $46.6B | +7.1% |
| Operating Income | $1.9B | $1.5B | +21.3% |
| Net Income | $1.5B | $1.3B | +17.5% |
CNC Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.