The company expects elevated medical costs to continue to pressure its performance this year,"and as a result we are not providing a formal outlook at this time," a spokesperson said.
Meanwhile, longtime company executive Prem Shah will take on a new, expanded role that oversees the company's retail pharmacy, pharmacy benefits and health care delivery businesses, CVS said.that included layoffs, write-downs and the closure of 271 more retail stores. Those actions were in addition to a plan announced in August to cut $2 billion in expenses over the next several years, which includes cutting nearly 3,000 jobs, or less than 1% of its workforce.CVS reported sales of $95.
Adjusted and unadjusted earnings also included a charge of 63 cents per share, or $1.1 billion, from so-called"premium deficiency reserves" in its insurance business related to anticipated losses in the fourth quarter of 2024. CVS also recorded restructuring charges of 93 cents per share, or $1.17 billion, in the third quarter. That includes $607 million for additional stores it plans to close in 2025 and $293 million related to layoffs.CVS's insurance business booked $33 billion in revenue during the quarter, up more than 25% from the third quarter of 2023. The division reported an adjusted operating loss of $924 million for the third quarter.
That unit includes Caremark, one of the nation's largest pharmacy benefits managers. Caremark negotiates drug discounts with manufacturers on behalf of insurance plans and creates lists of medications — or formularies — that are covered by insurance and reimburses pharmacies for prescriptions.