Health Net 2004 Annual Report Download - page 88

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HEALTH NET, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(Amounts in thousands, except per share data)
See accompanying notes to consolidated financial statements.
Year Ended December 31,
2004
2003
2002
Revenues
Health plan services premiums
$ 9,560,244
$ 9,093,219
$ 8,581,658
Government contracts
2,021,871
1,865,773
1,498,689
Net investment income
58,147
59,332
65,210
Other income
6,131
46,378
49,201
Total revenues
11,646,393
11,064,702
10,194,758
Ex
p
enses
Health plan services
8,413,638
7,516,838
7,161,520
Government contracts
1,927,598
1,789,523 1,452,968
General and administrative
888,480
912,531
856,169
Selling
240,117
233,519
197,751
Depreciation
41,426
55,903
61,832
Amortization
2,862
2,774
7,060
Interes
t
33,133
39,135
40,226
Severance, asset impairments and restructuring costs
32,893
16,409
60,337
Net (gain) loss on sales of businesses and properties and assets held for sale
(1,170)
(18,901) 5,000
Total expenses
11,578,977
10,547,731 9,842,863
Income from continuing operations before income taxes and cumulative effect of a
change in accounting principle
67,416
516,971
351,895
Income tax provision
24,812
193,891
117,374
Income from continuing operations before cumulative effect of a change in
accounting principle
42,604
323,080
234,521
Discontinued operations: Loss on settlement from disposition, net of tax
—
(89,050)
—
Income before cumulative effect of a change in accounting principle
42,604
234,030
234,521
Cumulative effect of a change in accounting principle, net of tax
—
—
(8,941)
Net income
$42,604
$234,030
$225,580
Basic earnings (loss) per share:
Income from continuing operations
$ 0.38
$ 2.79
$ 1.89
Loss on settlement from disposition of discontinued operations, net of tax
—
(0.77)
—
Cumulative effect of a change in accounting principle
—
—
(0.07)
Net
$0.38
$2.02
$1.82
Diluted earnings (loss) per share:
Income from continuing operations
$ 0.38
$ 2.73 $ 1.86
Loss on settlement from disposition of discontinued operations, net of tax
—
(0.75)
—
Cumulative effect of a change in accounting principle
—
—
(0.07)
Net
$0.38
$1.98
$1.79
Weighted average shares outstanding:
Basic
111,859
115,999
124,221
Dilute
d
113,038
118,278 126,004