Centene Corporation Q3 2026 Earnings Recap

Centene’s Q3 results and improved full-year outlook were broadly in line with the company’s stated business trends, while shares rose 1.0% after the earnings release. Medicare outperformed expectations, but Medicaid remains dependent on continued rate alignment as membership declines and eligibility changes progress.

Key Takeaways

• Adjusted EPS was $0.58, ahead of the company’s previous expectations; Centene raised its 2026 adjusted EPS outlook to greater than $5.20.
• Medicaid HBR was 93.6%, improving 30 basis points sequentially; management said core trend was in line with expectations and maintained its full-year HBR trajectory of 93.5%.
• Medicaid membership is expected to decline roughly 8% to 9% year over year by year-end 2026, with a further step-down in Q4; the company said related acuity impacts are reflected in guidance.
• Medicare Advantage and standalone Part D exceeded expectations. Centene now expects Medicare to break even in 2026, a year earlier than previously expected.
• Management held its full-year Medicaid composite rate view at about 5% and said it sees signs of better alignment with cost experience, while noting the January rate outlook remains early.