(Reuters) – Cigna Corp on Thursday raised its annual profit forecast for a second straight quarter, as a slower-than-expected recovery in non-urgent medical procedures helps it rein in costs while demand for its health services products stays strong.
The Bloomfield, Connecticut-based insurer now expects full-year adjusted earnings of at least $22.90 per share, compared with its previous forecast of $22.60 per share.
Cigna’s medical care ratio (MCR), the amount spent on medical claims versus the income from premiums, improved to 80.7% in the second quarter, from 84.4% a year earlier, partly due to lower COVID-related costs.
Cigna now expects 2022 MCR between 81.5% and 82.5%, compared with its prior forecast of 82% to 83.5%.
Quarterly net income attributable to shareholders rose more than 6% to $1.56 billion, or $4.90 per share.
(Reporting by Bhanvi Satija and Mrinalika Roy in Bengaluru; Editing by Vinay Dwivedi)
