CVS Well being beat second-quarter expectations, however the healthcare big’s revenue slipped as pricing stress harm the pharmacy enterprise and better medical prices hit the medical health insurance facet.
The corporate additionally booked a pre-tax restructuring payment of $496 million within the quarter and reaffirmed its outlook for the yr, which it lower in Might.
The pharmacy chain, pharmacy advantages supervisor and insurer stated Wednesday that it reported adjusted earnings of $2.21 per share within the quarter ended June 30. Whole income grew 10% to $88.92 billion, however web revenue fell 37% to $1.9 billion.
Analysts had anticipated, on common, earnings of $2.12 per share on $86.41 billion in income, based on FactSet.
CVS Well being Corp. of Woonsocket, Rhode Island, operates one of many nation’s largest pharmacy chains with practically 10,000 retail places. It operates prescription drug plans for giant purchasers similar to insurance coverage firms and employers by a big pharmacy profit administration firm.
It additionally gives medical health insurance to greater than 25 million individuals by its Aetna subsidiary.
The corporate stated it nonetheless expects adjusted earnings to be between $8.50 and $8.70 a share this yr.
Analysts count on earnings of $8.58 per share.
Shares of the corporate had been up about 2% in pre-market buying and selling.
