Humana Inc (NYSE:HUM) shares eased slightly in premarket trade after the company reported a mixed set of fourth quarter numbers.
In a statement, the company said earnings in the fourth quarter came in at US$490mln or US$1.29 per share, from a loss of US$486mln, or a loss of US$2.68 per share.
READ: Humana shares up after third quarter revenue dips and misses expectations
Adjusted earnings-per-share were US$2.06, beating market consensus for US$2.00.
Revenue rose to US$13.19bn, up from US$12.88bn the year before, but slightly below the market consensus of US$13.201bn.
The company said improved revenues came from its Medicare Advantage business and its group and specialty segment, despite lower individual commercial segment revenues.
The corporate tax reform had a negative effect on its fourth quarter EPS but this will improve in 2018 due to the lower corporate tax rate.
2018 guidance
Humana plans to use the tax benefits from the tax reform "to invest in employees and the communities of its members to aid in addressing the social determinants of health for seniors, as well as to accelerate investments in technology and our integrated care delivery model, and to benefit shareholders."
It is guiding 2018 adjusted EPS at about US$13.50 to US$14.00, well above market expectations for US$13.12.
In premarket trade, its shares were up 0.76% at US$269.12.