Cigna Boosts Full-Year Forecast as Evernorth Health Services Drives Growth

Cigna on Thursday raised its annual profit forecast and reported second-quarter results that beat Wall Street estimates, citing strong performance in its pharmacy and specialty drug businesses. The health insurer's results reflect a strategic shift toward its employer-sponsored plans and its rapidly growing health services segment.

Quarterly Performance Exceeds Expectations

The company now expects its 2026 adjusted profit to be at least $30.45 per share, an increase of 10 cents from its previous guidance. This revised forecast is slightly ahead of the average analyst estimate of $30.41 per share, according to LSEG data.

For the second quarter, Cigna reported:

• Adjusted earnings: $7.78 per share, surpassing the consensus estimate of $7.60 per share.
• Total revenue: $71.67 billion, a 7% year-over-year increase that beat estimates of $70.34 billion.

Evernorth Unit Remains a Key Growth Engine

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The strong performance was largely fueled by Cigna's Evernorth Health Services unit, which includes its pharmacy benefit management (PBM) and specialty pharmacy operations. The segment's adjusted revenue rose 6% to $61.47 billion.

Cigna attributed this growth in part to higher use of specialty drugs, which treat complex conditions like cancer and multiple sclerosis. As a PBM, Evernorth plays a crucial role in negotiating drug prices with manufacturers on behalf of its health plan and employer clients.

Medical Costs and Strategic Focus

Cigna's medical loss ratio (MLR)—the percentage of premiums spent on medical care—was 84.5% for the quarter. This was higher than the 83.2% reported in the same period last year and slightly above the 84.46% analysts had expected. The company noted the prior-year figure benefited from higher risk-adjustment payments in its individual and family plans business.

The results come as Cigna pivots away from government-backed insurance markets. The company has exited the Medicare Advantage business and plans to stop offering Affordable Care Act plans after 2026, sharpening its focus on its core commercial business and the high-performing Evernorth unit.