Cvs Health Corporation · NYSE:CVS
Cvs Health — Q3 2023 Earnings Presentation
12 slides from Cvs Health's earnings presentation, Nov 1, 2023
Slide 1: Third quarter 2023 Earnings conference call
Third quarter 2023 Earnings conference call Karen S. Lynch Thomas F. Cowhey President and Interim Chief Chief Executive Officer Financial Officer November 1, 2023
Slide 2: Cautionary statement concerning forward-looking statements
This presentation includes forward-looking statements. The Private Securities Litigation Reform Act of 1995 provides a safe harbor for forward- looking statements made by or on behalf of CVS Health Corporation (“CVS Health”). By their nature, all forward-looking statements are not guarantees of futu
Slide 3: Financial highlights
Financial highlights Delivered strong revenue growth of 10.6% and adjusted EPS of $2.21 in the third quarter of 2023. Reaffirmed guidance for adjusted EPS of $8.50 to $8.70 and expect to be at upper-end of operating cash flow guidance range of $12.5 to 13.5 billion. DELIVERED STRONG GENERATING FULL-
Slide 4: Our vision
Become the leading health solutions company for consumers Our vision Drive improved health Deliver a superior outcomes, lower costs, health care experience higher levels of for consumers engagement and broader access to high quality care 4 ©2023 CVS Health and/or one of its affiliates.
Slide 5: Our strategic imperatives
Build Grow diverse national care our core business delivery and value-based care capabilities Our strategic Create Enable imperatives consumers’ health with care and coverage seamless engagement and personalized capabilities across local experiences across all points of care company assets Empower o
Slide 6: Consolidated results and full-year guidance
Consolidated results in billions, except per share Q3 2022 amounts Q3 2023 Change % Business highlights (revised) 1 Total Revenues $89.8 $81.2 10.6% Announced the creation of Cordavis™, a Quarter results Adjusted Operating Income $4.46 $4.35 2.5% wholly owned subsidiary of CVS Health, a new source o
Slide 7: Health care benefits
Health care benefits in billions, except MBR Q3 2022 and membership Q3 2023 Change % Business highlights (revised) 1 Total Revenues $26.3 $22.5 16.9% Increase in membership reflects Adjusted Operating Income $1.54 $1.64 (6.4%) broad based growth in our Individual Quarter results Exchange, Medicare a
Slide 8: Health services
Health services Q3 2022 in billions, except pharmacy claims Q3 2023 Change % Business highlights (revised) 1 Total Revenues $46.9 $43.3 8.4% Quarter results Health Services results driven by continued strong performance Adjusted Operating Income $1.88 $1.70 10.8% and exceptional execution in our Pha
Slide 9: Pharmacy & consumer wellness
Pharmacy & consumer wellness in billions, except prescriptions Q3 2022 filled Q3 2023 Change % Business highlights (revised) 1 Total Revenues $28.9 $27.2 6.0% Quarter results Total same store sales increased by nearly 9%4, reflecting the impact of Adjusted Operating Income $1.39 $1.40 (0.9%) pharmac
Slide 10: Pharmacy & Front store same store sales
8.8% 11.9% Pharmacy & Total sales 4 Pharmacy sales 4 Front store Same store growth (2.2%) 2.7% Front store sales 4 Pharmacy In a dynamic environment, prescription demonstrated significant volume 2,4 year-over-year growth in 0.3% 3.5% total sales Excluding Covid Excluding Covid OTC test kits 4 vaccin
Slide 11: Other items full-year guidance
Other items in billions, except tax rate Q3 2023 call Q2 2023 call November 1, 2023 August 2, 2023 Business highlights Interest Expense ~$2.7 ~$2.7 Expect to be at upper-end of cash flow guidance range of $12.5 to $13.5 billion Full-year guidance Capital Expenditures $2.5 to $2.7 $2.6 to $2.8 Adjust
Slide 12: Footnotes
1. Previously reported Q3 2022 results have been revised to reflect our new segment structure, the adoption of a new long-duration accounting standard and a change in our reporting convention to exclude net realized capital gains and losses from adjusted operating income as described in our Press Re