CVS Beats Revenue Expectations, Raises Earnings Outlook

CVS Health’s revenue rose to $64.81 billion in the third quarter from $47.49 billion a year earlier.


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CVS Health Corp.


CVS -1.06%

reported a stronger-than-expected adjusted profit in the third quarter and raised its outlook for earnings.

The company on Wednesday posted net income of $1.53 billion, or $1.17 a share, compared with $1.39 billion, or $1.36 a share, a year ago.

Excluding certain items, CVS posted an adjusted profit of $1.84 a share. Analysts polled by FactSet were expecting earnings of $1.25 a share, or $1.77 a share on an adjusted basis.

Shares of the company ticked up 3.2% during premarket trading.

Revenue rose to $64.81 billion from $47.49 billion a year earlier. Analysts had expected $63.01 billion in revenue for the quarter, according to FactSet

CVS said its pharmacy-services business, which offers pharmacy benefit services to employers, health plans and employee groups, recorded revenue of $36.02 billion in the quarter, up about 6% versus a year ago.

Its retail business, filling prescription medications and selling a range of merchandise, saw revenue increase 3% to $21.47 billion. Prescription volumes grew 6.4% from a year earlier.

The company’s health-care benefits business, housing Aetna, reported revenue of $17.18 billion.

CVS also said it now expects to post an adjusted profit between $6.97 and $7.05 a share for the year, compared with its previous outlook of between $6.89 and $7 a share.

Write to Patrick Thomas at Patrick.Thomas@wsj.com

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