The Cigna Group Reports Strong Third Quarter 2026 Results, Raises 2026 Outlook
Cigna Group (CI) filed an SEC Form 8-K — Results of Operations and Financial Condition. Exhibit 99.1 Press Release INVESTOR RELATIONS CONTACT: Ralph Giacobbe 860-787-7968 Ralph.Giacobbe@TheCignaGroup.com MEDIA CONTACT: Justine Sessions 860-810-6523 Justine.Sessions@Evernorth.com The Cigna Group Reports Strong Third Quarter 2026 Results, Raises 2026 Outlook • Total r
How this was made
The 30-second read
Why it matters
The earnings beat and raised outlook provide a fresh catalyst for the stock, likely prompting short‑term buying and longer‑term positioning.
Market read
Cigna's earnings and guidance lift are the primary market‑moving element; sector peers may benefit from the positive sentiment.
What to watch
Potential headwinds from pharmacy benefit cost pressures and regulatory changes could temper upside.
The Cigna Group Reports Strong Third Quarter 2026 Results, Raises 2026 Outlook
Total revenues increased 6% to $73.7 billion and adjusted income from operations per share increased to $7.98, while GAAP shareholders’ net income declined from the absence of an after-tax gain on sale recognized in third quarter 2025. Cigna Healthcare expanded revenue and pre-tax adjusted income from operations, offsetting a decline in Pharmacy Benefit Services pre-tax adjusted income from operations.
Key metrics
shortened, hover for the filing’s print| Metric | Value | q/q | y/y |
|---|---|---|---|
| Total revenues, three months ended September 30, 2026GAAP | $73.68B | – | 6 % |
| Pharmacy revenues, three months ended September 30, 2026GAAP | $58.98B | – | – |
| Premiums, three months ended September 30, 2026GAAP | $9.88B | – | – |
| Fees and other revenues, three months ended September 30, 2026GAAP | $4.53B | – | – |
| Net investment income, three months ended September 30, 2026GAAP | $287M | – | – |
| Net investment results from certain equity method investments, three months ended September 30, 2026other | $110M | – | – |
| Adjusted revenues, three months ended September 30, 2026non-GAAP | $73.79B | – | – |
| Shareholders’ net income, three months ended September 30, 2026GAAP | $1.44B | – | – |
| Adjusted income from operations, three months ended September 30, 2026non-GAAP | $2.10B | – | stable |
| Shareholders’ net income per diluted share, three months ended September 30, 2026GAAP | $ 5.47 | – | – |
| Adjusted income from operations per diluted share, three months ended September 30, 2026non-GAAP | $ 7.98 | – | – |
| SG&A expense ratio, third quarter 2026GAAP | 4.9% | – | – |
| Adjusted SG&A expense ratio, third quarter 2026non-GAAP | 4.7% | – | – |
| Enterprise selling, general and administrative expenses, third quarter 2026GAAP | $3.61B | – | – |
| Enterprise selling, general and administrative expenses excluding special items, third quarter 2026non-GAAP | $3.44B | – | – |
| Special items excluded from adjusted SG&A expense ratio, third quarter 2026non-GAAP | $169M | – | – |
| Total revenues, nine months ended September 30, 2026GAAP | $213.8B | – | – |
| Pharmacy revenues, nine months ended September 30, 2026GAAP | $170.2B | – | – |
| Premiums, nine months ended September 30, 2026GAAP | $29.56B | – | – |
| Fees and other revenues, nine months ended September 30, 2026GAAP | $13.34B | – | – |
| Net investment income, nine months ended September 30, 2026GAAP | $761M | – | – |
| Net investment results from certain equity method investments, nine months ended September 30, 2026other | $23M | – | – |
| Adjusted revenues, nine months ended September 30, 2026non-GAAP | $213.9B | – | – |
| Shareholders’ net income, nine months ended September 30, 2026GAAP | $4.76B | – | – |
| Adjusted income from operations, nine months ended September 30, 2026non-GAAP | $6.22B | – | – |
| Shareholders’ net income per diluted share, nine months ended September 30, 2026GAAP | $ 18.02 | – | – |
| Adjusted income from operations per diluted share, nine months ended September 30, 2026non-GAAP | $ 23.55 | – | – |
| Weighted average shares, three months ended September 30, 2026other | 263.8M | – | – |
| Weighted average shares, nine months ended September 30, 2026other | 263.9M | – | – |
| Total pharmacy customers, September 30, 2026other | 117.7M | – | – |
| U.S. Healthcare customers, September 30, 2026other | 16.70M | – | – |
| International Health customers, September 30, 2026other | 1.75M | – | – |
| Total medical customers, September 30, 2026other | 18.45M | – | – |
| Behavioral Care customers, September 30, 2026other | 23.01M | – | – |
| Dental customers, September 30, 2026other | 18.4M | – | – |
| Total customer relationships, September 30, 2026other | 177.6M | – | – |
| Cigna Healthcare medical care ratio, third quarter 2026other | 85.0% | – | – |
| Cigna Healthcare net medical costs payable, September 30, 2026other | $4.86B | – | – |
| Gross medical costs payable, September 30, 2026other | $4.99B | – | – |
| Favorable prior year reserve development on a gross pre-tax basis, nine months ended September 30, 2026other | $356M | – | – |
| Shareholders’ equity, September 30, 2026GAAP | $43.38B | – | – |
| Shareholders’ equity per share, September 30, 2026GAAP | $ 164.70 | – | – |
Segments
| Segment | Revenue | q/q | y/y |
|---|---|---|---|
| Evernorth Health ServicesGrowth reflected Pharmacy Benefit Services adjusted-revenue growth primarily due to drug mix, while Specialty and Care Services reflected strong specialty distribution revenue growth, partially offset by lower specialty pharmacy revenue from higher biosimilar and specialty generic adoption. | $ 63,774 million adjusted revenues | – | 6 % |
| Pharmacy Benefit ServicesAdjusted-revenue growth was primarily due to drug mix. Pre-tax adjusted income from operations decreased 22%, primarily reflecting large client contract renewals and strategic investments. | $ 37,276 million adjusted revenues | – | 9 % |
| Specialty and Care ServicesStrong specialty distribution revenue growth was partly offset by lower specialty pharmacy revenue, reflecting higher biosimilar and specialty generic adoption. | $ 26,498 million adjusted revenues | – | 1 % |
| Cigna HealthcareGrowth primarily reflected premium rate increases to cover expected increases in medical costs. | $ 11,708 million adjusted revenues | – | 9% |
full year ending December 31, 2026 outlook
- NoteAdjusted income from operations, per share: at least $30.60
- Note+ $0.15 change from prior projection
- NoteEvernorth adjusted income from operations, pre-tax: at least $6,900 million
- NoteCigna Healthcare adjusted income from operations, pre-tax: at least $4,600 million
- Note+ $50 million change from prior projection
- NoteCigna Healthcare Medical Care Ratio: 84.2% +/- 25 bps
- NoteCigna Healthcare Medical Care Ratio: Narrowed by 50 bps
Capital returns
- Year to date through November 4, 2026, the Company repurchased 1.8 million shares of common stock for approximately $500 million.
- The outlook includes the impact of expected future share repurchases and anticipated 2026 dividends.
What drove it
- Total revenues increased 6% relative to third quarter 2025, driven by growth in both Evernorth Health Services and Cigna Healthcare.
- Cigna Healthcare pre-tax adjusted income from operations increased 15%, primarily due to higher net investment income and improved operating efficiency.
- Specialty and Care Services pre-tax adjusted income from operations increased 15%, primarily reflecting strong organic growth in specialty businesses, including higher biosimilar and specialty generic adoption.
- Total medical customers increased 2% from December 31, 2025 to 18.5 million, reflecting growth in Middle and Select markets, partially offset by lower membership in National Accounts.
Concerns
- Pharmacy Benefit Services pre-tax adjusted income from operations decreased 22%, primarily reflecting large client contract renewals and strategic investments.
- Total customer relationships at September 30, 2026 decreased 6% from December 31, 2025 to 177.6 million, due to lower pharmacy and behavioral customers.
- Total behavioral customers decreased 19% from December 31, 2025 to 23 million due to the termination of a government contract, with minimal impact to revenues and adjusted income from operations.
- The Cigna Healthcare MCR was 85.0% for third quarter 2026, compared to 84.8% for third quarter 2025, primarily due to U.S. Employer business mix.
- The Company announced its planned exit from the Individual and Family Plans medical business as of January 1, 2027.
What to watch
- Delivery of at least $30.60 of full-year 2026 adjusted income from operations per share.
- Evernorth adjusted income from operations, pre-tax outlook of at least $6,900 million.
- Cigna Healthcare adjusted income from operations, pre-tax outlook of at least $4,600 million and Medical Care Ratio outlook of 84.2% +/- 25 bps.
- Execution of the “Accelerate to One” multi-year $3B modernization and productivity initiative.
- Pharmacy Benefit Services contract renewals, strategic investments, and customer transitions.
Balance sheet and cash flow
- The debt-to-capitalization ratio was 41.8% at September 30, 2026 compared to 44.9% at September 30, 2025 and 43.0% at December 31, 2025.
- Common shares outstanding were 263,403 thousand at September 30, 2026, compared with 267,072 thousand at September 30, 2025 and 264,154 thousand at June 30, 2026.
- Shareholders’ equity at September 30, 2026 was $ 43,383 million, compared with $ 41,805 million at September 30, 2025.
- Shareholders’ equity per share at September 30, 2026 was $ 164.70, compared with $ 156.53 at September 30, 2025.
Analysis
The Cigna Group reported third-quarter total revenues of $73,683 million, compared with $69,748 million in third quarter 2025, and adjusted revenues of $73,793 million, compared with $69,570 million. Revenue growth was supported by both operating segments. Evernorth Health Services adjusted revenues were $63,774 million, while Cigna Healthcare adjusted revenues were $11,708 million. Cigna Healthcare growth primarily reflected premium rate increases to cover expected increases in medical costs.
GAAP shareholders’ net income was $1,442 million, or $5.47 per share, compared with $1,868 million, or $6.98 per share. The release attributes the decline primarily to the absence of an after-tax gain on sale recognized in third quarter 2025. Underlying profitability was steadier: adjusted income from operations was $2,104 million, compared with $2,096 million, and adjusted income from operations per share was $7.98, compared with $7.83.
Segment mix was uneven. Evernorth pre-tax adjusted income from operations was $1,829 million, compared with $1,903 million, as Pharmacy Benefit Services declined 22% to $765 million, primarily reflecting large client contract renewals and strategic investments. Specialty and Care Services offset part of this pressure, with pre-tax adjusted income from operations of $1,064 million, up 15%, on strong organic growth in specialty businesses. Cigna Healthcare pre-tax adjusted income from operations rose 15% to $1,193 million, attributed to higher net investment income and improved operating efficiency.
Membership trends warrant attention. Total customer relationships were 177,562 thousand at September 30, 2026, versus 182,765 thousand at December 31, 2025. Pharmacy customers declined 5% from December 31, 2025 amid expected client transitions and lower health-plan-client membership, and behavioral customers declined 19% following termination of a government contract. Medical customers increased 2% from December 31, 2025 to 18.5 million. The Cigna Healthcare MCR was 85.0%, compared with 84.8% in third quarter 2025.
Capital deployment included repurchases of 1.8 million common shares for approximately $500 million through November 4, 2026. The debt-to-capitalization ratio was 41.8% at September 30, 2026, compared with 44.9% one year earlier. Management raised full-year 2026 adjusted income from operations per-share outlook to at least $30.60, a +$0.15 change from the prior projection, and raised Cigna Healthcare pre-tax adjusted income from operations outlook by +$50 million to at least $4,600 million. The company also narrowed its Cigna Healthcare Medical Care Ratio outlook by 50 bps to 84.2% +/- 25 bps.
Management, verbatim
Our vision for The Cigna Group’s next chapter of profitable growth is grounded in delivering greater value and personalized experiences for our customers, with three priorities : driving core growth, leveraging our distinct capabilities, and executing with discipline.
Brian Evanko, President and Chief Executive Officer of The Cigna Group
As we put our strategy in action, our strong third quarter results demonstrate how we are building on this momentum by making health care more affordable and personalized, while advancing Accelerate to One to drive productivity, reduce costs, and support sustained long-term earnings growth.
Brian Evanko, President and Chief Executive Officer of The Cigna Group
Not in the filing
stated, not guessed- Operating income on a GAAP basis was not reported.
- Gross profit and gross margin were not reported.
- Operating cash flow was not reported.
- Free cash flow was not reported.
- Cash and cash equivalents were not reported.
- Total debt was not reported.
- Dividend amount was not reported.
- A GAAP tax rate was not reported.
- Prior outlook document was not provided; therefore, no actual-versus-prior-guidance comparison is included.
Written by an AI language model from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was checked against the filing text, and a metric whose value, prior period and change do not add up is dropped from the metrics. The model can still misread a table, in the metrics or in the text, so check a number in the filing before you rely on it. Consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.
Background
Cigna Group (NYSE: CI) reported Q3 2026 results, showing 6% revenue growth and a modest EPS increase, while announcing a multi‑year $3B modernization initiative and a share repurchase of $500M.
Ticker impact
Cigna Group raised its 2026 adjusted EPS outlook to at least $30.60 per share, citing strong Q3 results and a $3B modernization plan.
likely upward pressure as investors price in the higher EPS outlook
Guidance lift of $30.60 EPS target signals sustained growth; the $3B initiative and share repurchase indicate confidence, prompting buying interest.
Market effects
Health insurance and benefits sector may see uplift as Cigna's strong performance sets a positive tone.
U.S. market participants may favor large health insurers in the near term.
Limited, primarily U.S. equity market focus.
Counterpoint
If the $3B spend does not translate into margin improvement, the guidance raise could be premature.
Key entities
- ExecutiveBrian Evanko
President and CEO of The Cigna Group, quoted on the results and outlook.
