LONDON, UK / ACCESSWIRE / March 09, 2018 / Active-Investors.com has just released a free earnings report on CVS Health Corp. (NYSE: CVS) ("CVS"). If you want access to this report all you need to do is sign up now by clicking the following link www.active-investors.com/registration-sg/?symbol=CVS. The Company reported its fourth quarter fiscal 2017 and full fiscal year 2017 operating and financial results on February 07, 2018. The pharmacy retailer outperformed top- and bottom-line expectations. Register today and get access to over 1000 Free Research Reports by joining our site below:

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Active-Investors.com is focused on giving you timely information and the inside line on companies that matter to you. This morning, CVS Health most recent news is on our radar and our team decided to put out a fantastic report on the company that is now available for free below:

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Earnings Highlights and Summary

For the three months ended December 31, 2017, CVS' net revenues increased 5.3% to $48.39 billion, up from $45.97 billion in Q4 2016. The Company's revenue numbers exceeded analysts' estimates of $47.54 billion.

For the full fiscal year ended December 31, 2017, CVS' net revenues grew 4.1% to $184.77 billion, up from $177.53 billion in FY16.

During Q4 2017, CVS' same store sales increased 0.1% and pharmacy same store sales increased 0.4%. For FY17, the Company's same store sales and pharmacy same store sales both decreased 2.6%. The Company's pharmacy same stores sales were negatively impacted by approximately 340 basis points and 390 basis points due to recent generic introductions in Q4 2017 and FY17, respectively.

For Q4 2017, CVS' net income soared 92.6% to $3.29 billion compared to $1.71 billion in Q4 2016. The Company's GAAP earnings from continuing operations was $3.22 per diluted share in the reported quarter compared to $1.59 per diluted share in the prior year's same quarter. CVS' earnings results in the reported quarter included the income tax benefit of $1.5 billion associated with the Tax Cut and Jobs Act 2017 (TCJA). Among other changes to existing tax laws, the TCJA reduced the corporate income tax rate from 35% to 21%, which reduced the Company's net deferred income tax liabilities. Additionally, the Company's net income included $56 million of bridge financing costs associated with the proposed acquisition of Aetna Inc.

CVS' adjusted diluted earnings per share (EPS) were $1.92 in Q4 2017, up 12% compared to $1.71 in Q4 2016. The Company's EPS beat Wall Street's estimates of $1.89.

For FY17, CVS' net income totaled $6.62 billion, or $6.45 per diluted share, compared to $5.32 billion, or $4.93 per diluted share, in FY16. The Company's FY17 results included an income tax benefit associated with the TCJA of $1.5 billion; bridge financing costs associated with the proposed acquisition of Aetna of $56 million; and losses on settlements of defined benefit pension plans of $187 million. CVS' net income for FY16 included a $643 million loss on early extinguishment of debt.

CVS' adjusted diluted EPS were $5.90 in FY17, up 1% compared to $5.84 in FY16.

Operating Results

During Q4 2017, CVS' Pharmacy Services segment's revenues increased 9.3% to $34.2 billion on a y-o-y basis, primarily driven by growths in pharmacy network, specialty pharmacy volume, and brand inflation.

CVS' pharmacy network claims processed increased 8.2% to 389.7 million on a 30-day equivalent basis during Q4 2017 compared to 360.2 million in Q4 2016. The increase in pharmacy network claims volume was primarily due to an increase in net new business. On a 30-day equivalent basis, mail choice claims processed increased 5.9% to 69.0 million during the reported quarter compared to 65.2 million in the prior year's same quarter. The increase in mail choice claim volume was driven by the continued adoption of CVS' Maintenance Choice® offerings and an increase in specialty pharmacy claims.

For Q4 2017, CVS' Retail/LTC segment's revenues increased 0.3% to $20.9 billion, primarily driven by an increase in same store prescriptions of 2.5% on a 30-day equivalent basis, and brand inflation, partially offset by an increase in the generic dispensing rate and continued reimbursement pressure.

For Q4 2017, CVS' generic dispensing rate increased approximately 80 basis points to 86.9% in the Company's Pharmacy Services segment, and increased approximately 160 basis points to 86.8% in its Retail/LTC segment.

Real Estate Program

During Q4 2017, CVS opened 65, closed 13, and relocated 5 retail locations. During FY17, the Company opened 175, closed 81, and relocated 30 retail stores.

As of December 31, 2017, CVS operated 9,803 retail locations, including pharmacies in Target Corp. stores, in 49 states, the District of Columbia, Puerto Rico, and Brazil.

Guidance

For the full fiscal year 2018, CVS is forecasting an adjusted consolidated operating profit growth in the range of negative 1.5% to up 1.5%. The Company expects to deliver an adjusted consolidated operating profit growth of 0.5% to 4.5% for Q1 2018.

Stock Performance Snapshot

March 08, 2018 - At Thursday's closing bell, CVS Health's stock rose 1.26%, ending the trading session at $68.36.

Volume traded for the day: 8.33 million shares.

After yesterday's close, CVS Health's market cap was at $69.32 billion.

Price to Earnings (P/E) ratio was at 10.56.

The stock has a dividend yield of 2.93%.

The stock is part of the Healthcare sector, categorized under the Health Care Plans industry. This sector was up 0.6% at the end of the session.

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