Molina Healthcare experienced a significant drop in profit and revenue during the second quarter, primarily due to a decline in membership. The insurance company, which largely serves Medicare and Medicaid beneficiaries, reported a net income of $60 million, or $1.19 a share. This stands in stark contrast to the $255 million, or $4.75 a share, recorded in the same period last year.

Molina attributed the decreased profitability to a combination of lower premium revenue and a rise in its medical care ratio. Despite the overall decline, the company's adjusted earnings per share came in at $1.51, exceeding the $1.39 expected by analysts polled by Fact Set.