Morning Briefing
Summaries of health policy coverage from major news organizations
CVS Touts Health Hubs, Acquisition Of Aetna After Posting Higher-Than-Expected Third Quarter Profits
Modern Healthcare: CVS' First HealthHUBs Driving More Prescriptions, Clinic Visits
Pharmacy giant CVS Health on Wednesday touted the strong performance of its first HealthHUBs, the stores it launched earlier this year to help patients better manage their health in between doctor appointments. The three pilot hubs it opened in Houston in February have so far "outperformed their control group," delivering higher prescription volumes and MinuteClinic visits, as well as higher front-of-store sales, traffic and margins, CVS CEO Larry Merlo told investment analysts during the company's third-quarter earnings call on Wednesday. (Livingston, 11/6)
The Associated Press: CVS Gets A 3Q Booster Shot From Aetna As Revenue Soars
CVS Health revenue surged in the third quarter as the drugstore chain and pharmacy benefits manager added health insurance and pushed ahead with a plan to change how many of its stores operate. The company said Wednesday its roughly $69 billion acquisition of the insurer Aetna helped its top line climb 36% in the quarter while earnings rose 10%. (11/6)
Reuters: CVS Quarterly Profit Beats Expectations; Shares Rise As It Eyes Growth
CVS Health Corp reported higher-than-expected third-quarter profit on Wednesday as medical costs in its Aetna health insurance business came in below forecasts, and the company said its new strategy of using in-pharmacy clinics would contain healthcare spending going forward. Shares of CVS, which runs a national drugstore chain, rose more than 5%, as its pharmacy benefits business also posted better-than-expected operating profit. (11/6)
The Wall Street Journal: CVS Beats Revenue Expectations, Raises Earnings Outlook
CVS said its pharmacy-services business, which offers pharmacy benefit services to employers, health plans and employee groups, recorded revenue of $36.02 billion in the quarter, up about 6% versus a year ago. Its retail business, filling prescription medications and selling a range of merchandise, saw revenue increase 3% to $21.47 billion. Prescription volumes grew 6.4% from a year earlier. (Thomas, 11/6)
