CVS Health CVS posted stronger-than-expected third quarter earnings Wednesday, powered by gains in its pharmacy and health care benefits division, but stuck to its full-year profit forecasts.
CVS said adjusted earnings for the three months ended in September were pegged at $2.21 per share, a 1.8% increase from the same period last year that topped Wall Street’s $2.13 per share forecast. Group revenues, CVS said, rose 10.6% from last year to $89.8 billion, again topping analysts’ estimates of an $88.25 billion tally.
Pharmacy & Consumer sales, which were formerly reported in the Retail segment, were up 6% to $28.87 billion, “driven increased prescription volume and brand inflation,’ CVS said. Health Care Benefits revenues were up 16.9% to $26.3 billion.
Looking into the final months of the year, CVS repeated that it saw adjusted profits in the region of $8.50 to $8.70 per share and reiterated its forecast for cash flows from its overall business to come in between $12.5 billion to $13.5 billion.
“Our colleagues helped us deliver another quarter of positive results across our business areas,” said CEO Karen Lynch. “Despite a challenging business environment, we continue adapting to the changing needs of our consumers by connecting our care delivery capabilities in communities across the country, broadening access to care and lowering costs.”
CVS Health shares were marked 0.85% higher in pre-market trading immediately following the earnings release to indicate an opening bell price of $69.60 each.
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