Molina Healthcare Q1 2026: Solid Performance Amid Medicaid Shakeups

Molina Healthcares Q1 2026 earnings hit Wall Streets revenue target at $10.8 billion, though down 3.1% from last year. They surpassed adjusted earnings per share by 23% at $2.35 and adjusted EBITDA by 17.9% at $248 million. However, they lowered full-year revenue guidance to $42 billion, 5.2% below forecasts. Management attributes success to tight medical cost controls, with a consolidated medical cost ratio of 91.1% and adjusted pretax margin of 1.6%. CEO Zubretsky praised a solid quarter amid Medicaid shakeups. Customer numbers dropped to 5.03 million from 5.49 million last quarter. Investors focus on higher Medicaid attrition in states like California, Illinois, and New York, but the remaining mix seems stable. Molina pulled back from risky ACA Marketplace exposure, now with 70% renewals focused on silver tier plans. New dual Medicare-Medicaid products and the $6 billion Florida CMS Kids contract boost earnings. States may add off-cycle rate hikes and contract tweaks to match inflation. Molina bets on expense discipline, product shifts, and growth plays to widen margins as Medicaid evolves. Support the show:Get a discount at https://solipillow.com/discount/dnn. Advertise on DNN:[email protected] This is an automated, high-level news summary based on public reporting.Report issues to [email protected]. View sources & latest updates:https://sources.thednn.ai/98983db49f88a241