Cigna 1Q Profit Falls 2.6%

Cigna Corporation

reported 2.63% drop in net income to $519 million in the first quarter from $426 million in the same quarter last year. Its earnings also fell similar 2% to $2.00 a share from $2.04 a share in the prior year period. On an adjusted basis, income from operations grew 17.2% to $601 million from $513 million while earnings advanced 18.4% to $2.32 a share from $1.96 a share in the comparable period. This was higher than the Street estimations of $2.15 a share. For the three-month period January to March, the company's top line grew 5.6% to $9.92 billion from $9.39 billion in the previous year quarter and missed the Street analysts' expectations of $10.0 billion. The company's President and CEO, David Cordani, said that "Our strong first quarter results reflect the continued focused execution of Cigna's global strategy. Cigna's ability to deliver quality outcomes and affordability reflects the value Cigna delivers to our customers and clients while continuing to position for success in our combination with Anthem." Going forward, Cigna expects its income from operations to be $8.95 - $9.35 a share for the full year 2016. Analysts expect the company to earn $9.18 a share. The company expects to deliver mid-single digit revenue growth for the same period. The stock shed 0.18% on Thursday.