Aetna Inc., the No. 3 U.S.health insurer by membership, raised its earnings forecast forthe year after first-quarter profit topped analysts’ estimates,helped by rising premiums.

The health insurer now expects 2016 earnings of $7.90 to $8.10 ashare, excluding some items, up from a February forecast of atleast $7.75, according to a statement Thursday. Analystsanticipated $7.95, the average of predictions compiled byBloomberg.

Aetna has added customers in the private Medicare Advantage program forthe elderly, and is expanding its wager on the business with theplanned acquisition of Humana Inc. That helped cushion a decline incommercial membership and a rise in medical costs.

• First-quarter net income fell 6.5 percent to $726.6 million, or$2.06 a share, from $777.5 million, or $2.20, a year earlier

• Operating earnings per share of $2.30 tops the $2.23 average ofanalysts’ estimates

• Medical loss ratio widened to 80.5 cents per premium dollar,compared with spending 79.1 cents per dollar a year earlier

Aetna has one of the largest numbers of members in the newmarketplaces created by the Affordable Care Act, according toBloomberg Intelligence. Large health insurers have been strugglingto make a profit from these so-called Obamacare exchanges, and inFebruary, Aetna Chief Executive Officer Mark Bertolini said he had“serious concerns about the sustainability”of those markets.

UnitedHealth Group Inc., the U.S. largest healthinsurer, plans to withdraw from most of its ACAexchanges next year to stem losses. Meanwhile Anthem Inc., No.2 in the industry, said Wednesday that results from its ACA planswere about break-even last quarter, and will probably fall short ofits profit margin target next year.

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