CIGNA Q2 Profit Tops Expectations

reported better-than-expected earnings for the second quarter on Thursday. The Bloomfield, Connecticut-based company reported a quarterly profit of $588 million, or $2.26 per share, versus $573 million, or $2.12 per share, in the year-earlier period. Excluding items, the company's adjusted income from operations rose to $2.55 per share from $2.07 per share. Its operating revenue climbed to $9.47 billion from $8.67 billion, while total revenue surged to $9.49 billion from $8.73 billion. Analysts were estimating a profit of $2.31 per share on revenue of $9.53 billion. The average estimate among 10 Estimize users was for earnings of $2.30 per share and revenue of $9.4 billion. Its premiums and fees revenue in global health-care business climbed 10 percent to $6.73 billion. At June 30, 2015, cash and short term investments at the parent company totaled $560 million, versus around $400 million at December 31, 2014. Year to date, as of July 29, 2015, CIGNA repurchased around 4.3 million shares of stock for about $515 million. As of June 30, 2015, CIGNA had 14.77 million global medical customers, versus 14.25 million as of June 30, 2014. "Cigna's strong second quarter results once again reflect the consistent effective execution of our global strategy," said David M. Cordani, President and Chief Executive Officer. "As we look to the future, and our recent announcement that we will combine with Anthem to build the industry's premier health service company, we remain focused on delivering affordable, personalized solutions that create sustained long-term value for the benefit of our customers and clients around the world." CIGNA expects 2015 adjusted income from operations of $8.30 to $8.60 per share. CIGNA shares fell 0.32 percent to close at $145.41 yesterday.