Cigna 2Q profit increases 13 percent, tops forecast

Markets Associated Press

Cigna's second-quarter profit rose 13 percent to top Wall Street expectations as the health insurer collected more in fees and premiums.

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The Bloomfield company also boosted its outlook though shares slumped 6 percent in early trading Thursday as markets sold off sharply.

Net income reached $573 million, or $2.12 per share, up from $505 million, or $1.76 per share, in the same quarter a year ago.

Earnings, adjusted for investment gains, were $1.96 per share. The average estimate of analysts surveyed by Zacks Investment Research was for earnings of $1.85 per share.

Revenue was $8.73 billion compared with $7.98 billion in the same quarter a year earlier and also topped Wall Street estimates. Analysts expected $8.25 billion, according to Zacks.

Premiums and fees revenue climbed more than 8 percent to $7.76 billion.

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Cigna lifted its adjusted earnings projections for the year to between $7.20 and $7.40, up from a range of $7.05 to $7.35 a share earlier this year.

Shares of Cigna Corp. fell $5.79 to $87.71 in morning trading Thursday.


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