People walk past a CVS Pharmacy store in the Manhattan borough of New York City.
Shannon Stapleton | Reuters
CVS Health Wednesday raised its earnings outlook for the year, after beating Wall Street expectations for the fiscal second quarter.
The healthcare company said it now expects adjusted earnings per share for the full year to be in the range of $8.40 to $8.60, compared with a previous estimate of between $8. $.20 to $8.40.
Shares were up about 2% in pre-market trading.
Here’s what the company reported to three-month period ending on June 30Compared to what analysts were expecting, based on a Refinitiv survey of analysts:
- Earnings per share: $2.40 adjusted from $2.17 expected
- Revenue: 80.64 billion USD vs. 76.37 billion USD expected
On an unadjusted basis, CVS reported net income of $2.95 billion, or $2.23 per share, higher than $2.78 billion, or $2.10 per share, a year earlier. Revenue of $80.64 billion also marked a year-over-year increase over 72.62 billion USD in the same period in 2021.
The results cover several different aspects of CVS in the healthcare business. It has a large number of pharmacies, owns the insurance company Aetna and pharmacy benefits manager CVS Caremark, and provides patient care through MinuteClinics inside its stores.
Chief Executive Officer Karen Lynch said the company’s strategy of adding more medical services is driving sales and deepening customer relationships.
“Despite the challenging economic environment, our differentiated business model helped drive strong results this quarter, with significant revenue growth across all of our businesses.” us,” she said in a press release.
Shares of CVS closed Tuesday at $95.37. The company’s shares are down about 8% so far this year.
This is an evolving story. Please check back for updates.
