A CVS pharmacy store appears in the Manhattan borough of New York City, New York.
Shannon Stapleton | Reuters
CVS Health reported higher-than-expected third-quarter revenue and increased its 2020 earnings guidance on Friday of plans to pay the health service company to remake the drug store chain.
Offing everything from insurance to the Covid-19 test, the healthcare company also named a new CEO. Karen Lynch February. Will become the CEO of the company on the 1st. He is currently the Executive Vice President of CVS Health and President of Athena, a health insurance company acquired in CVS 2018.
Larry Merlow, the company’s longtime CEO, will step down, but will serve on CVS’s board of directors.
Shares traded up more than 2% in the East Market.
Here is what the company reported in the quarter ended September 30, compared to what analysts were expecting based on a survey of analysts by Refinitive:
- Adjusted earnings per share: expected 1.66 to 66 1.66 adjustment
- Revenue: .0 67.06 billion, vs. 66.66.6 billion
On an uncontrolled basis, the financial third-quarter net income from the healthcare company and drug store chain was ૨૨ 1.7 billion, or 93 cents per share, up from 3 1.53 billion a year earlier, or શેર 1.17 per share.
Revenue rose 3.5% to 67 67.06 billion from 64 64.81 billion a year earlier. Expected by analysts.6 $ .. even advancing to 66 66 billion.
At the company’s drug stores, sales increased both on the pharmacy and in front of the store as customers filled out more prescriptions, underwent Covid-19 tests, and filled large baskets of over-the-counter items.
Prescriptions in the quarter increased by 6.6% on a 30-day equivalent basis compared to the previous year. Front store revenue grew 2.7% in the quarter compared to the previous year.
CVSA has its full-year guidance for earnings per share ranging from $ 5.60 to 70 5.70 to 16 5.16 to .2 5.29 and its share-guide 2020 adjusted earnings from 7.35 to .4 7.45 $ 7.14 to 27 7.27.
It says its cash flow for the full year will range from 75 175.7575 billion to $ 1.75 billion, up from 11 11 billion to .5 11.5 billion from its previous outlook.
The company warned that there were still some uncertainties due to the Covid-19 epidemic.
CVSA has expanded Covid-19 testing, administered flu shots and prepared for the rollout of the coronavirus vaccine during an epidemic. Its pharmacies have more than 4,000 drive-through test sites and more than a million tests. The company said it plans to build about 1,000 sites for its rapid testing by the end of the year.
In mid-October, CVS and its rival Vag Lugrins announced a deal with the government to provide coronavirus vaccines to the elderly and staff when long-term care facilities become available.
Since March, CVSA has hired about 76,000 full-time, part-time and temporary employees. It has about 300,000 employees.
Last month, he said he planned to add even more workers. He said he would hire 15,000 people, mostly made up of pharmacy technicians, to prepare for the Covid-19 and the expected extra in flu cases this fall and winter.
.
