The Cigna Group reported its third quarter results reflecting revenue and earnings growth across its businesses, and boosted by revenue growth of 14% from Cigna Healthcare.
For Cigna Healthcare, third quarter 2023 adjusted revenues grew to US$12.8bn compared to US$11.2bn for the corresponding quarter in 2022. That reflected customer growth and premium rate increases to cover underlying medical cost trends, Cigna said.
Cigna also reported strong medical customer growth for Cigna Healthcare of at least 1,600,000 customers for the year, compared to a prior projection of 200,000 new customers.
Cigna Healthcare includes US commercial, US government and international health businesses, which provide comprehensive medical benefits and coordinated solutions to clients and customers.
International health solutions include health care coverage in international markets, as well as health care benefits for globally mobile individuals and employees of multinational organisations.
Third quarter 2023 adjusted income from operations, pre-tax increased by 16% relative to third quarter 2022.
Much of Cigna Healthcare’s pre-tax growth was thanks to lower US commercial medical care ratio (MCR) and higher net investment income.
Total revenues for the New York Stock Exchange (NYSE) -listed company in the third quarter were US$49.0bn compared to US$45.3bn for the same period last year.
Shareholders’ net income for the third quarter 2023 was down compared to third quarter of 2022. at US$1.4bn for the quarter, or US$4.74 per share.
That compared with US$2.8bn, or US$8.97 per share, for the third quarter 2022. But the 2022 figure included an after-tax gain of US$1.4bn, or US$4.52 per share, from the Chubb Transaction.
On 1 July 2022, Cigna completed the sale of its life, accident and supplemental benefits businesses in six countries (Hong Kong, Indonesia, New Zealand, South Korea, Taiwan and Thailand) to Chubb INA Holdings, for approximately US$5.4bn in cash.
In December 2022, Cigna divested its ownership interest in a joint venture in Turkey.
The Cigna Group’s adjusted income from operations for the third quarter 2023 was up to US$2.0bn compared with $1.9bn, for the third quarter 2022.
Its outlook for full year 2023 adjusted revenues increased to at least US$192.0bn.
David M Cordani, chairman and CEO of Cigna Group, said: “We continued to drive growth in the third quarter by harnessing our deep clinical expertise and service capabilities across our company, supporting high-quality care, improved affordability and better outcomes.
“With disciplined execution and continued innovation across Evernorth Health Services and Cigna Healthcare, we’re meeting the evolving needs of those we serve.”