Shares of Centene Corp. CNC, -1.06% rallied 1.8% in premarket trading Friday, after the health care company raised its full-year profit and revenue outlook and added $3.0 billion to its stock repurchase program. The company also said it was reducing its real estate footprint, as part of its plan to adopt “a more modern, flexible work environment.” The company raised its adjusted earnings per share guidance range to $5.55 to $5.70 from $5.40 to $5.55 and boosted its premium and service revenue outlook to $134.3 billion to $136.3 billion from $132.3 billion to $134.3 billion. The company also set a new $1.0 billion debt buyback program. Separately, Centene said it will record $750 million to $800 million in costs, reflecting a 65% decrease in domestic leased space and including costs to decommission space and lease termination fees, and $750 million to $850 million attributable to owned real estate. The company expects to decrease its leased real estate expense by an annualized $180 million to $200 million. Centene stock has slipped 7.0% year to date through Thursday, while the SPDR Health Care Select Sector ETF XLV, -1.47% has declined 14.9% and the S&P 500 SPX, -3.25% has dropped 23.1%.
