Stock Analysis on Net
Stock Analysis on Net

Cigna Group (NYSE:CI)

This company has been moved to the archive! The financial data has not been updated since February 27, 2025.

Common-Size Income Statement 

Cigna Group, common-size consolidated income statement

Microsoft Excel
12 months ended: Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Pharmacy revenues 75.31 70.71 71.68 70.37 67.71
Premiums 18.69 22.79 22.25 23.85 26.78
Fees and other revenues 6.01 6.50 6.07 5.77 5.50
Revenues from external customers 100.00% 100.00% 100.00% 100.00% 100.00%
Pharmacy and other service costs -74.15 -68.93 -69.60 -68.14 -65.02
Medical costs and other benefit expenses -15.70 -18.70 -17.96 -19.45 -20.55
Gross profit 10.15% 12.37% 12.44% 12.41% 14.43%
Net investment income 0.40 0.60 0.64 0.90 0.78
Selling, general and administrative expenses -6.03 -7.64 -7.35 -7.55 -8.84
Amortization of acquired intangible assets -0.69 -0.94 -1.05 -1.16 -1.25
Income from operations 3.83% 4.40% 4.69% 4.60% 5.12%
Interest expense on long-term and short-term debt -0.61 -0.72 -0.72 -0.75 -0.88
Other 0.03 -0.02 0.04 0.05 -0.02
Interest expense and other -0.58% -0.74% -0.68% -0.70% -0.90%
Debt extinguishment costs 0.00 0.00 0.00 -0.08 -0.13
Net gain (loss) on sale of businesses 0.01 -0.77 0.93 0.00 2.64
Net investment gains (losses) -1.11 -0.04 -0.28 0.11 0.09
Income before income taxes 2.14% 2.84% 4.66% 3.93% 6.83%
Income taxes -0.61 -0.07 -0.90 -0.79 -1.49
Net income 1.53% 2.77% 3.76% 3.14% 5.33%
Net income attributable to noncontrolling interests -0.14 -0.11 -0.04 -0.03 -0.02
Shareholders’ net income 1.40% 2.66% 3.72% 3.11% 5.31%

Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).

Revenue Composition
Pharmacy revenues as a percentage of revenues from external customers exhibited an overall increasing trend, rising from 67.71% in 2020 to 75.31% in 2024, with a slight dip in 2023. Conversely, premiums showed a consistent decline from 26.78% in 2020 to 18.69% in 2024. Fees and other revenues experienced gradual growth, moving from 5.5% to a peak of 6.5% in 2023 before slightly reducing to 6.01% in 2024.
Cost Structure
Pharmacy and other service costs increased notably, aligning with the rise in pharmacy revenues, worsening from -65.02% in 2020 to -74.15% in 2024. Medical costs and other benefit expenses decreased from -20.55% in 2020 to -15.7% in 2024, indicating improved cost control or changes in service mix within medical expenses.
Profitability Metrics
Gross profit margins declined steadily, falling from 14.43% in 2020 to 10.15% in 2024. Net investment income as a percentage of revenues also reduced over the period, from 0.78% to 0.4%. Selling, general, and administrative expenses lessened from -8.84% to -6.03%, reflecting improved efficiency or cost containment efforts in these areas. Amortization of acquired intangible assets consistently declined, enhancing operating profitability slightly.
Operating Income and Interest Expenses
Income from operations decreased from 5.12% in 2020 to 3.83% in 2024, highlighting pressure on core operational profitability. Interest expense on debt also declined from -0.88% to -0.61%, reducing financial burden marginally despite a drop in operating income.
Other Income and Expenses
Other income components showed minor fluctuations, with net gain (loss) on sale of businesses presenting volatility, including a significant positive contribution in 2020, a reduction in later years, and near neutral impact in 2024. Net investment gains (losses) showed a negative trend after 2021, reaching -1.11% in 2024, negatively affecting overall income before taxes.
Income Before Taxes and Taxation
Income before income taxes declined notably, from 6.83% in 2020 to 2.14% in 2024, indicating reduced profitability. Income taxes as a percentage of revenue fluctuated but generally remained low, with a significant drop in 2023 to -0.07%, followed by a slight increase in 2024.
Net Income and Shareholders’ Earnings
Net income experienced a sharp decline from 5.33% in 2020 to 1.53% in 2024. Net income attributable to noncontrolling interests slightly increased in negative impact, moving from -0.02% to -0.14%. Consequently, shareholders’ net income declined significantly from 5.31% to 1.4%, reflecting the steep reduction in profitability available to equity holders.