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PART II
ITEM 7. Managements Discussion and Analysis of Financial Condition and Results of Operations
Consolidated Results of Operations
Summarized below are our results of operations on a GAAP basis.
For the Years Ended December 31, Increase/(Decrease) Increase/(Decrease)
Financial Summary
(In millions)
2015 2014 2013 2015 vs. 2014 2014 vs. 2013
Premiums $ 29,642 $ 27,214 $ 25,575 $ 2,428 9% $ 1,639 6%
Fees and other revenues 4,488 4,141 3,601 347 8 540 15
Net investment income 1,153 1,166 1,164 (13) (1) 2
Mail order pharmacy revenues 2,536 2,239 1,827 297 13 412 23
Operating revenues 37,819 34,760 32,167 3,059 9 2,593 8
Net realized investment gains 57 154 213 (97) (63) (59) (28)
Total revenues 37,876 34,914 32,380 2,962 8 2,534 8
Global Health Care medical costs 18,354 16,694 15,867 1,660 10 827 5
Other benefit expenses 4,936 4,640 4,998 296 6 (358) (7)
Mail order pharmacy costs 2,134 1,907 1,509 227 12 398 26
Other operating expenses 8,982 8,174 7,595 808 10 579 8
Amortization of other acquired intangible assets,
net 143 195 235 (52) (27) (40) (17)
Benefits and expenses 34,549 31,610 30,204 2,939 9 1,406 5
Income before income taxes 3,327 3,304 2,176 23 1 1,128 52
Income taxes 1,250 1,210 698 40 3 512 73
Net income 2,077 2,094 1,478 (17) (1) 616 42
Less: net income (loss) attributable to
noncontrolling interests (17) (8) 2 (9) (113) (10) N/M
Shareholders’ net income $ 2,094 $ 2,102 $ 1,476 $ (8) –% $ 626 42%
CIGNA CORPORATION - 2015 Form 10-K 39