Cigna exceeded second-quarter profit expectations due to strong pharmacy benefit management performance. The company strategically shifted focus to fee-based commercial insurance, shielding itself from high medical costs in government plans. Cigna reported a 17% revenue increase in its Evernorth healthcare services unit, but anticipates continued elevated costs. Shares dropped 6% in response, with analysts deeming the reaction excessive. Cigna’s adjusted profit of $7.20 per share surpassed estimates, maintaining an annual forecast of at least $29.60 per share.

Read more at Yahoo Finance: Cigna’s health services business powers Q2 earnings beat