Shares of Cigna Group CI gained 0.5% in premarket trading Friday, to bounce off the previous session’s 11-month closing low, after the health insurer beat profit and revenue expectations and raised its full-year outlook, even as total customer relationships fell. Net income rose to $1.27 billion, or $4.24 a share, from $1.20 billion, or $3.73 a share, in the year-ago period. Excluding nonrecurring items, adjusted earnings per share of $5.41 beat the FactSet consensus of $5.26. Revenue grew 5.7% to $46.52 billion, above the FactSet consensus of $45.59 billion, as pharmacy revenue increased 4.7% to $32.14 billion to top expectations of $31.28 billion. Total customer relationships declined 6.2% to 166.38 million, hurt by “the non-renewal of a supplemental behavioral coverage contract with New York Life that was not significant to total revenues or adjusted income from operations.” For 2023, The company raised its adjusted EPS guidance to “at least $24.70” from “at least $24.60.” The stock has tumbled 26.5% year to date through Thursday, while the Health Care Select Sector SPDR exchange-traded fund XLV has slipped 2.5% and the S&P 500 SPX has gained 5.8%.
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