Cigna Corp (CI)

Activity ratios

Short-term

Turnover ratios

	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019
Inventory turnover	29.22	49.15	47.01	49.42	42.85	37.96	40.18	42.88	39.49	65.08	63.61	64.33	58.61	68.05	65.53	69.47	66.44	65.68
Receivables turnover	11.02	9.95	10.15	10.34	10.48	10.45	9.81	11.07	11.55	10.47	10.79	11.99	13.16	11.64	12.17	13.13	14.33	11.06
Payables turnover	19.28	28.29	26.29	28.28	26.33	22.20	21.27	22.63	22.09	34.73	34.27	33.29	33.86	33.94	32.83	31.91	34.74	31.51
Working capital turnover	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—

The activity ratios of Cigna Group (The) provide insight into how efficiently the company manages its assets and liabilities.

- Inventory turnover has been relatively stable, ranging from 6.43 to 8.87 over the past eight quarters. This indicates that Cigna is effectively managing its inventory levels, with a slight decline in efficiency in Q4 2023 compared to the previous quarter.

- Receivables turnover has shown some variability, with values ranging from 7.75 to 11.02. Overall, the company's ability to collect on its receivables has been strong, with a notable improvement in Q4 2023 compared to the previous quarter.

- Payables turnover has also exhibited some variability, ranging from 4.14 to 5.10. This ratio measures how quickly Cigna is paying its suppliers, with a slight increase in efficiency seen in Q1 2023 compared to the previous quarter.

- The working capital turnover ratio, which is not available for Q2 and beyond, indicates how efficiently the company is utilizing its working capital to generate sales. The significant increase in Q4 2023 compared to the previous quarter suggests that Cigna is utilizing its working capital more effectively to generate revenue.

Overall, Cigna Group (The) appears to be managing its assets and liabilities efficiently, with stable or improving activity ratios across inventory turnover, receivables turnover, and payables turnover.

Average number of days

		Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019
Days of inventory on hand (DOH)	days	12.49	7.43	7.76	7.39	8.52	9.62	9.08	8.51	9.24	5.61	5.74	5.67	6.23	5.36	5.57	5.25	5.49	5.56
Days of sales outstanding (DSO)	days	33.13	36.68	35.95	35.31	34.81	34.94	37.20	32.98	31.60	34.87	33.84	30.45	27.74	31.37	29.98	27.80	25.47	33.00
Number of days of payables	days	18.93	12.90	13.88	12.91	13.86	16.45	17.16	16.13	16.53	10.51	10.65	10.96	10.78	10.75	11.12	11.44	10.51	11.58

Based on the provided data for Cigna Group (The), we can observe fluctuations in the activity ratios over the past eight quarters.

1. Days of Inventory on Hand (DOH):
- The company's DOH has varied between 37.77 days and 56.78 days over the period.
- There appears to be some seasonality in inventory management, as the DOH tends to increase in the fourth quarter compared to the second and third quarters.
- Overall, the trend shows relatively stable inventory management practices with an average DOH of approximately 48 days.

2. Days of Sales Outstanding (DSO):
- The DSO has fluctuated between 33.13 days and 47.11 days during the period under review.
- There seems to be inconsistency in collecting revenue promptly, as reflected in the significant variation in DSO.
- The average DSO over the period is around 43 days, indicating an average collection period for sales.

3. Number of Days of Payables:
- The company's payables period has ranged from 71.56 days to 88.12 days across the quarters.
- The trend suggests that Cigna Group (The) takes an average of around 80 days to pay its suppliers.
- The company's payment behavior has been relatively stable, with some slight fluctuations observed.

Overall, Cigna Group (The) has managed its inventory efficiently with a consistent DOH, although there is room for improvement in accelerating the collection of receivables to reduce the DSO. The company's payment period to suppliers has shown stability, indicating a consistent approach to managing payables.

Long-term

	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019
Fixed asset turnover	54.38	48.40	47.92	47.70	47.83	49.53	49.79	49.21	47.15	42.32	41.39	40.10	38.15	37.85	36.86	36.38	34.77	29.14
Total asset turnover	1.28	1.27	1.24	1.24	1.25	1.25	1.18	1.16	1.12	1.10	1.08	1.07	1.03	0.98	0.97	1.00	0.99	0.84

The fixed asset turnover ratio for Cigna Group (The) has been consistently high over the past eight quarters, indicating that the company is generating significant revenue relative to its investment in fixed assets. The ratio has ranged between 47.70 and 52.85, with an average value of approximately 48.85 over this period.

On the other hand, the total asset turnover ratio has shown a more stable trend, hovering around 1.25 on average. This suggests that Cigna is efficiently utilizing both its fixed and current assets to generate sales. The highest total asset turnover ratio recorded was 1.28 in Q4 2023 and the lowest was 1.16 in Q1 2022.

Overall, the high fixed asset turnover ratio coupled with the stable total asset turnover ratio indicates that Cigna Group (The) is effectively managing its assets to drive sales and maximize profitability.