Profit in the third quarter of fiscal year 2016 for Cigna sank 16.6 percent from the same period last year to a total of $456 million, the payer reported.
Shareholders' net income dropped 16.2 percent from $2.10 in Q3 of last year to $1.76 per share in the same period this year.
In terms of total revenue, the Bloomfield, Conn.-based insurer reported a 5.2 percent increase from the same period in FY 2015 to a total of $9.9 billion. Increased revenue was boosted by its commercial health insurance business but dented by its government operations.
Cigna CEO David Cordani said during a Q3 earnings call the payer is approaching its ACA marketplace operations in a "cautious and slow" manner, reports Forbes. "We are going to expect to see revenue growth and plan for a loss," Mr. Cordani said about Cigna's 2017 ACA operations.
The insurer reported total medical enrollment of 15.2 million policyholders for Q3 ending Sept. 30. The total reflects a 2.2 percent increase from its 14.8 million members in the same period of FY 2015.
Cigna's adjusted income from operations for Q3 fell 15.2 percent from the same period last year. Adjusted income for this year's Q3 was $503 million, or $1.94 per share, compared with $593 million, or $2.28 per share, in FY 2015.
The payer adjusted its full-year outlook to between $7.80 and $8.05 per share.
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