Healthcare management company Magellan Health Inc. (MGLN) on Tuesday affirmed its financial outlook for fiscal 2014. The company also forecast adjusted earnings for fiscal 2015 above analysts' estimates and revenues in line with their expectations.
For fiscal 2014, Scottsdale, Arizona-based Magellan Health affirmed its financial outlook, which it most recently updated in October. At that time, the company forecast full-year adjusted earnings of $3.21 to $3.72 per share on revenues of $3.6 billion to $3.8 billion.
On average, analysts polled by Thomson Reuters expect the company to report earnings of $2.62 per share for the year on revenues of $3.76 billion. Analysts' estimates typically exclude special items.
Looking ahead to fiscal 2015, Magellan Health forecast net income in a range of $1.90 to $2.50 per share, adjusted net income of $3.28 to $3.73 per share, and net revenues of $4.25 billion to $4.49 billion.
Street expects the company to report earnings of $2.67 per share for the year on revenues of $4.47 billion.
The company expects segment profit for the year in a range of $265 million to $285 million and cash flow from operations of $171 million to $195 million.
Jonathan Rubin, CFO of Magellan Health said, "Looking ahead to 2015, We are projecting revenue growth of slightly less than 20 percent, and expect to report revenues of over $4 billion for the first time in the company's history."
Magellan Health said it has completed its previous $300 million share repurchase authorization, and now commenced the new, two-year $200 million program approved by its board of directors in October. Under this new program, through Monday, December 15, the company has repurchased about 117,000 shares for a total cost of $7.2 million.
MGLN closed Monday's trading at $58.54, down $1.49 or 2.48 percent on a volume of 200,526 shares.
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