Despite posting double-digit growth in expenses, the health maintenance organization (HMO) industry managed to earn ₱2.4 billion in the first nine months of the year due to its wider reach.

Data from the Insurance Commission (IC) showed that the HMO industry, from January to September, earned three times its earnings last year, which was ₱800.9 million.

Insurance Commissioner Reynaldo A. Regalado said the robust performance of the industry during the nine-month period could be attributed to “stronger profitability and wider market reach” among HMO firms.

The IC noted that the HMO industry’s year-to-date financial performance reflects resilience amid health and economic strains.

As of September, the industry’s total revenues increased by 22.6 percent, from ₱59.7 billion to ₱73.1 billion.

Total membership fees, amounting to ₱71.1 billion, accounted for almost 98 percent of their total revenues.

Meanwhile, the industry’s total expenses also climbed by 19.9 percent, rising to ₱70.6 billion from ₱58.9 billion a year ago. The IC said ₱55 billion, or 77.9 percent of this, is attributable to total healthcare benefits and claims.

Since January, the industry’s total assets increased by 27.6 percent, reaching ₱96.8 billion at end-September from ₱75.9 billion in the same period last year. Of these assets, ₱18.5 billion were classified as invested assets.

Total liabilities also increased by 31 percent, rising to ₱84.1 billion from ₱64.2 billion last year, primarily due to infusions in claims and other reserves.

Total equity rose to ₱12.7 billion as of end-September from ₱11.7 billion a year earlier.

Notably, the industry’s capital stock account dropped 22.5 percent, from ₱8.9 billion to ₱6.9 billion. According to the Commission, the notable tapering of this metric “occurred in line with the reclassification of equity accounts to appropriately reflect contingency surplus.”

“Collectively, these developments reflect the sustained growth and strengthened financial position of the HMO industry—providing a promising foundation for further innovation, more effective regulation, and improved delivery of accessible and reliable healthcare,” Regalado said.