Molina Healthcare Net Income Plunges 95% to $14M in Q1 2026
Molina Healthcare, a managed care provider for Medicaid and Medicare programs, reported net income of $14 million for the quarter ending March 31, 2026, down sharply from $298 million in the same period a year earlier. Revenue declined 3% to $10.8 billion.
Molina Healthcare, Inc. (NYSE: MOL), a managed care provider for Medicaid and Medicare programs, reported net income of $14 million for the three months ending March 31, 2026, a 95% decline from $298 million in the first quarter of 2025. Earnings per diluted share fell to $0.27 from $5.45 a year earlier. Read more earnings reports.
Revenue for the quarter declined 3% to $10.8 billion from $11.1 billion in the prior-year period. Operating income dropped to $83 million from $433 million, an 81% decline year over year.
Cost of goods sold decreased to $9.3 billion from $9.5 billion in the first quarter of 2025. Gross profit for the quarter totaled $902 million, down from $1.1 billion in the same period last year.
Balance Sheet Strengthens
Total assets rose to $16.4 billion as of March 31, 2026, up from $15.6 billion at the end of December 2025. Cash and cash equivalents increased to $5.3 billion from $4.2 billion over the same period.
Total liabilities climbed to $12.3 billion from $11.5 billion at year-end 2025. Long-term debt remained relatively flat at $3.8 billion. Stockholders' equity edged up slightly to $4.1 billion from $4.0 billion.
Cash Flow Surges
Cash from operations jumped to $1.1 billion for the quarter from $190 million in the first quarter of 2025. Cash from investing activities turned positive at $11 million compared to a use of $123 million a year earlier. Cash from financing activities showed an outflow of $20 million versus an inflow of $147 million in the prior-year period.
The company's share count stood at 52 million at quarter-end, up from 51 million at the end of December 2025 but down from 54 million a year earlier.
Key Financial Metrics
| Metric | Q1 2026 | Q1 2025 | Change |
|---|---|---|---|
| Total Revenue | $10.8 billion | $11.1 billion | -3% |
| Operating Income | $83 million | $433 million | -81% |
| Net Income | $14 million | $298 million | -95% |
| EPS (Diluted) | $0.27 | $5.45 | -95% |
| Cash from Operations | $1.1 billion | $190 million | +469% |
| Total Assets | $16.4 billion | $15.6 billion (Dec 31, 2025) | +5% |
Depreciation and amortization for the quarter totaled $39 million, down from $48 million in the first quarter of 2025.