CVS’s first-quarter profit beat Wall Street analysts’ expectations, and the company raised its guidance for 2022, as demand for prescriptions and many other health requirements increased, while demand for coronavirus vaccines and diagnostic tests declined. Read more [The CVS Series Raises Expectations For 2021].
The healthcare company currently expects adjusted earnings for 2022, ranging from 8.20 to 8.40 dollars per share, compared to its previous forecasts between 8.10 and 8.30 dollars per share, and the company’s shares jumped by 4.78% to close the trading market for the day at 100.57 dollars.
The health care company revealed its results for the quarter ending March 31, as net income reached $2.31 billion, or $1.74 per share, exceeding its levels last year of $2.22 billion, or $1.68 per share.
Excluding specific expenses, the company’s profits amounted to $2.22 per share, exceeding analyst expectations of $2.15 per share, and as for revenues, it reached $76.83 billion, exceeding the levels of $69.1 billion last year, and also exceeding expectations of $75.39 billion.
In-store sales as a whole grew 10.7% in the first quarter compared to the same period last year, while pharmacy sales increased by 10.1% and retail sales by 13.2%.
CVS says it has attracted new consumers, dispensed many prescriptions and had a season full of typical coughs, colds and flus in the first quarter.
CVS shares are down 7% so far this year, outperforming the S&P 500’s 12% decline, and the company’s stock round closed Tuesday at $95.98, pushing its market value to $126.04 billion.