More from CVS Q2 2026

CVS Health Corp.

CVS2026 Q2Healthcare

1mo

GLP-1 access strategy combining formulary coverage and cash pay direct-to-consumer

Management described affordability, access, and convenience as the three consumer priorities as GLP-1 demand grows.
Caremark was highlighted as leading formulary actions to increase availability of GLP-1s at lower cost, while noting affordability barriers remain for some employers.
CVS Pharmacy’s direct-to-consumer platform was presented as a pathway for cash or unfunded access, including MinuteClinic’s 24/7 virtual weight management offering at $29.
Eligible patients were said to access GLP-1 therapies for as little as $149 via cash pay options through omnichannel fulfillment and CVS app/store availability.
Later in the year, the Eli Lilly partnership was described as enabling eligible Zepbound and Foundayo patients to access cash pay pricing for same-day pickup through the CVS Health app or stores.
The company connected this approach to serving both Lilly and Novo products to support access across FDA-approved GLP-1s.

CVS Health Corp.

CVS2026 Q2Healthcare

1mo

Financial Performance Summary

Adjusted EPS was $2.58, up 40%+ versus the prior-year quarter.
Enterprise results: $106B+ revenue and ~$5.2B adjusted operating income in Q2, with both up 7% and 35% year over year, respectively.
Health Care Benefits: ~$37B revenue (+3% YoY) and ~$2.4B adjusted operating income; medical benefit ratio (MBR) improved to 87.4%.
Health Care Benefits MBR benefited from risk adjustment and prior-year development totaling ~+$500M and ~140 bps in the quarter; core performance exceeded expectations.
Health Services: nearly $52B revenues (+11% YoY) and >$1.7B adjusted operating income (+10% YoY), driven by pharmacy drug mix/brand inflation and purchasing economics.
Pharmacy & Consumer Wellness: nearly $34B revenues; adjusted operating income ~$1.5B (up 10%+), supported by core pharmacy strength and Rite Aid transaction contributions (partly offset by regulatory price reductions and generic introductions).
Year-to-date cash flow from operations was ~$10.6B, reflecting strong earnings and working-capital improvements.

CVS Health Corp.

CVS2026 Q2Healthcare

1mo

Similar to what we talked about at Investor Day, we are only assuming offsetting dilution in '27, Justin. So nothing beyond that at this point.

Brian Newman

CFO, CVS Health Corp.

Context

Justin asked whether the company assumed share repurchases or other capital deployment in the preliminary 2027 adjusted EPS level. In response to the follow-up on the $8.44 2027 adjusted EPS floor, management addressed the share repurchase question directly. Brian Newman confirmed that assumptions are limited to offsetting dilution, consistent with the Investor Day framework. He added that nothing beyond that is assumed at this point.

More from CVS Q2 2026

CVS Health Corp.

CVS2026 Q2Healthcare

1mo

GLP-1 access strategy combining formulary coverage and cash pay direct-to-consumer

Management described affordability, access, and convenience as the three consumer priorities as GLP-1 demand grows.
Caremark was highlighted as leading formulary actions to increase availability of GLP-1s at lower cost, while noting affordability barriers remain for some employers.
CVS Pharmacy’s direct-to-consumer platform was presented as a pathway for cash or unfunded access, including MinuteClinic’s 24/7 virtual weight management offering at $29.
Eligible patients were said to access GLP-1 therapies for as little as $149 via cash pay options through omnichannel fulfillment and CVS app/store availability.
Later in the year, the Eli Lilly partnership was described as enabling eligible Zepbound and Foundayo patients to access cash pay pricing for same-day pickup through the CVS Health app or stores.
The company connected this approach to serving both Lilly and Novo products to support access across FDA-approved GLP-1s.

CVS Health Corp.

CVS2026 Q2Healthcare

1mo

Financial Performance Summary

Adjusted EPS was $2.58, up 40%+ versus the prior-year quarter.
Enterprise results: $106B+ revenue and ~$5.2B adjusted operating income in Q2, with both up 7% and 35% year over year, respectively.
Health Care Benefits: ~$37B revenue (+3% YoY) and ~$2.4B adjusted operating income; medical benefit ratio (MBR) improved to 87.4%.
Health Care Benefits MBR benefited from risk adjustment and prior-year development totaling ~+$500M and ~140 bps in the quarter; core performance exceeded expectations.
Health Services: nearly $52B revenues (+11% YoY) and >$1.7B adjusted operating income (+10% YoY), driven by pharmacy drug mix/brand inflation and purchasing economics.
Pharmacy & Consumer Wellness: nearly $34B revenues; adjusted operating income ~$1.5B (up 10%+), supported by core pharmacy strength and Rite Aid transaction contributions (partly offset by regulatory price reductions and generic introductions).
Year-to-date cash flow from operations was ~$10.6B, reflecting strong earnings and working-capital improvements.

CVS Health Corp.

CVS2026 Q2Healthcare

1mo

Similar to what we talked about at Investor Day, we are only assuming offsetting dilution in '27, Justin. So nothing beyond that at this point.

Brian Newman

CFO, CVS Health Corp.

Context

CVS Health Corp.: Adjusted EPS grew over 40% YoY to $2.58 while enterprise revenue rose 7%

More from CVS Q2 2026

CVS Health Corp. 2026 Q2: GLP-1 access strategy combining formulary coverage and cash pay direct-to-consumer

CVS Health Corp. 2026 Q2: Financial Performance summary

More from CVS Q2 2026

More from CVS Q2 2026

CVS Health Corp. 2026 Q2: GLP-1 access strategy combining formulary coverage and cash pay direct-to-consumer

CVS Health Corp. 2026 Q2: Financial Performance summary