Cigna Corporation (NYSE: CI) has announced impressive first-quarter earnings, with an EPS of $6.74, exceeding analyst expectations by $0.39. The company’s revenue for the quarter reached $65.5 billion, surpassing the consensus estimate of $60.38 billion.
This robust performance reflects Cigna’s successful execution across its diversified business portfolio, particularly in its Evernorth Health Services and Cigna Healthcare segments.
The strong financial results are a testament to Cigna’s strategic growth initiatives. Total revenues increased by 14% year-over-year, driven by growth in existing client relationships and a significant boost in specialty pharmacy services within Evernorth Health Services.
Additionally, Cigna Healthcare saw a 9% rise in adjusted revenues, primarily due to premium rate increases aimed at covering higher medical costs.
Cigna’s adjusted income from operations was $1.8 billion, or $6.74 per share, beating the previous year’s figure of $6.47 per share. The company’s shareholders’ net income stood at $1.3 billion, or $4.85 per share, marking a significant turnaround from a net loss of $0.3 billion, or $0.97 per share, in the same quarter last year.
Looking ahead, Cigna has raised its full-year 2025 guidance, projecting adjusted earnings from operations of at least $29.60 per share. This aligns with analyst consensus, reflecting confidence in the company’s growth platforms.
The strategic divestiture of its Medicare businesses to Health Care Services Corporation (HCSC) on March 19, 2025, is part of Cigna’s efforts to optimize its portfolio and focus on high-growth segments.
Cigna’s stock closed at $335.18, reflecting a 13.93% increase over the past three months, despite being down 1.85% over the last year. The company’s stock has seen mixed revisions, with one positive EPS revision and 15 negative revisions in the past 90 days.
Despite these fluctuations, Cigna’s strong Q1 performance and optimistic outlook suggest a positive trajectory for the company in 2025.