Short answer
Centene Corporation (CNC) filed its fiscal 2025 10-K annual report with the SEC on Feb 17, 2026. It reported revenue of $174.6B (+20.0% year over year) and net income of −$6.7B.
- Top risk flagged: CMS audit intensification risk with expanded risk adjustment data validation audits since 2025, potentially causing premium refunds and reducing revenue materially
FY2025 key financial metrics · XBRL
- Revenue
- $174.6B
- +20.0% YoY
- Net income
- −$6.7B
- −301.9% YoY
- Operating margin
- -4.4%
- −6.5 pp YoY
- Gross margin
- 8.1%
- −3.6 pp YoY
- EPS (diluted)
- −$13.53
- −314.4% YoY
- ROE
- -33.4%
- −46.0 pp YoY
- Operating cash flow
- $5.1B
- +3203.9% YoY
Source: XBRL data from the Centene Corporation (CNC) FY2025 10-K on SEC EDGAR. USD.
Centene Corporation FY2025 10-K analysis
AI summary of each section, grounded in the filing text
Business Overview
- Core business model not directly described; document is primarily governance and regulatory disclosures
- No new products, services, or segments introduced or emphasized in this section
- Strategic shifts or competitive positioning not addressed in this text
- Independent auditor for FY 2026 confirmed as KPMG LLP, Auditor Firm ID 185
- Filing mainly references Proxy Statement for detailed governance, executive compensation, and ownership information
Management Discussion & Analysis
- Revenue details not explicitly provided; 2025 Medicaid membership 12.5M, Marketplace 5.5M, Medicare Advantage 1.0M, PDP 8.1M members
- No direct profitability or margin % figures disclosed in the text
- Best segments by membership: Medicaid 12.5M members, weakest not specified
- Capital allocation specifics (buybacks, dividends, capex) not detailed; $1.3B Magellan Rx divestiture gain $269M pre-tax; other divestitures totaling ~$1.6B in proceeds and related gains
- Forward outlook: 2026 Marketplace morbidity expected to increase; medical costs rising accelerated by policy and market changes; OBBBA impacts Medicaid eligibility and funding by 2027; CMS Medicare risk-sharing adjustments and integrated D-SNP requirement beginning 2027
Risk Factors
- CMS audit intensification risk with expanded risk adjustment data validation audits since 2025, potentially causing premium refunds and reducing revenue materially
- Texas and Georgia Medicaid reprocurement loss risk, involving protests due to unsuccessful bidding, threatening contract renewals and associated revenues
- Elevated medical cost risk from 2025 Marketplace membership with unexpectedly higher morbidity reducing net risk adjustment revenue significantly
- Part D bid risk from IRA-induced increased costs and enrollment volatility, with PDP membership boosted to 8.7 million in 2026 due to below-benchmark bids
- Medicare Advantage Star ratings risk with 40% of membership below 3.5 stars and contract terminations notices for 2025 impacting profitability and contract retention
Generated from the filing text; verify against the original. How to read a 10-K
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