Health Net 2015 Annual Report Download - page 63

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Item 6. Selected Financial Data.
The following selected financial and operating data as of and for the years ended December 31, 2015, 2014, and 2013
are derived from our audited consolidated financial statements and notes thereto contained in this Annual Report on Form 10-
K. The selected financial and operating data as of and for the years ended December 31, 2012 and 2011 are derived from our
audited consolidated financial statements which are not included herein. The selected financial and operating data should be
read in conjunction with “Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations”
and the consolidated financial statements and notes thereto contained elsewhere in this Annual Report on Form 10-K.
Year Ended December 31,
2015 2014 2013 2012 2011
(Dollars in thousands, except per share and PMPM data)
REVENUES:
Health plan services premiums................................. $ 15,553,348 $ 13,361,170 $ 10,377,073 $ 10,459,098 $ 9,878,687
Government contracts............................................... 628,451 603,975 572,266 689,121 1,416,619
Net investment income ............................................. 55,494 45,166 69,613 82,434 74,161
Administrative services fees and other income ........ 6,294 (1,725) 34,791 17,968 11,523
Divested operations and services revenue ................ — — — 40,471 34,446
Total revenues............................................... $ 16,243,587 $ 14,008,586 $ 11,053,743 $ 11,289,092 $ 11,415,436
INCOME SUMMARY (1):
Income from continuing operations.......................... $ 185,677 $ 145,629 $ 170,126 $ 25,681 $ 61,056
Income on discontinued operation, net of tax........... — — — 96,382 11,064
Net income................................................................ $ 185,677 $ 145,629 $ 170,126 $ 122,063 $ 72,120
NET INCOME PER SHARE—DILUTED (1): ...
Income from continuing operations.......................... $ 2.37 $ 1.80 $ 2.12 $ 0.31 $ 0.68
Income of discontinued operation, net of tax............ $ — $ — $ — $ 1.16 $ 0.12
Net income................................................................ $ 2.37 $ 1.80 $ 2.12 $ 1.47 $ 0.80
Weighted average shares outstanding:......................
Diluted........................................................... 78,358 80,777 80,404 83,112 89,970
BALANCE SHEET DATA:
Cash and cash equivalents and investments
available for sale ................................................. $ 3,242,801 $ 2,664,763 $ 2,059,943 $ 2,152,622 $ 1,790,397
Total assets................................................................ 6,397,646 5,395,934 3,929,125 3,934,390 3,607,669
Loans payable—current............................................ 285,000 — — — —
Loans payable—long term........................................ — 100,000 100,000 100,000 112,500
Senior notes payable ................................................. 399,709 399,504 399,300 399,095 398,890
Total stockholders’ equity (2)................................... 1,833,080 1,709,222 1,628,811 1,557,030 1,443,146
OPERATING DATA:
Pretax margin from continuing operations ............... 2.8% 1.4% 2.4% 0.3% 1.4%
Western Region Operations health plans services
medical care ratio (MCR) ................................... 83.8% 84.6% 85.6% 89.1% 86.5%
Western Region Operations total G&A expense
ratio ..................................................................... 10.9% 10.9% 10.3% 8.6% 8.6%
Western Region Operations selling costs ratio......... 1.7% 2.0% 2.3% 2.4% 2.4%
Western Region Operations health plan services
premiums per member per month (PMPM)........ $401.91 $384.17 $349.92 $341.28 $322.28
Western Region Operations health plan services
costs PMPM........................................................ $336.96 $325.12 $299.66 $304.01 $278.85
Net cash provided by operating activities................. $ 431,095 $ 776,001 $ 95,389 $ 32,540 $ 103,380
Net cash (used in) provided by investing activities .. $ (546,649) $ (184,852) $ 579 $ (12,558) $ 222,227
Net cash (used in) provided by financing activities.. $ 243,275 $ (155,171) $ (3,373) $ 89,875 $ (445,492)
__________
(1) For 2015, our operating results were impacted by fees imposed under the ACA, including $233.0 million in amortization of deferred
costs of health insurer fee and $85.5 million in other ACA fees. Our operating results for the year ended December 31, 2015, were also
impacted by $118.2 million in pretax expenses primarily related to the Cognizant Transaction. In 2014, we had an $88.5 million pretax