CVS beats on earnings and revenue but lowers profit outlook

Business

In this article

A CVS location in New York, US, on Thursday, Feb. 9, 2023.
Stephanie Keith | Bloomberg | Getty Images

CVS Health on Thursday reported first-quarter results that beat earnings and revenue expectations, but the company lowered its full-year profit guidance due to costs related to recent acquisitions.

Shares fell more than 1% in premarket trading Wednesday.

Here’s what CVS reported compared with Wall Street’s expectations, based on a survey of analysts by Refinitiv:

  • Earnings per share: $2.20 adjusted, vs. $2.09 expected
  • Revenue: $85.28 billion, vs. $80.81 billion expected

For the quarter ended March 31, CVS posted profit of $2.14 billion, or $1.65 a share, compared with $2.35 billion, or $1.77 a share, a year earlier. Excluding one-time items, the company reported earnings of $2.20 per share for the period.

CVS reported total revenues of $85.28 billion, an 11% increase over the $76.83 billion reported in the first quarter of 2022.

CVS lowered its 2023 adjusted earnings guidance to a range of $8.50 to $8.70, which is 20 cents lower than its previous projection of $8.70 to $8.90.

The company lowered its guidance due to costs associated with its $8 billion acquisition of Signify Health and its $10.6 billion purchase of Oak Street Health, among other items.

This is a developing story. Please check back for updates.

Articles You May Like

Citadel’s Ken Griffin says Trump’s tariffs could lead to crony capitalism
CFPB expands oversight of digital payments services including Apple Pay, Cash App, PayPal and Zelle
Here’s why Trump’s tax plans could be ‘complicated’ in 2025, policy experts say
Wall Street analysts tout our 2 cybersecurity stocks ahead of quarterly earnings
Making Friends After Retirement, According To Dr. Ruth

Leave a Reply

Your email address will not be published. Required fields are marked *