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Humana’s Medicare Advantage business is faring even worse than the company let on last week, with “unprecedented” numbers of older adults getting medical care and busting through its tactics for holding up payment.

The country’s second largest private Medicare insurer disclosed Thursday it’s projecting roughly half the profit in 2024 that investors had expected. The news comes a week after Humana already lowered its projected 2023 profit, which still came in at north of $3 billion before taxes.

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The stock market’s punishment was swift and decisive, sinking Humana’s share price by roughly 12% at midday. Outgoing CEO Bruce Broussard worked to calm nerves on the company’s investor call, reiterating his confidence in MA. Humana went all-in on the program when it announced last year it would wind down its employer business, but that comes as regulators are beefing up scrutiny of MA plans.

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