CVS Health reported second-quarter earnings and revenue that exceeded expectations, boosting its adjusted profit outlook. The retail pharmacy chain’s shares jumped over 1% as investors responded positively to the company’s improved performance.
CEO David Joyner attributed the results to the strength of CVS’ retail pharmacy business, which is benefiting from new technology that improves operations and drives efficiency. He also praised the company’s efforts in its insurance unit, Aetna, citing a “multiyear recovery effort” aimed at addressing higher medical costs.
However, the company’s health services segment declined, offsetting some of the gains in the pharmacy and consumer wellness division. CVS is pursuing $2 billion in cost cuts over several years as part of its broader turnaround plan.
The adjusted earnings per share guidance was raised to $6.30-$6.40 for 2025, up from a previous range of $6-$6.20. The company’s GAAP earnings guidance was also reduced without further details provided.
CVS’ insurance unit faces pressure due to higher-than-expected medical costs, but the company is working to address this issue through its recovery efforts. Despite some challenges, CVS remains focused on its retail pharmacy business and its efforts to improve operations and drive efficiency.
Source: https://www.cnbc.com/2025/07/31/cvs-health-cvs-earnings-report-q2-2025.html