CVS Health reported mixed financial results for the third quarter of 2024, with total revenues increasing by 6.3% year-over-year to $95.428 billion, driven by growth in the Health Care Benefits and Pharmacy & Consumer Wellness segments. However, operating income saw a significant decline of 77.5% to $832 million, primarily due to increased utilization and premium deficiency reserves in the Health Care Benefits segment. Net income attributable to CVS Health also decreased sharply by 96.2% to $87 million. The Health Services segment experienced a revenue decrease of 5.9% due to the loss of a large client and pharmacy client price improvements, partially offset by improved purchasing economics. The Pharmacy & Consumer Wellness segment's revenues increased by 12.3%, with prescription volume growth contributing to this rise. CVS Health's future...Show More

CVS Health reported mixed financial results for the third quarter of 2024, with total revenues increasing by 6.3% year-over-year to $95.428 billion, driven by growth in the Health Care Benefits and Pharmacy & Consumer Wellness segments. However, operating income saw a significant decline of 77.5% to $832 million, primarily due to increased utilization and premium deficiency reserves in the Health Care Benefits segment. Net income attributable to CVS Health also decreased sharply by 96.2% to $87 million. The Health Services segment experienced a revenue decrease of 5.9% due to the loss of a large client and pharmacy client price improvements, partially offset by improved purchasing economics. The Pharmacy & Consumer Wellness segment's revenues increased by 12.3%, with prescription volume growth contributing to this rise. CVS Health's future plans include streamlining operations to improve efficiency and reduce costs, as well as expanding its health services offerings. The company also highlighted the impact of elevated Medicare Advantage utilization and medical cost pressures in its Medicaid business. CVS Health's liquidity remains strong with $6.9 billion in cash and cash equivalents, and the company is actively managing its capital structure through share repurchase programs and strategic debt management.