Fallon Health Reports Second Quarter Results

WORCESTER — Fallon Health today reported a net income of $.1 million on revenue of $302 million on a GAAP basis for the second quarter that ended June 30, 2016. Net income includes investment and other income of $2.6 million and operating loss of $2.5 million.

For the same quarter last year, Fallon posted a net loss of $2.5 million on revenue of $321 million. The net loss included investment income of $2.5 million and an operating loss of $5.0 million. Membership was 210,684 as of June 30, 2016, compared with 221,588 ending June 30, 2015.

“In this post-reform environment we are continuing to strategically reposition our commercial business to focus on products where we have competitive advantages, can best serve our communities and moderate risk exposure,” said R. Scott Walker, Executive Vice President and Chief Financial Officer.

Walker noted that long-time investments in senior care and government programs have led to an 8{06cf2b9696b159f874511d23dbc893eb1ac83014175ed30550cfff22781411e5} membership growth this year in Fallon’s MassHealth, Fallon Senior Plan, NaviCare, Summit ElderCare, Fallon Health Weinberg and Community Care products. “The outlook for these products is very favorable as individuals turn to MassHealth and the Connector for coverage and as our population ages.”