Profit improves for LV insurer

Tuesday, May 2, 2000 | 11:09 a.m.

SANTA ANA, Calif. -- PacifiCare Health Systems Inc., a big insurer in Las Vegas, today reported a strong profit and growth for its first quarter ended March 31.

PacifiCare said it earned $74.6 million or $2.04 per share, up from $74 million or $1.61 per share. The number of shares outstanding in the most recent quarter was less than in the 1999 quarter.

Excluding credits and charges, PacifiCare said it earned $1.94 per share, up 21 percent from the prior-year quarter and up 22 percent from the quarter ended Dec. 31.

Pacificare said premium increases and benefit changes increased its gross profit by $43 million in the quarter. The company said membership in its existing health plans rose 5 percent from the prior year and 3 percent from the fourth quarter of 1999. It now has 4 million members.

Investors cheered today's profit report, trading PacifiCare stock at $59.63, up $5.06 or 9 percent this morning.

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