CVS Health on Wednesday reported second-quarter earnings per share of $2.58 adjusted, surpassing Wall Street's estimate of $1.85, and revenue of $106.10 billion against an expected $100.11 billion. The company raised its full-year 2026 adjusted profit guidance to between $7.90 and $8.10 per share, up from a previous range of $7.30 to $7.50 per share, and increased its revenue outlook to at least $414 billion from at least $405 billion. The higher profit guidance reflects increases in its insurance and retail pharmacy segments, driven by continued recovery in its Aetna insurance unit, which has shown improvement in managing medical costs. CVS operates the nation's largest pharmacy chain and has been executing a turnaround plan involving $2 billion in cost cuts, store closures, and leadership changes. The results add to a solid second quarter for the broader health insurance sector.
CVS Reports $2.58 Adjusted EPS and $106.10 Billion Revenue for Q2 2026
CVS posted net income of $2.98 billion, or $2.31 per share, for the second quarter, compared with net income of $1.02 billion, or 80 cents per share, for the same period a year ago. Excluding restructuring charges and capital losses, adjusted earnings were $2.58 per share for the quarter. The company booked sales of $106.10 billion for the second quarter, up approximately 7% from the same period a year ago, as all three of its business segments showed growth. Shares of the healthcare giant rose 6% in premarket trading Wednesday.
The insurance business brought in $37.54 billion in revenue during the quarter, up around 3.5% from the second quarter of 2025, exceeding the $35.66 billion that analysts were expecting. CVS' pharmacy and consumer wellness division posted $33.82 billion in sales for the second quarter, only slightly higher from the year-ago period, topping analyst estimates of $33.16 billion. The health services segment generated $51.8 billion in revenue for the quarter, up 11.5% from the same period a year earlier, surpassing Wall Street estimates of $47.78 billion.
Aetna Medical Benefit Ratio Decreases to 87.4%
Aetna's medical benefit ratio decreased to 87.4% from 89.9% in the prior year, below analysts' expectation of 89.8%. A lower ratio indicates that a company collected more in premiums than it paid out in benefits, resulting in higher profitability. The year-over-year improvement in the unit was due to strength in its government plans and the lack of a so-called premium deficiency reserve, which was recorded in the same period in 2025. That refers to a liability that an insurer may need to cover if future premiums are not enough to pay for anticipated claims and expenses. The unit's medical membership of 26 million as of June 30 was about flat compared to March 31.
CVS Announces Eli Lilly Collaboration for Weight Management Access
CVS on Wednesday announced a new collaboration with Eli Lilly that will make its obesity injection Zepbound and new weight loss pill Foundayo accessible to eligible patients on the CVS Health app. The offering will be available by early in the fourth quarter and will include both patients with insurance coverage and those paying out of pocket.
FAQ
What were CVS Health's second-quarter 2026 earnings results?
CVS Health reported second-quarter 2026 adjusted earnings per share of $2.58, beating Wall Street's estimate of $1.85, and revenue of $106.10 billion, exceeding the expected $100.11 billion. Net income was $2.98 billion, or $2.31 per share, compared with $1.02 billion, or 80 cents per share, for the same period a year ago.
What is CVS Health's updated full-year 2026 guidance?
CVS Health raised its full-year 2026 adjusted profit guidance to between $7.90 and $8.10 per share, up from a previous range of $7.30 to $7.50 per share. The company also increased its revenue outlook to at least $414 billion from at least $405 billion. The higher profit guidance reflects increases in its insurance and retail pharmacy segments.
What was Aetna's medical benefit ratio for the second quarter?
Aetna's medical benefit ratio decreased to 87.4% from 89.9% in the prior year, coming in below analysts' expectation of 89.8%. The year-over-year improvement was due to strength in its government plans and the lack of a premium deficiency reserve that was recorded in the same period in 2025.
