Cigna Group (The)

Strong First Quarter Performance: Cigna Corporation reported total revenue of $65.5 billion for Q1 2025, with adjusted earnings per share (EPS) of $6.74, exceeding expectations. This demonstrates resilience in a dynamic environment and allows Cigna to raise its full-year EPS guidance to at least $29.60.

Business Segment Growth: EverNorth, Cigna's health services portfolio, achieved 19% revenue growth in its Specialty and Care Services segment. Similarly, Cigna Healthcare, representing 40% of the company’s income, experienced a 9% increase in revenue, driven by robust performance in its under 500 select segment customers, which grew by 9% year over year.

Market Challenges and Cost Trends: Despite strong revenue, Cigna indicated that medical cost trends for 2025 remain elevated due to rising expenses in specialty drugs and mental health services. The company is focusing on managing these costs to improve margins, particularly in its stop-loss business, which is expected to stabilize over the next two years.