Cigna Q1 Profit Spikes - Quick Facts

(RTTNews) - Health insurer Cigna Corp. (CI) announced significanty higher first-quarter 2014 results, with each of the its business segments posting strong revenue and earnings contributions.

For the quarter, the firm reported a sharp surge in shareholders' net income to $528 million, or $1.92 per share, from $57 million, or $0.20 per share, a year earlier. Shareholders' net income for the prior-year period included special items that resulted in after-tax charges of $558 million, or $1.93 per share.

Excluding special items, quarterly adjusted income from operations totaled $501 million, or $1.83 per share, versus $497 million, or $1.72 per share, for the first quarter of 2013. The latest quarter results reflect solid revenue growth, disciplined expense management and continued effective medical cost management, according to the company. On average, 18 analysts polled by Thomson Reuters expected earnings per share of $1.54 for the quarter. Analysts' estimates typically exclude one-time items.

The Philadelphia, Pennsylvania-based company clocked consolidated revenues of $8.5 billion, up 4% from last year's $8.18 billion. Eight analysts estimated revenues of $7.72 billion for the quarter. Cigna said the revenues reflect growth in premiums and fees of 3% in Global Health Care, 13% in Global Supplemental Benefits and 7% in Group Disability and Life, largely driven by continued growth in Cigna's targeted customer divisions.

For the full year 2014, Cigna's outlook for consolidated adjusted income from operations is now in the range of $1.93 billion - $2.0 billion, or $7.05 - $7.35 per share. This excludes the potential effects of future capital deployment. Street currently is looking for earnings per share of $7.17 for the year 2014.