CVS Caremark Corp. said Tuesday that its third-quarter earnings climbed 16 percent. The drugstore operator and pharmacy benefits manager posted revenue increases in both businesses, benefiting from new customers won from rivals, and raised its full-year earnings outlook.
The Woonsocket, R.I., company said it earned $1.01 billion, or 79 cents per share, in the three months that ended Sept. 30. That compares with earnings of $868 million, or 65 cents per share, in last year's quarter. Adjusted earnings were 85 cents per share, 2 cents better than analysts expected. That excluded $121 million for the gradual writedown of acquisition-related assets.
Revenue jumped 13 percent to $30.2 billion, above the $30.09 billion analysts expected.
CVS said revenue from pharmacy services climbed 22 percent to $18.1 billion, mainly because of new client starts, growth of its Medicare Part D prescription program and higher medication prices. The segment processed about 255 million prescription claims in the quarter, up 11 percent.
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