CVS (CVS)) said the fourth quarter of 2024 on Wednesday, beating the expectations of Wall Street on Wednesday and sending its stocks almost 8% in the market before the market.
Annual income reached $ 372.8 billion, while fourth quarter income was $ 97.7 billion compared to Wall Street expectations of $ 96.8 billion. The health benefits of health benefits, which includes its various insurance products, has been slightly down, with current health insurance and the opposite winds, who also had an impact on his peersdragging business income.
Always its retail pharmaceutical activities, at a time when the corporate model is in difficulty, has increased, as well as the health care services segment.
CVS declared its medical loss ratio (MLR), which gives an overview of the amount of expenses of the insurance arm compared to the dollars of premiums it takes, at 92.5%. This is a slight improvement compared to the record he declared in October for the third quarter results, at 95.2%. Compulsory insurers of the affordable care law spend between 80% and 85% of dollars of superior quality, and Wall Street consider the lower end of this scale as the most favorable.
In addition, even with a new administration of the White House in place, the company remains exposed to attempts to brake the role of pharmacy services managers, which CVS boasts of being the largest.
CVS also comes out of a tumultuous year that ended with a new CEO, David Joyner, taking the bar towards the end of the year. In addition to the Winds of Government Insurance Insurance, CVS has also fought an activist investor and weighing the business. The company’s profits continued to lower, by 38% from one year to the next, with $ 8.5 billion for the full year in 2024, compared to $ 13.7 billion the previous year.
The shares fell 40% last year and the company previously retained the 2025 directives. CVS announced its directives for 2025 Wednesday, estimating the profit adjusted per share between $ 5.75 and $ 6 – but it ‘did not provide annual forecasts on income.
“We have continued to see growth in the key areas of our company, including the pharmacy and consumer well-being segment, while we are taking on the challenge of the industry who have had an impact In our benefits segment, “said Joyner in a statement on Wednesday.
Anjalee Khemlani is the main health journalist at Yahoo Finance, covering everything that is pharmaceutical, insurance, care services, digital health, PBM and health and policy of health and policy. This includes GLP-1, of course. Follow Anjalee on social media platforms X, Linkedin and Bluesky @Anjkhem.
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