CVS Health Corp. reported third quarter earnings that beat expectations. The healthcare company also boosted its full-year profit guidance.
The company’s adjusted earnings for the three months ending in September came in at $1.84 per share, higher than analyst’ estimate of $1.77 per share. The figure reflects growth of +6.35% from the same period last year.
CVS total revenues surged +36.5% year-over-year to $64.8 billion in the quarter, again exceeding analysts' expectation of $63 billion.
On a segment level, Pharmacy Services revenues rose +6.5%, on brand name drug price inflation as well as increased total pharmacy claims volume, partially offset by continued price compression and an increased generic dispensing rate – as indicated by the company. Retail sales increased +2.9%. The healthcare benefits division experienced a boost in sales from $641 million to $17.181 billion, as it included Aetna's operations to its legacy business.
For the full year, CVS has raised and narrowed its earnings guidance range to $6.97-$7.05 per share.