Business

CVS Caremark’s 4Q profit rises 6 percent

CVS Caremark’s income was up 6 percent last quarter.

Associated Press

CVS Caremark’s income was up 6 percent last quarter.

CVS Caremark’s fourth-quarter earnings climbed 6 percent as new customers and Medicare prescription drug plans helped its pharmacy benefits management business, and revenue from the chain’s established drugstores grew.

The Woonsocket, R.I., company said it earned $1.13 billion, or 90 cents per share, in the three months ended Dec. 31. That compares with earnings of $1.06 billion, or 81 cents, in the same period in 2011.

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Adjusted earnings were $1.14 per share, while revenue climbed nearly 11 percent to $31.39 billion. Analysts expected earnings of $1.10 per share on $31.14.

CVS Caremark Corp. runs the second-largest US drugstore chain, after Walgreen Co., and is one of the nation’s largest pharmacy benefits managers.

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The shares fell 48 cents to $51.24 Wednesday.

Revenue grew more than 17 percent from its pharmacy benefits management side.

Pharmacy benefits managers, or PBMs, run prescription drug plans for employers, insurers, and other customers.

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The company also said it now expects 2013 adjusted earnings of $3.86 to $4 per share, a two-cent increase from its previous forecast.

CVS runs 7,458 drugstores in the United States.

Associated Press

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