Analysis of Solvency Ratios
Solvency ratios also known as long-term debt ratios measure a company ability to meet long-term obligations.
Solvency Ratios (Summary)
Cigna Group, solvency ratios
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to equity ratio | A solvency ratio calculated as total debt divided by total shareholders’ equity. | Cigna Group debt to equity ratio improved from 2021 to 2022 and from 2022 to 2023. |
| Debt to equity ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total shareholders’ equity. | Cigna Group debt to equity ratio (including operating lease liability) improved from 2021 to 2022 and from 2022 to 2023. |
| Debt to capital ratio | A solvency ratio calculated as total debt divided by total debt plus shareholders’ equity. | Cigna Group debt to capital ratio improved from 2021 to 2022 and from 2022 to 2023. |
| Debt to capital ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total debt (including operating lease liability) plus shareholders’ equity. | Cigna Group debt to capital ratio (including operating lease liability) improved from 2021 to 2022 and from 2022 to 2023. |
| Debt to assets ratio | A solvency ratio calculated as total debt divided by total assets. | Cigna Group debt to assets ratio improved from 2021 to 2022 and from 2022 to 2023. |
| Debt to assets ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total assets. | Cigna Group debt to assets ratio (including operating lease liability) improved from 2021 to 2022 and from 2022 to 2023. |
| Financial leverage ratio | A solvency ratio calculated as total assets divided by total shareholders’ equity. | Cigna Group financial leverage ratio decreased from 2021 to 2022 but then increased from 2022 to 2023 exceeding 2021 level. |
| Solvency ratio | Description | The company |
|---|---|---|
| Interest coverage ratio | A solvency ratio calculated as EBIT divided by interest payments. | Cigna Group interest coverage ratio improved from 2021 to 2022 but then deteriorated significantly from 2022 to 2023. |
| Fixed charge coverage ratio | A solvency ratio calculated as earnings before fixed charges and tax divided by fixed charges. | Cigna Group fixed charge coverage ratio improved from 2021 to 2022 but then deteriorated significantly from 2022 to 2023. |
Debt to Equity
Cigna Group, debt to equity calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Short-term debt | 2,775) | 2,993) | 2,545) | 3,374) | 5,514) | |
| Long-term debt | 28,155) | 28,100) | 31,125) | 29,545) | 31,893) | |
| Total debt | 30,930) | 31,093) | 33,670) | 32,919) | 37,407) | |
| Shareholders’ equity | 46,223) | 44,872) | 47,112) | 50,321) | 45,338) | |
| Solvency Ratio | ||||||
| Debt to equity1 | 0.67 | 0.69 | 0.71 | 0.65 | 0.83 | |
| Benchmarks | ||||||
| Debt to Equity, Competitors2 | ||||||
| Abbott Laboratories | 0.38 | 0.46 | 0.50 | 0.57 | 0.58 | |
| CVS Health Corp. | 0.81 | 0.74 | 0.75 | 0.93 | 1.07 | |
| Elevance Health Inc. | 0.64 | 0.66 | 0.64 | 0.60 | 0.63 | |
| Intuitive Surgical Inc. | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | |
| Medtronic PLC | 0.47 | 0.46 | 0.51 | 0.49 | 0.51 | |
| UnitedHealth Group Inc. | 0.70 | 0.74 | 0.64 | 0.66 | 0.71 | |
| Debt to Equity, Sector | ||||||
| Health Care Equipment & Services | 0.62 | 0.62 | 0.62 | 0.66 | 0.73 | |
| Debt to Equity, Industry | ||||||
| Health Care | 0.81 | 0.72 | 0.79 | 0.90 | 0.91 | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Debt to equity = Total debt ÷ Shareholders’ equity
= 30,930 ÷ 46,223 = 0.67
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to equity ratio | A solvency ratio calculated as total debt divided by total shareholders’ equity. | Cigna Group debt to equity ratio improved from 2021 to 2022 and from 2022 to 2023. |
Debt to Equity (including Operating Lease Liability)
Cigna Group, debt to equity (including operating lease liability) calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Short-term debt | 2,775) | 2,993) | 2,545) | 3,374) | 5,514) | |
| Long-term debt | 28,155) | 28,100) | 31,125) | 29,545) | 31,893) | |
| Total debt | 30,930) | 31,093) | 33,670) | 32,919) | 37,407) | |
| Current operating lease liabilities (included in Accrued expenses and other liabilities) | 105) | 114) | 159) | 152) | 166) | |
| Operating lease liabilities (included in Other non-current liabilities) | 340) | 346) | 436) | 491) | 465) | |
| Total debt (including operating lease liability) | 31,375) | 31,553) | 34,265) | 33,562) | 38,038) | |
| Shareholders’ equity | 46,223) | 44,872) | 47,112) | 50,321) | 45,338) | |
| Solvency Ratio | ||||||
| Debt to equity (including operating lease liability)1 | 0.68 | 0.70 | 0.73 | 0.67 | 0.84 | |
| Benchmarks | ||||||
| Debt to Equity (including Operating Lease Liability), Competitors2 | ||||||
| Abbott Laboratories | 0.41 | 0.49 | 0.54 | 0.61 | 0.61 | |
| CVS Health Corp. | 1.04 | 1.00 | 1.01 | 1.23 | 1.39 | |
| Elevance Health Inc. | 0.66 | 0.69 | 0.67 | 0.63 | 0.65 | |
| Intuitive Surgical Inc. | 0.01 | 0.01 | 0.01 | 0.01 | 0.01 | |
| Medtronic PLC | 0.49 | 0.48 | 0.53 | 0.51 | 0.51 | |
| UnitedHealth Group Inc. | 0.76 | 0.80 | 0.70 | 0.73 | 0.77 | |
| Debt to Equity (including Operating Lease Liability), Sector | ||||||
| Health Care Equipment & Services | 0.69 | 0.70 | 0.70 | 0.75 | 0.82 | |
| Debt to Equity (including Operating Lease Liability), Industry | ||||||
| Health Care | 0.86 | 0.78 | 0.84 | 0.96 | 0.97 | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Debt to equity (including operating lease liability) = Total debt (including operating lease liability) ÷ Shareholders’ equity
= 31,375 ÷ 46,223 = 0.68
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to equity ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total shareholders’ equity. | Cigna Group debt to equity ratio (including operating lease liability) improved from 2021 to 2022 and from 2022 to 2023. |
Debt to Capital
Cigna Group, debt to capital calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Short-term debt | 2,775) | 2,993) | 2,545) | 3,374) | 5,514) | |
| Long-term debt | 28,155) | 28,100) | 31,125) | 29,545) | 31,893) | |
| Total debt | 30,930) | 31,093) | 33,670) | 32,919) | 37,407) | |
| Shareholders’ equity | 46,223) | 44,872) | 47,112) | 50,321) | 45,338) | |
| Total capital | 77,153) | 75,965) | 80,782) | 83,240) | 82,745) | |
| Solvency Ratio | ||||||
| Debt to capital1 | 0.40 | 0.41 | 0.42 | 0.40 | 0.45 | |
| Benchmarks | ||||||
| Debt to Capital, Competitors2 | ||||||
| Abbott Laboratories | 0.28 | 0.31 | 0.34 | 0.36 | 0.37 | |
| CVS Health Corp. | 0.45 | 0.42 | 0.43 | 0.48 | 0.52 | |
| Elevance Health Inc. | 0.39 | 0.40 | 0.39 | 0.38 | 0.39 | |
| Intuitive Surgical Inc. | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | |
| Medtronic PLC | 0.32 | 0.31 | 0.34 | 0.33 | 0.34 | |
| UnitedHealth Group Inc. | 0.41 | 0.43 | 0.39 | 0.40 | 0.41 | |
| Debt to Capital, Sector | ||||||
| Health Care Equipment & Services | 0.38 | 0.38 | 0.38 | 0.40 | 0.42 | |
| Debt to Capital, Industry | ||||||
| Health Care | 0.45 | 0.42 | 0.44 | 0.47 | 0.48 | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Debt to capital = Total debt ÷ Total capital
= 30,930 ÷ 77,153 = 0.40
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to capital ratio | A solvency ratio calculated as total debt divided by total debt plus shareholders’ equity. | Cigna Group debt to capital ratio improved from 2021 to 2022 and from 2022 to 2023. |
Debt to Capital (including Operating Lease Liability)
Cigna Group, debt to capital (including operating lease liability) calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Short-term debt | 2,775) | 2,993) | 2,545) | 3,374) | 5,514) | |
| Long-term debt | 28,155) | 28,100) | 31,125) | 29,545) | 31,893) | |
| Total debt | 30,930) | 31,093) | 33,670) | 32,919) | 37,407) | |
| Current operating lease liabilities (included in Accrued expenses and other liabilities) | 105) | 114) | 159) | 152) | 166) | |
| Operating lease liabilities (included in Other non-current liabilities) | 340) | 346) | 436) | 491) | 465) | |
| Total debt (including operating lease liability) | 31,375) | 31,553) | 34,265) | 33,562) | 38,038) | |
| Shareholders’ equity | 46,223) | 44,872) | 47,112) | 50,321) | 45,338) | |
| Total capital (including operating lease liability) | 77,598) | 76,425) | 81,377) | 83,883) | 83,376) | |
| Solvency Ratio | ||||||
| Debt to capital (including operating lease liability)1 | 0.40 | 0.41 | 0.42 | 0.40 | 0.46 | |
| Benchmarks | ||||||
| Debt to Capital (including Operating Lease Liability), Competitors2 | ||||||
| Abbott Laboratories | 0.29 | 0.33 | 0.35 | 0.38 | 0.38 | |
| CVS Health Corp. | 0.51 | 0.50 | 0.50 | 0.55 | 0.58 | |
| Elevance Health Inc. | 0.40 | 0.41 | 0.40 | 0.39 | 0.40 | |
| Intuitive Surgical Inc. | 0.01 | 0.01 | 0.01 | 0.01 | 0.01 | |
| Medtronic PLC | 0.33 | 0.32 | 0.35 | 0.34 | 0.34 | |
| UnitedHealth Group Inc. | 0.43 | 0.45 | 0.41 | 0.42 | 0.44 | |
| Debt to Capital (including Operating Lease Liability), Sector | ||||||
| Health Care Equipment & Services | 0.41 | 0.41 | 0.41 | 0.43 | 0.45 | |
| Debt to Capital (including Operating Lease Liability), Industry | ||||||
| Health Care | 0.46 | 0.44 | 0.46 | 0.49 | 0.49 | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Debt to capital (including operating lease liability) = Total debt (including operating lease liability) ÷ Total capital (including operating lease liability)
= 31,375 ÷ 77,598 = 0.40
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to capital ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total debt (including operating lease liability) plus shareholders’ equity. | Cigna Group debt to capital ratio (including operating lease liability) improved from 2021 to 2022 and from 2022 to 2023. |
Debt to Assets
Cigna Group, debt to assets calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Short-term debt | 2,775) | 2,993) | 2,545) | 3,374) | 5,514) | |
| Long-term debt | 28,155) | 28,100) | 31,125) | 29,545) | 31,893) | |
| Total debt | 30,930) | 31,093) | 33,670) | 32,919) | 37,407) | |
| Total assets | 152,761) | 143,932) | 154,889) | 155,451) | 155,774) | |
| Solvency Ratio | ||||||
| Debt to assets1 | 0.20 | 0.22 | 0.22 | 0.21 | 0.24 | |
| Benchmarks | ||||||
| Debt to Assets, Competitors2 | ||||||
| Abbott Laboratories | 0.20 | 0.23 | 0.24 | 0.26 | 0.27 | |
| CVS Health Corp. | 0.25 | 0.23 | 0.24 | 0.28 | 0.31 | |
| Elevance Health Inc. | 0.23 | 0.23 | 0.24 | 0.23 | 0.26 | |
| Intuitive Surgical Inc. | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | |
| Medtronic PLC | 0.27 | 0.27 | 0.28 | 0.27 | 0.28 | |
| UnitedHealth Group Inc. | 0.23 | 0.23 | 0.22 | 0.22 | 0.23 | |
| Debt to Assets, Sector | ||||||
| Health Care Equipment & Services | 0.23 | 0.23 | 0.23 | 0.24 | 0.26 | |
| Debt to Assets, Industry | ||||||
| Health Care | 0.29 | 0.27 | 0.28 | 0.31 | 0.31 | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Debt to assets = Total debt ÷ Total assets
= 30,930 ÷ 152,761 = 0.20
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to assets ratio | A solvency ratio calculated as total debt divided by total assets. | Cigna Group debt to assets ratio improved from 2021 to 2022 and from 2022 to 2023. |
Debt to Assets (including Operating Lease Liability)
Cigna Group, debt to assets (including operating lease liability) calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Short-term debt | 2,775) | 2,993) | 2,545) | 3,374) | 5,514) | |
| Long-term debt | 28,155) | 28,100) | 31,125) | 29,545) | 31,893) | |
| Total debt | 30,930) | 31,093) | 33,670) | 32,919) | 37,407) | |
| Current operating lease liabilities (included in Accrued expenses and other liabilities) | 105) | 114) | 159) | 152) | 166) | |
| Operating lease liabilities (included in Other non-current liabilities) | 340) | 346) | 436) | 491) | 465) | |
| Total debt (including operating lease liability) | 31,375) | 31,553) | 34,265) | 33,562) | 38,038) | |
| Total assets | 152,761) | 143,932) | 154,889) | 155,451) | 155,774) | |
| Solvency Ratio | ||||||
| Debt to assets (including operating lease liability)1 | 0.21 | 0.22 | 0.22 | 0.22 | 0.24 | |
| Benchmarks | ||||||
| Debt to Assets (including Operating Lease Liability), Competitors2 | ||||||
| Abbott Laboratories | 0.22 | 0.24 | 0.26 | 0.27 | 0.28 | |
| CVS Health Corp. | 0.32 | 0.31 | 0.33 | 0.37 | 0.40 | |
| Elevance Health Inc. | 0.24 | 0.24 | 0.25 | 0.24 | 0.27 | |
| Intuitive Surgical Inc. | 0.01 | 0.01 | 0.01 | 0.01 | 0.01 | |
| Medtronic PLC | 0.28 | 0.27 | 0.29 | 0.28 | 0.28 | |
| UnitedHealth Group Inc. | 0.25 | 0.25 | 0.24 | 0.24 | 0.26 | |
| Debt to Assets (including Operating Lease Liability), Sector | ||||||
| Health Care Equipment & Services | 0.25 | 0.26 | 0.26 | 0.28 | 0.30 | |
| Debt to Assets (including Operating Lease Liability), Industry | ||||||
| Health Care | 0.31 | 0.29 | 0.30 | 0.33 | 0.33 | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Debt to assets (including operating lease liability) = Total debt (including operating lease liability) ÷ Total assets
= 31,375 ÷ 152,761 = 0.21
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to assets ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total assets. | Cigna Group debt to assets ratio (including operating lease liability) improved from 2021 to 2022 and from 2022 to 2023. |
Financial Leverage
Cigna Group, financial leverage calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Total assets | 152,761) | 143,932) | 154,889) | 155,451) | 155,774) | |
| Shareholders’ equity | 46,223) | 44,872) | 47,112) | 50,321) | 45,338) | |
| Solvency Ratio | ||||||
| Financial leverage1 | 3.30 | 3.21 | 3.29 | 3.09 | 3.44 | |
| Benchmarks | ||||||
| Financial Leverage, Competitors2 | ||||||
| Abbott Laboratories | 1.90 | 2.03 | 2.10 | 2.21 | 2.18 | |
| CVS Health Corp. | 3.27 | 3.21 | 3.10 | 3.32 | 3.48 | |
| Elevance Health Inc. | 2.77 | 2.83 | 2.70 | 2.61 | 2.44 | |
| Intuitive Surgical Inc. | 1.16 | 1.17 | 1.14 | 1.15 | 1.18 | |
| Medtronic PLC | 1.77 | 1.73 | 1.81 | 1.79 | 1.79 | |
| UnitedHealth Group Inc. | 3.08 | 3.16 | 2.96 | 3.01 | 3.02 | |
| Financial Leverage, Sector | ||||||
| Health Care Equipment & Services | 2.72 | 2.72 | 2.67 | 2.71 | 2.77 | |
| Financial Leverage, Industry | ||||||
| Health Care | 2.79 | 2.67 | 2.77 | 2.94 | 2.92 | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Financial leverage = Total assets ÷ Shareholders’ equity
= 152,761 ÷ 46,223 = 3.30
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Financial leverage ratio | A solvency ratio calculated as total assets divided by total shareholders’ equity. | Cigna Group financial leverage ratio decreased from 2021 to 2022 but then increased from 2022 to 2023 exceeding 2021 level. |
Interest Coverage
Cigna Group, interest coverage calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Shareholders’ net income | 5,164) | 6,668) | 5,365) | 8,458) | 5,104) | |
| Add: Net income attributable to noncontrolling interest | 208) | 78) | 50) | 31) | 16) | |
| Add: Income tax expense | 141) | 1,607) | 1,367) | 2,379) | 1,450) | |
| Add: Interest expense on long-term and short-term debt | 1,400) | 1,300) | 1,300) | 1,400) | 1,600) | |
| Earnings before interest and tax (EBIT) | 6,913) | 9,653) | 8,082) | 12,268) | 8,170) | |
| Solvency Ratio | ||||||
| Interest coverage1 | 4.94 | 7.43 | 6.22 | 8.76 | 5.11 | |
| Benchmarks | ||||||
| Interest Coverage, Competitors2 | ||||||
| Abbott Laboratories | 11.46 | 15.89 | 16.41 | 10.10 | 7.09 | |
| CVS Health Corp. | 5.20 | 3.46 | 5.16 | 4.36 | 3.96 | |
| Elevance Health Inc. | 8.49 | 10.13 | 10.93 | 8.96 | 9.02 | |
| Intuitive Surgical Inc. | — | — | — | — | — | |
| Medtronic PLC | 9.43 | 10.98 | 5.21 | 4.71 | 4.60 | |
| UnitedHealth Group Inc. | 9.97 | 13.59 | 14.44 | 13.47 | 11.55 | |
| Interest Coverage, Sector | ||||||
| Health Care Equipment & Services | 8.03 | 9.31 | 8.96 | 7.89 | 6.47 | |
| Interest Coverage, Industry | ||||||
| Health Care | 7.09 | 12.71 | 12.24 | 7.71 | 8.84 | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Interest coverage = EBIT ÷ Interest expense
= 6,913 ÷ 1,400 = 4.94
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Interest coverage ratio | A solvency ratio calculated as EBIT divided by interest payments. | Cigna Group interest coverage ratio improved from 2021 to 2022 but then deteriorated significantly from 2022 to 2023. |
Fixed Charge Coverage
Cigna Group, fixed charge coverage calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Shareholders’ net income | 5,164) | 6,668) | 5,365) | 8,458) | 5,104) | |
| Add: Net income attributable to noncontrolling interest | 208) | 78) | 50) | 31) | 16) | |
| Add: Income tax expense | 141) | 1,607) | 1,367) | 2,379) | 1,450) | |
| Add: Interest expense on long-term and short-term debt | 1,400) | 1,300) | 1,300) | 1,400) | 1,600) | |
| Earnings before interest and tax (EBIT) | 6,913) | 9,653) | 8,082) | 12,268) | 8,170) | |
| Add: Operating lease cost | 115) | 124) | 170) | 190) | 188) | |
| Earnings before fixed charges and tax | 7,028) | 9,777) | 8,252) | 12,458) | 8,358) | |
| Interest expense on long-term and short-term debt | 1,400) | 1,300) | 1,300) | 1,400) | 1,600) | |
| Operating lease cost | 115) | 124) | 170) | 190) | 188) | |
| Fixed charges | 1,515) | 1,424) | 1,470) | 1,590) | 1,788) | |
| Solvency Ratio | ||||||
| Fixed charge coverage1 | 4.64 | 6.87 | 5.61 | 7.84 | 4.67 | |
| Benchmarks | ||||||
| Fixed Charge Coverage, Competitors2 | ||||||
| Abbott Laboratories | 7.71 | 10.10 | 10.21 | 6.68 | 5.14 | |
| CVS Health Corp. | 3.15 | 2.16 | 3.03 | 2.75 | 2.56 | |
| Elevance Health Inc. | 7.51 | 8.82 | 8.48 | 6.10 | 7.34 | |
| Intuitive Surgical Inc. | 74.09 | 63.52 | 93.66 | 58.48 | 79.65 | |
| Medtronic PLC | 6.90 | 7.79 | 4.31 | 3.98 | 3.97 | |
| UnitedHealth Group Inc. | 7.27 | 8.77 | 8.80 | 8.51 | 7.65 | |
| Fixed Charge Coverage, Sector | ||||||
| Health Care Equipment & Services | 5.67 | 6.11 | 5.87 | 5.31 | 4.61 | |
| Fixed Charge Coverage, Industry | ||||||
| Health Care | 5.52 | 9.02 | 8.67 | 5.70 | 6.60 | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Fixed charge coverage = Earnings before fixed charges and tax ÷ Fixed charges
= 7,028 ÷ 1,515 = 4.64
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Fixed charge coverage ratio | A solvency ratio calculated as earnings before fixed charges and tax divided by fixed charges. | Cigna Group fixed charge coverage ratio improved from 2021 to 2022 but then deteriorated significantly from 2022 to 2023. |