CVS Profit Rises, Helped by Pharmacy Strength
10 February 2017 - 12:28AM
Dow Jones News
By Imani Moise
CVS Health Corp. reported better-than-expected earnings in its
fourth quarter, helped by growth in its pharmacy services
segment.
Shares rose 1.9% to $78.50 during premarket trading
Thursday.
The pharmacy operator also forecast adjusted first-quarter
earnings of $1.07 to $1.13 a share, in line with analysts'
expectations of $1.11 a share, according to Thomson Reuters.
Sales in the pharmacy services segment increased 18% to $31.3
billion, driven by a 24% jump in pharmacy network claims. Sales in
CVS's retail segment, meanwhile, rose 4.7% to $20.8 billion.
Reduced traffic caused same-store sales to decline 0.7% compared
with a year earlier, while pharmacy same-store sales rose 0.2%,
partially offset by recent generic drug introductions hurting
sales.
Over all CVS reported a profit of $1.71 billion, or $1.59 a
share, up from $1.5 billion, or $1.34, a year earlier. Excluding
items such as acquisition-related costs, earnings rose to $1.71 a
share from $1.53. Revenue jumped 12% to $45.97 billion.
Analysts polled by Thomson Reuters had forecast earnings of
$1.67 on $46.5 billion in revenue.
Write to Imani Moise at imani.moise@wsj.com
(END) Dow Jones Newswires
February 09, 2017 08:13 ET (13:13 GMT)
Copyright (c) 2017 Dow Jones & Company, Inc.
CVS Health (NYSE:CVS)
Historical Stock Chart
From Apr 2024 to May 2024
CVS Health (NYSE:CVS)
Historical Stock Chart
From May 2023 to May 2024