Cash Flow
CENTENE CORPORATION AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CASH FLOWS (In millions) (Unaudited) |
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|
Six Months Ended June 30, |
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|
2023 |
|
2022 |
Cash flows from operating activities: |
|
|
|
Net earnings |
$ 2,185 |
|
$ 681 |
Adjustments to reconcile net earnings to net cash provided by operating activities |
|
|
|
Depreciation and amortization |
650 |
|
718 |
Stock compensation expense |
117 |
|
129 |
Impairment |
38 |
|
1,450 |
(Gain) loss on debt extinguishment |
— |
|
(16) |
(Gain) on acquisition |
— |
|
(2) |
Deferred income taxes |
(160) |
|
(417) |
(Gain) on divestiture |
(172) |
|
— |
Other adjustments, net |
68 |
|
162 |
Changes in assets and liabilities |
|
|
|
Premium and trade receivables |
(319) |
|
(1,288) |
Other assets |
(325) |
|
(245) |
Medical claims liabilities |
139 |
|
2,089 |
Unearned revenue |
1,895 |
|
75 |
Accounts payable and accrued expenses |
618 |
|
41 |
Other long-term liabilities |
2,081 |
|
1,058 |
Other operating activities, net |
— |
|
70 |
Net cash provided by operating activities |
6,815 |
|
4,505 |
Cash flows from investing activities: |
|
|
|
Capital expenditures |
(440) |
|
(524) |
Purchases of investments |
(3,199) |
|
(3,114) |
Sales and maturities of investments |
2,293 |
|
2,005 |
Acquisitions, net of cash acquired |
— |
|
(1,512) |
Divestiture proceeds, net of divested cash |
669 |
|
— |
Net cash (used in) investing activities |
(677) |
|
(3,145) |
Cash flows from financing activities: |
|
|
|
Proceeds from long-term debt |
1,281 |
|
331 |
Payments and repurchases of long-term debt |
(1,322) |
|
(900) |
Common stock repurchases |
(828) |
|
(420) |
Proceeds from common stock issuances |
21 |
|
38 |
Payments for debt extinguishment |
— |
|
(27) |
Purchase of noncontrolling interest |
(85) |
|
— |
Other financing activities, net |
— |
|
(6) |
Net cash (used in) financing activities |
(933) |
|
(984) |
Effect of exchange rate changes on cash, cash equivalents, and restricted cash |
(7) |
|
(9) |
Net increase in cash, cash equivalents, and restricted cash and cash equivalents |
5,198 |
|
367 |
Cash, cash equivalents, and restricted cash and cash equivalents, beginning of period |
12,330 |
|
13,214 |
Cash, cash equivalents, and restricted cash and cash equivalents, end of period |
$ 17,528 |
|
$ 13,581 |
Supplemental disclosures of cash flow information: |
|
|
|
Interest paid |
$ 348 |
|
$ 327 |
Income taxes paid |
$ 592 |
|
$ 411 |
The following table provides a reconciliation of cash, cash equivalents, and restricted cash and cash equivalents reported within the Consolidated Balance Sheets to the totals above: |
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|
June 30, |
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|
2023 |
|
2022 |
Cash and cash equivalents |
$ 17,170 |
|
$ 13,435 |
Restricted cash and cash equivalents, included in restricted deposits |
358 |
|
146 |
Total cash, cash equivalents, and restricted cash and cash equivalents |
$ 17,528 |
|
$ 13,581 |