Magellan Health Services Inc. of Avon reported improved earnings and revenue Thursday for the second quarter of the year.
Net income for the three-month period ending June 30 was $31.5 million, or $1.15 per share, compared with $27 million, or 97 cents per share, during the same period a year ago.
Revenue increased 4.6 percent during the quarter to $842.7 million from $805.5 million during the same period last year.
Magellan Health is a specialty insurer in the fields of managing behavioral and mental health services as well as radiology and specialized pharmaceuticals.
The company improved sales in its commercial, public-sector, radiology benefits and pharmacy segments. Commercial revenue was up to $199.5 million for the quarter, from $178.2 million during the same period last year.
Revenue in public sector health insurance — such as government funded health care — was up to $414.9 million from $410.1 million. Radiology benefits was up to $92.7 million from $88.8 million. The pharmacy segment’s revenue was up to $61.3 million from $56.5 million.
Goldman Sachs analyst Matthew Borsch wrote in a note to investors that net revenues of $843 million fell short of Goldman’s estimate of $873 million. Earnings per share of $1.15 was about in line with Borsch’s estimate of $1.16, but ahead of Wall Street’s estimate of $1.01, Borsch wrote.