Commercial business, cost management of Cigna enhances almost 60 percent increase in profit

Bloomfield, Conn.-based Cigna reported net income of $813 million in the second quarter of fiscal year 2017, depicting a year-over-year 59.4% increase from $510 million in the similar period last year. The payer attributed the net income progress to cost management strategies and increased earnings across its commercial plans. Additionally, Cigna reported a $47 million after-tax benefit resulting from its terminated merger with Indianapolis-based Anthem.

Cigna recorded revenues of $10.3 billion in the 3 months ended June 30, compared to $10 billion in the same period of 2016. The almost 4% year-over-year increase depicts progress in the targeted customer segments of payer.

Expenses in the second quarter of 2017 totaled $9.2 billion for Cigna, up slightly from $9.15 billion recorded in the second quarter of 2016 year. Year-to-date, Cigna reported net income of $1.4 billion compared to $1 billion during the first 6 months of 2016.