Molina Healthcare (NYSE: MOH) is set to record an estimated $93 million non-cash, pre-tax impairment charge in the first quarter of 2026 due to its decision to exit the Medicare Advantage Prescription Drug product for 2027, shifting focus to dual eligible members. Additionally, the company amended its credit agreement on February 4, 2026, temporarily reducing the minimum quarterly interest coverage ratio. These developments follow a significant earnings miss for Q4 2025, where the company reported an adjusted loss per share of $2.75 despite exceeding revenue expectations.
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Molina Healthcare to record $93 million impairment, amends credit agreement
Molina Healthcare (NYSE: MOH) is set to record an estimated $93 million non-cash, pre-tax impairment charge in the first quarter of 2026 due to its decision to exit the Medicare Advantage Prescription Drug product for 2027, shifting focus to dual eligible members. Additionally, the company amended its credit agreement on February 4, 2026, temporarily reducing the minimum quarterly interest coverage ratio. These developments follow a significant earnings miss for Q4 2025, where the company reported an adjusted loss per share of $2.75 despite exceeding revenue expectations.