Business mix
- Pharmacy benefit management, retail pharmacy, long-term care pharmacy, health insurance (Aetna) and pharmaceutical retail, etc.
- The company covers nearly 10,000 stores and tens of millions of members across the United States through brands such as CVS Pharmacy, Caremark and Aetna.
Current key questions
- Revenue growth and profit margin compression coexisted. Q4 operating profit fell by 10.8% year-on-year, and adjusted operating profit fell by 4.8%.
- Although diluted earnings per share increased significantly by 76.9% year-on-year to US$2.30, attention should be paid to the impact of non-recurring items on earnings quality.
- The risk of rising medical loss ratios (MLR) and drug pricing pressure may continue to squeeze insurance business profits.
- Retail pharmacies face online competition and changes in customer traffic, and same-store sales growth in 2025 remains to be verified.
