CLAIM #18215 · CVS Health Corp (CVS) · 2023Q2 earnings call · Aug 2, 2023 · due Dec 31, 2023
“These cash flows were impacted by the timing of CMS payments that are expected to normalize in the fourth quarter.”
Shawn Guertin · CFO
In context
“ur diversified enterprise. We delivered strong revenue growth, adjusted earnings per share and cash flow from operations. A few highlights regarding total company performance. Second quarter revenues of nearly $90 billion increased by more than 10% year-over-year, reflecting strong growth across each of our businesses. We delivered adjusted operating income of nearly $4.5 billion and adjusted EPS of $2.21, representing decreases of approximately 10% and 13% versus prior year respectively. These decreases were primarily due to declines in our healthcare benefits and pharmacy and consumer wellness segments, partially offset by strong execution in our pharmacy services operations. Our ability to generate cash remains outstanding with year-to-date cash flow from operations of $13.3 billion. These cash flows were impacted by the timing of CMS payments that are expected to normalize in the fourth quarter. Excluding this impact, our cash flows from operations remain strong at $8 billion. Shifting to the details for our healthcare benefits segment, we delivered strong revenue growth versus the prior year. Second quarter revenue of $26.7 billion increased by 17.6% year-over-year, reflecting growth across all product lines. Membership grew to 25.6 million, an increase of 121,000 members sequentially, reflecting increases in our individual exchange and commercial businesses partially offset by the impact of Medicaid redeterminations. Adjusted operating income of $1.5 billion in the quarter declined approximately 20% versus the prior year. This decline was driven by a higher than expected medical benefit ratio partially offset by higher net investment income and strong execution on operating c”
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SEC filings for CVS ↗ · Claim quote is verbatim from the 2023Q2 earnings call.