More mergers and acquisitions are a key part of Molina Healthcare's future strategy, executives told investors.
On an April 25 call, transcribed by Seeking Alpha, CEO Joseph Zubretsky said the company has a pipeline with "many actionable" M&A opportunities.
In January, Molina Healthcare completed the acquisition of Bright Health's Medicare Advantage business for $500 million, adding 109,000 members. Mr. Zubretsky said the company has completed eight transactions amounting to $11 billion in revenue in the past four years.
In September, Molina closed the acquisition of My Choice Wisconsin, a Medicaid MCO with 44,000 members. In 2022, it acquired AgeWell New York's Medicaid managed long-term care business for $110 million.
Most of the company's M&A activity has been in Medicaid, and Bright Health is its first Medicare acquisition, Mr. Zubretsky said.
"We look for opportunities across all of our product lines," he told investors.
Molina reported $301 million in net income in the first quarter of 2024. According to its first quarter earnings, the company has 5.7 million members. More than 5 million of those members are in Medicaid managed care.