Highmark Health posts $629M net income, sees dip in revenue in first half of 2019

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Pittsburgh-based Highmark Health posted net income of $629 million on revenues of $9.2 billion in the first half of fiscal year 2019.

Highmark, parent of Pittsburgh-based Allegheny Health Network and Highmark Health Plan, attributed the results to the health plan's commercial and government business results and operational improvements at AHN, among gains from its dental, vision and stop loss subsidiaries.  

In the same time period in 2018, Highmark posted net income of $551 million on revenues of $9.4 billion.

Highmark Health Plan reported an operating gain of $420 million for the period ended June 30, with its commercial business driving $151 million and its government business driving $269 million.

AHN recorded $47 million in net income, an improvement of $29 million over the same period last year. Highmark attributed several factors for AHN's improved performance year over year, including an 11 percent increase in physician office visits, a more complex case mix and improved care coordination through its EHR. AHN also refinanced its capital debt structure through a $1 billion bond offering in August 2018.

As a whole, Highmark reported an operating gain of $410 million, down from the $502 million it reported in the same period in 2018.

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