Humana reports slight drop in 2Q earnings

LOUISVILLE, Ky., Aug. 4, 2008 (AP Online delivered by Newstex) -- Health insurer Humana (NYSE:HUM) Inc. reported a slight drop in second-quarter profit Monday caused by an expected double-digit decline in premiums from its Medicare prescription drug plans.

Humana's results for the three months ended June 30 still outperformed Wall Street expectations, and the Louisville-based company raised its earnings-per-share projection for the full year.

Humana earned $209.9 million, or $1.24 per share, in the second quarter, down 3 percent from $216.8 million, or $1.28 per share, in the year-ago period.

Revenue rose 14 percent to $7.3 billion for the just-ended period.

Humana said premiums from its stand-alone Medicare prescription drug plans fell by 14 percent to $905 million in the second quarter. The company's Medicare Advantage premiums rose 25 percent.

Newstex ID: AP-0001-27142145