WASHINGTON (dpa-AFX) - Health insurer Cigna Corp. (CI) reported Thursday a profit for the fourth quarter that plunged from last year as the year-ago quarter was boosted by significant gains at the runoff reinsurance businesses, mostly due to favorable changes in equity markets. Adjusted earnings per share from continuing operations and quarterly revenues missed analysts' expectations. The company also provided earnings guidance for the full-year 2012, below Street view. The Bloomfield, Connecticut-based Cigna reported net income of $290 million or $1.04 per share for the fourth quarter, sharply lower than $461 million or $1.69 per share in the prior-year quarter. The results for the latest quarter include income of $0.03 per share related to the Run-off GMIB business and losses of $0.11 per share, while the year-ago quarter included income of $0.31 per share related to the Run-off GMIB business, and other income of $0.15 per share. Excluding special items, adjusted income from operations for the quarter edged down to $310 million or $1.11 per share from $313 million or $1.15 per share in the year-ago quarter. On average, 18 analysts polled by Thomson Reuters expected the company to report earnings of $1.19 per share for the fourth quarter. Analysts' estimates typically exclude special items. Consolidated revenues for the quarter increased to $5.46 billion from $5.43 billion in the same quarter last year, but missed eight Wall Street analysts' consensus estimate of $5.51 billion by a whisker. For the fourth quarter, premiums and fees increased to $4.82 billion from $4.73 billion a year ago, and mail order pharmacy revenues rose to $391 million from $367 million a year ago. Net investment income totaled $286 million, up from $276 million last year. Segment wise, health care premiums and fees edged down to $3.32 billion from $3.37 billion last year, with aggregate medical membership growing to 11.48 million from 11.44 million last year. In the disability and life segment, premiums and fees in the fourth quarter increased 4 percent to $677 million from the prior-year quarter, and international premiums and fees grew to $790 million from the year-ago quarter's $625 million. For fiscal 2011, Cigna reported net income of $1.33 billion or $4.84 per share, lower than $1.35 billion or $4.89 per share last year. Excluding special items, adjusted income from operations increased to $1.43 billion or $5.21 per share from prior year's $1.28 billion or $4.64 per share. Analysts expected the company to earn $5.29 per share for fiscal 2011. Total revenues for the full year grew to $22.0 billion from $21.25 billion posted in fiscal 2010. Street was looking for full-year 2011 revenues of 21.87 billion. Looking ahead to fiscal 2012, Cigna forecasts consolidated adjusted income from operations in a range of $5.00 to $5.40 per share. Street analysts are currently looking for full-year 2012 earnings of $5.67 per share. The company noted that the outlook reflects strong organic growth, an expected increase in medical services utilization, and contributions from the acquisition of HealthSpring, Inc. that was completed in January 2012. CI closed Wednesday's regular trading session at $45.68, up $0.68 on a volume of 5.78 million shares.
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