Class attorneys for alleged victims of Mallinckrodt PLC's Acthar Gel product asked a Delaware bankruptcy judge to hold a hearing on Skadden's role in the drug company's Chapter 11 in Delaware, pointing to allegedly undisclosed, potentially disqualifying conduct and conflicts of interest.
Dive Brief:
Cigna s net income for the fourth quarter of 2020 was $4.1 billion, a huge increase from the $977 million in the fourth quarter of 2019, partly because of the $6.2 billion sale of its life insurance business, which was completed on Dec. 31.
The payer s medical cost ratio in the fourth quarter was 85.8%, up from 82.3% the prior year because of COVID-19 treatment and testing costs and above Wall Street expectations. In a call with investors Thursday morning, CFO Brian Evanko said deferred care increased in the latter part of the quarter but was outweighed by COVID-19 costs.
The payer beat analyst expectations for revenue of $41.7 billion but missed on earnings. Shares were down slightly in morning trading.
Cigna Reports Fourth Quarter and Full Year 2020 Results, Expects Continued Revenue and Earnings Growth in 2021
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Total revenues for 2020 were $160.4 billion, and adjusted revenues
1 for 2020 were $160.1 billion
Shareholders net income for 2020 was $8.5 billion, or $22.96 per share
Adjusted income from operations
Adjusted revenues
Adjusted income from operations
2,3 is projected to be at least $6.95 billion in 2021, or at least $20.00 per share
3
Global health services company Cigna Corporation (NYSE: CI) today reported strong 2020 results driven by focused execution through the ongoing COVID-19 pandemic. I m extremely proud of the ways in which our 70,000-plus Cigna employees delivered for our customers, our clients, our providers, our partners, and our shareholders amid the ongoing COVID-19 pandemic, said David M. Cordani, president and chief executive officer. Our fourth quarter results were in line with expectations, as we continue
Last-minute COVID costs cut into Cigna s Q4 share price
AP
Cigna Corp. s revenue and profits remained strong through the fourth quarter, although an increase in costs related to the COVID-19 pandemic and the return of the health insurance tax took a significant hit to the payer s expected earnings per share.
Cigna reported $4.1 billion in profits for the fourth quarter, up 76% from the $977 million the company reported during the same time the year prior. The Bloomfield, Conn.-based payer generated $41.7 billion in revenue for the quarter, up 9% from the $38.2 billion reported during the fourth quarter of 2019.
In a research note, Cantor Fitzgerald analysts Steven Halper and Kyle Mikson wrote they were surprised that coronavirus testing and treatment took such a large chunk out of the insurer s share s bottom line, with a stock price of $3.51 coming in below Wall Street expectations.
Operator
Good morning. Ladies and gentlemen, thank you for standing by for Cigna s Fourth Quarter 2020 Results Review. [Operator Instructions]. We will conduct a question-and-answer session later during the conference and review procedures on how to enter the queue to ask questions at that time. [Operator Instructions]. As a reminder, ladies and gentlemen, this conference, including the Q&A session, is being recorded. We ll begin by turning the conference over to Ms. Alexis Jones. Please go ahead, Ms. Jones.
Alexis Jones
Lead Principal, Investor Relations
Good morning, everyone, and thank you for joining today s call. I m Alexis Jones, Lead Principal for Investor Relations. With me on the line this morning are David Cordani, our President and Chief Executive Officer and Brian Evanko, Cigna s Chief Financial Officer.