CVS · CVS Health Corporation

CVS Health reported strong first quarter 2026 results, with total revenues increasing 6.2% year-over-year to $100.4 billion, driven by growth across all operating segments. GAAP diluted EPS rose to $2.30 from $1.41 in the prior year, while Adjusted EPS increased to $2.57 from $2.25. The improvement was primarily due to better performance in the Health Care Benefits segment, which saw its medical benefit ratio improve to 84.6% from 87.3%, reflecting improved underlying performance in the Government business and the absence of a prior-year premium deficiency reserve. The Health Services segment revenue grew 11.0% to $48.2 billion, though adjusted operating income declined 7.1% due to pharmacy client price improvements. The Pharmacy & Consumer Wellness segment revenue was relatively flat, with adjusted operating income down 8.8% due to reimbursement pressure and business investments. Management raised full-year 2026 guidance: GAAP diluted EPS now expected in the range of $6.24-$6.44 (from $5.94-$6.14), Adjusted EPS of $7.30-$7.50 (from $7.00-$7.20), and cash flow from operations of at least $9.5 billion (from at least $9.0 billion). The company noted continued elevated cost trends and macro headwinds as reasons for a cautious outlook for the remainder of the year. CEO David Joyner highlighted strong execution and the company's focus on simplifying health care.