The Cigna Group stock research
FY2025 Q1
The Cigna Group (CI) Gross Margin — Quarter Ended Mar 31, 2025
Revenue was nearly flat compared to the prior quarter, while gross profit increased and cost of revenue decreased, leading to an improved gross margin. Compared to the same quarter last year, revenue and gross profit were higher, but cost of revenue grew at a faster rate, resulting in a lower gross margin.
Gross margin takeaway
Quarter ended Mar 31, 2025 · FY2025 Q1
Revenue was nearly flat compared to the prior quarter, while gross profit increased and cost of revenue decreased, leading to an improved gross margin. Compared to the same quarter last year, revenue and gross profit were higher, but cost of revenue grew at a faster rate, resulting in a lower gross margin.
- The strongest observable margin driver is the reduction in cost of revenue relative to revenue, which directly supported gross profit growth and margin expansion versus the prior quarter.
- Compared to the immediately preceding quarter, gross margin improved as cost of revenue decreased while revenue held steady. Compared to the same quarter one year earlier, gross margin weakened as cost of revenue increased proportionally more than revenue.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
26.1%
Gross profit
$17.1B
Revenue
$65.5B
Cost of revenue
$48.4B
Quarter-over-quarter change
+0.8 pts
Year-over-year change
-1.5 pts
Quarterly gross margin trend
A four-quarter view of the revenue and direct-cost bridge behind gross margin.
| Period | Revenue | Gross profit | Cost of revenue | Gross margin |
|---|---|---|---|---|
| Jun 30, 2024 | $60.5B | $16.0B | $44.5B | 26.5% |
| Sep 30, 2024 | $63.7B | $16.1B | $47.6B | 25.3% |
| Dec 31, 2024 | $65.6B | $16.6B | $49.0B | 25.3% |
| Mar 31, 2025 | $65.5B | $17.1B | $48.4B | 26.1% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Dec 31, 2024
+0.8 pts
Year-over-year change
Mar 31, 2024
-1.5 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The strongest observable margin driver is the reduction in cost of revenue relative to revenue, which directly supported gross profit growth and margin expansion versus the prior quarter.
Compared to the immediately preceding quarter, gross margin improved as cost of revenue decreased while revenue held steady. Compared to the same quarter one year earlier, gross margin weakened as cost of revenue increased proportionally more than revenue.
Monitor the trajectory of cost of revenue relative to revenue, as its growth rate has outpaced revenue on a year-over-year basis.