If you find yourself thinking about the Bluegrass State, chances are your mind will wander to its horse-racing traditions, including the Kentucky Derby, and of course University of Kentucky basketball.
But there’s more to the state than sports traditions, including thriving health care provider Humana (NYSE:HUM) — a Kentucky-bred company founded in 1961 in Louisville, where the company still calls its headquarters home.
With the size and scope of health care changing after the Supreme Court ruling on Obamacare, and the upcoming presidential election results, Humana can play an important role for its 11.2 million members — a challenge for its 40,000 employees welcome.
Humana operates through its two main programs: Retail and Employer Group. Its Retail segment provides Medicare and commercial fully insured medical and specialty health insurance benefits, including dental, vision and other supplemental health and financial protection products to individuals. The company?’s Employer Group segment offers Medicare and commercial fully insured medical and specialty health insurance benefits, as well as administrative services to employer groups.
During the year ended Dec. 31, 2011, 76% of its premiums and services revenue were derived from contracts with the federal government.
Humana brings in about $38 billion in revenues, and the company tallied an impressive $1.35 billion in net income for the year ended 2011. With a 17% return on equity, and plenty of cash on hand, the company is poised to continue on a growth trajectory and enjoy the same level of success as the Bluegrass State’s greatest sporting traditions.
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Marc Bastow is an Assistant Editor of InvestorPlace. As of this writing, he did not hold a position in any of the aforementioned securities.