Cigna reports more AI, more health customers and more profit in strong Q2

The Cigna Group reported better-than-expected second-quarter results, fueled by strong performance in its Evernorth health services business and Cigna Healthcare insurance operations.

President and CEO Brian C. Evanko said that even better days are ahead. Cigna’s investments in artificial intelligence and personalized healthcare are positioning the company for long-term growth, he told Wall Street analysts during a conference call Thursday.

“We are leveraging technology and AI to drive better health outcomes, simplifying personalized customer experiences, and lower costs, and then execute that at scale,” he explained.

Conversations with employers, healthcare providers and customers have consistently highlighted two priorities: affordability as healthcare costs continue to rise, and demand for more personalized, consumer-friendly healthcare experiences, Evanko stressed.

Unlike most of their competitors, Cigna saw a 2% uptick in medical customers by the end of Q2. However, total “customer relationships,” which include dental and pharmacy, declined 3% from the end of 2025 to 182.8 million.

“The current environment is certainly dynamic,” Evanko said. “I see the landscape as ripe with opportunity to innovate, drive change, and forge a new path in healthcare.”

Demand for GLP-1s abates

Evernorth Health Services, Cigna’s pharmacy, care and health services business, posted results slightly ahead of expectations, with revenue increasing 6% from a year earlier.

Executives said adoption of specialty generic drugs and biosimilars accelerated during the quarter, helping lower costs for employers and patients while supporting earnings growth.

“We’re still at the starting point of a multiyear wave with respect to more biosimilars, especially generics, coming to market,” Evanko said.

Evernorth now provides access to more than 330 limited-distribution specialty medications, supported by clinical care teams and personalized patient engagement programs.

Demand for specialty medications continues to expand as more patients require treatment for complex medical conditions, executives said.

Cigna is seeing a steady decline in the number of employer plans willing to cover GLP-1 drugs for weight loss, Evanko said. That trend both helps on the health insurance side and hurts Evernorth pharmacy sales.

“We continue to offer a variety of financing solutions for employers that range from covering the cost of the GLP-1 drugs to covering a portion of the cost, to offering it on more of a sponsored or voluntary basis,” Evanko said. “So this space will certainly continue to evolve in the future.”

Cigna itself created a stir in June when it announced that it will stop covering GLP-1 weight-loss drugs, including Novo Nordisk’s Wegovy and Eli Lilly’s Zepbound, in its ​employee health plan. That decision took effect July 1.

Evernorth’s pharmacy benefit services business generated $609 million in adjusted pretax earnings, reflecting the financial impact of previously announced client contract renewals and investments in the company’s new rebate-free pharmacy benefit model, known as “Signature.”

The company is seeing strong early interest from health plans and employers as it prepares for a broader commercial rollout of Signature in 2028, Evanko said.

AI central to strategy

Evanko repeatedly emphasized artificial intelligence as a key component of Cigna’s long-term strategy.

AI is being integrated with technology and clinical programs to deliver more personalized healthcare experiences, improve actionable insights and help consumers better navigate the healthcare system.

In one example, Evernorth has launched a new AI-powered ​specialty pharmacy program last month to reduce the time ‌it takes to process prescriptions and improve customer service.

The program, called Pharmacy Forward, is supported by a $100 million ​investment through 2028, Cigna said.

AI-driven innovation comes as healthcare organizations face rising demand for complex care, Evanko explained, increasing specialty drug costs and growing consumer expectations for digital experiences comparable to those available in other industries.

“The results speak for themselves,” Evanko said. “Customers who engage AI programs reduce medical costs by approximately $2,000 per year on average. Early engagement has already yielded a 42% reduction in avoidable inpatient stays amongst those customers.”

Quarterly Highlights

• The Cigna Healthcare medical cost ratio was 84.5% for second quarter, compared to 83.2% for prior-year quarter, primarily reflecting “higher prior year risk adjustment benefits within our Individual and Family Plans.”
• Second-quarter adjusted revenues at Cigna Healthcare increased 9% compared to the second quarter of 2025, primarily due to premium rate increases.
• Total pharmacy customers at the end of Q2 decreased 4% from Dec. 31 to 118.2 million, reflecting expected client transitions and lower membership from health plan clients.

By The Numbers

• Total Revenue: $71.7 billion ($67.2 billion in Q2 2025)
• Net Income: $1.66 billion ($1.53 billion in Q2 2025)
• Earnings Per Share: Adjusted after-tax income of $7.78 ($7.20 in Q2 2025)
• Share Repurchases: $250 million in Q2 2026
• Dividend Declared: $1.56 per share in Q2 2026
• Stock Price Movement: Shares dropped 2% to $290.20 Thursday afternoon.

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