CVS Reports Strong Q4 and Full-Year Earnings, Beating Expectations
CVS Health Corporation (CVS) announced its financial results for the fourth quarter and full year 2024 on Wednesday, surpassing Wall Street estimates.
Key Financial Highlights:
* Full-year revenue: $372.8 billion
* Fourth-quarter revenue: $97.7 billion (vs. $96.8 billion estimated)
* Earnings per share: $8.5 billion (down 38% YoY)
Business Performance:
* Retail pharmaceutical business showed growth.
* Healthcare services segment also experienced an increase.
* Healthcare benefits segment faced headwinds due to Medicare and Medicaid issues.
Other Highlights:
* Medical loss ratio (MLR) for the insurance arm improved slightly to 92.5%.
* The company remains exposed to potential government regulation of pharmacy benefits managers.
* CVS appointed a new CEO, David Joyner, in late 2024.
2025 Guidance:
* Adjusted earnings per share forecast: $5.75 - $6
* No annual revenue guidance provided
"We have continued to see growth in key areas of our business, while addressing the challenges that have impacted our Health Care Benefits segment," CEO David Joyner stated.