Computed from published fixed rules, not a model's judgement — though one input, the count of high-severity risks, comes from the AI analysis below.
Not investment advice and not a price target: it scores the quarter's fundamentals, not the stock. Full methodology →
AI Takeaway
CI (Cigna) delivered FY2025 revenue of $274.9B (+11.2% YoY) with net income surging 73.5% to $6.0B, though operating margin compressed to 3.3% as cost of revenue grew faster than revenue.
Revenue
$274.9B
+11.24% YoY
EPS (Diluted)
$22.18
+83.00% YoY
Operating Income
$9.2B
-2.30% YoY
Source: SEC XBRL
Cigna Group (CI) reported FY2025 revenue of $274.9B, up 11.2% year over year. Operating margin was 3.3%, down 0.5 points from 3.8% a year earlier. Operating cash flow was $9.6B, down 7.4% year over year.
Last 4 quarters: 0 beats
| Quarter | Actual EPS (USD) | Consensus (USD) | Result |
|---|---|---|---|
| Jun 2026 | 7.78 | 7.83 | Miss -0.6% |
| Mar 2026 | 7.79 | 7.84 | Miss -0.7% |
| Dec 2025This filing | 8.08 | 8.11 | Miss -0.4% |
| Sep 2025 | 7.83 | 7.88 | Miss -0.6% |
Reported EPS of $8.08 versus the $8.11 analyst consensus — a -0.4% miss for Dec 2025.
Compiled by AI from this SEC filing
Revenue grew 11.2% YoY to $274.9B in FY2025, up from $247.1B in the prior year, reflecting continued expansion across Cigna's health services and pharmacy benefit management businesses. This top-line growth demonstrates the company's ability to grow its managed care and PBM scale.
Source: 10-K Income Statement
Cost of revenue rose 17.8% YoY to $215.0B, significantly outpacing revenue growth of 11.2%, which compressed gross profit and contributed to a decline in operating margin from 3.81% to 3.35%. This reflects rising medical costs and pharmacy benefit costs across the enterprise.
Source: 10-K Income Statement
Net income jumped 73.5% to $5.96B from $3.43B in the prior year, and diluted EPS rose 83.0% to $22.18, suggesting significant non-operating gains or favorable tax items contributed materially beyond operating income, which actually declined 2.3% to $9.2B.
Source: 10-K Income Statement
SG&A expenses declined 1.5% YoY to $14.6B, demonstrating management's focus on administrative cost control even as medical and pharmacy costs escalated. This helped partially cushion the impact of rising cost of revenue on operating income.
Source: 10-K Income Statement
Share repurchases declined 48.5% YoY to $3.6B from $7.0B, while investing cash outflows nearly doubled to -$4.4B, suggesting the company redirected capital toward acquisitions or investments rather than shareholder returns in FY2025.
Source: 10-K Cash Flow Statement
Compiled by AI from this SEC filing · 2 high, 3 medium, 0 low
Cost of revenue grew 17.8% versus revenue growth of 11.2%, indicating medical and pharmacy costs are accelerating faster than Cigna can reprice premiums. If this trend persists, it could further compress already thin operating margins (3.3%) and pressure profitability.
Source: 10-K Income Statement
Cigna's debt-to-equity ratio stands at 2.78x and its current ratio is only 0.85x, meaning current liabilities of $56.3B exceed current assets of $47.8B. This liquidity gap and high leverage could constrain financial flexibility, particularly in a rising interest rate environment.
Source: 10-K Balance Sheet
Operating income fell 2.3% to $9.2B even as revenue grew 11.2%, reflecting structural margin compression. The divergence between net income growth (driven by non-operating items) and operating income decline raises questions about the sustainability of earnings quality.
Source: 10-K Income Statement
Operating cash flow declined 7.4% YoY to $9.6B, and free cash flow (operating cash flow minus capex implied by investing activities) is under pressure as investing outflows nearly doubled to -$4.4B. Reduced cash generation limits the company's ability to fund buybacks and debt repayment simultaneously.
Source: 10-K Cash Flow Statement
With cost of revenue representing approximately 78.2% of total revenue, Cigna operates with very thin margins that are highly sensitive to changes in medical utilization rates, drug pricing, and regulatory reimbursement changes. Any adverse shift in these factors could rapidly erode profitability.
Source: 10-K Income Statement
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Revenue $B | 274.90 $B | 247.12 $B | +11.24% |
Cost of Revenue $B | 214.99 $B | 182.51 $B | +17.80% |
Operating Income $B | 9.20 $B | 9.42 $B | -2.30% |
Net Income $B | 5.96 $B | 3.43 $B | +73.47% |
EPS (Basic) $ | 22.33 $ | 12.25 $ | +82.29% |
EPS (Diluted) $ | 22.18 $ | 12.12 $ | +83.00% |
SG&A Expense $B | 14.62 $B | 14.84 $B | -1.53% |
Answers draw on this SEC filing and the data on this page
In Q2 FY2026, The Cigna Group delivered total revenue of $71.67B (+6.7% YoY) and net income of $1.66B (+8.4% YoY), driven by strong operating growth in Cigna Healthcare and expanding volume in Evernorth Health Services.
Cigna Group (CI) delivered solid Q1 2026 results with revenue up 4.6% YoY to $68.5B and net income surging 25.0% to $1.65B, though operating cash flow declined sharply by 41.1% and cost of revenue grew faster than revenue at 11.8%.
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