CVS Health Q2 profit surges to $2.9 B as Aetna costs come under control

In its Q2 earnings release, CVS Health announced net income of $2.98 billion, nearly tripling the $1.02 billion recorded a year earlier, as the company gained control over rising Aetna costs. The medical benefits ratio, the share of premiums spent on care, dropped to 87.4% from 89.9%, reflecting stronger government business and the absence of a premium deficiency reserve. CEO David Joyner responded by raising the company’s full-year diluted EPS outlook to $6.84-$7.04.

Health-benefits segment revenue grew 3.5% to $37.5 billion, offset partly by the 2026 exit from the individual ACA exchange. Total revenue climbed over 7% to $106 billion, with the health services segment up 11.5% to $51.8 billion and the pharmacy and consumer wellness segment modestly higher at $33.8 billion, helped by Rite Aid acquisitions but tempered by drug price pressures.