UPDATE: Aetna Posts Higher Q2 Profit, Lifts Full-Year Outlook

Aetna AET reported a rise in its second-quarter profit and raised its earnings outlook for the full year. The Hartford, Connecticut-based company posted quarterly net income of $549 million, or $1.52 per share, compared to $536 million, or $1.49 per share, in the year-ago period. Excluding charges, it earned $1.69 per share. Its total revenue surged 26% to $14.51 billion, while operating revenue came in at $14.49 billion. However, analysts were expecting earnings of $1.60 per share on revenue of $13.99 billion. Aetna's Health Care operating revenue rose to $13.8 billion from $10.9 billion, while Group Insurance business operating revenue gained 8% to $626.4 million from $582.4 million. Large Case Pensions business posted operating earnings of $5.4 million, up from $3.8 million, in the year-ago quarter. Aetna lifted its full-year 2014 operating earnings forecast to $6.45 to $6.60, versus its earlier outlook of $6.35 to $6.55 per share. “Aetna reported solid results across multiple business lines this quarter, achieving record results for medical membership of 23.1 million members and operating revenues of $14.5 billion,” said Mark T. Bertolini, Aetna chairman, CEO and president. Aetna shares gained 1.71% to close at $84.82 yesterday.