Health Net Inc. reported fourth quarter net income of $84.8 million (72 cents per share), an 11 percent rise from $76.7 million (65 cents) for the same period a year earlier.

Revenue for the Los Angeles-based health insurance provider increased 8.7 percent to $3.21 billion helped by increased sales of full-service medical plans under the U.S. government’s Medicare program, the company said in a statement.

Excluding certain items, including stock-based compensation and $37 million the company spent related to a class-action lawsuit, the company earned 91 cents a share. That beat Wall Street’s forecast of 90 cents, according to Thompson Financial.

Shares in Health Net were up 51 cents to $51.38 in midday trading Thursday.