Cvs Health Corporation · NYSE:CVS
Cvs Health — Q2 2023 Earnings Presentation
12 slides from Cvs Health's earnings presentation, Aug 2, 2023
Slide 1: Second quarter 2023 earnings conference call
Second quarter 2023 Earnings conference call Karen S. Lynch Shawn M. Guertin President and Executive Vice President and Chief Executive Officer Chief Financial Officer August 2, 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 10.3% and Adjusted EPS of $2.21 in the second quarter of 2023. Adjusted EPS guidance reaffirmed at $8.50 to $8.70; expect 2023 MBR at high-end of range. DELIVERED STRONG DEPLOYED CAPITAL TO GENERATE FULL-YEAR 2023 Q2 Financial results Sharehold
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
Grow Enhance our core business omnichannel health capabilities and drive customer engagement Our strategic Power Create imperatives a purpose driven culture and consumer mindset new sources of value in health services and care delivery Deliver cutting edge technology 5 ©2023 CVS Health and/or one of
Slide 6: Consolidated results and full-year guidance
Consolidated results in billions, except per share Q2 2022 amounts Q2 2023 Change % Financial highlights (revised) 1 Total Revenues $88.9 $80.6 10.3% Completed the acquisition of Oak Street Quarter results Adjusted Operating Income $4.48 $5.00 (10.4%) Health on May 2, significantly advancing our val
Slide 7: Health care benefits
Health care benefits in billions, except MBR Q2 2022 and membership Q2 2023 Change % Financial highlights (revised) 1 Total Revenues $26.7 $22.7 17.6% Increase in membership reflects Adjusted Operating Income $1.54 $1.92 (19.9%) broad based growth, including eighth Quarter results consecutive quarte
Slide 8: Health services
Health services Q2 2022 in billions, except pharmacy claims Q2 2023 Change % Financial highlights (revised) 1 Total Revenues $46.2 $42.9 7.6% Quarter results Health Services results driven by continued strong performance and Adjusted Operating Income $1.89 $1.83 3.5% exceptional execution in our Pha
Slide 9: Pharmacy & consumer wellness
Pharmacy & consumer wellness in billions, except prescriptions Q2 2022 filled Q2 2023 Change % Financial highlights (revised) 1 Total Revenues $28.8 $26.7 7.6% Quarter results Total same store sales increased by nearly 11 percent4, reflecting the impact Adjusted Operating Income $1.41 $1.71 (17.4%)
Slide 10: Front store & pharmacy
Front store 10.9% 14.3% & pharmacy Total sales 4 Pharmacy sales 4 Same store growth In a dynamic environment, (0.3%) 3.6% demonstrated significant Front store sales 4 Pharmacy year-over-year growth prescription volume 3,4 >1% 4.9% Excluding Covid Excluding Covid OTC kits 4 vaccines 3,4 10 ©2023 CVS
Slide 11: Other items full-year guidance
Other items in billions, except tax rate Q2 2023 call Q1 2023 call August 2, 2023 May 3, 2023 Financial highlights Interest Expense ~$2.7 ~$2.7 • Reduced capital expenditures to reflect prioritization of our portfolio to Full-year guidance Capital Expenditures $2.6 to $2.8 $2.8 to $3.0 optimize our
Slide 12: Footnotes
1. Previously reported Q2 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