CVS posted second-quarter adjusted earnings, excluding certain items, of 65 cents a share, unchanged from a year earlier.
Net revenue fell 3.5% from a year earlier to $24 billion, the company said in a statement. Net income fell to $821 million from $886 million.
"The weak economy has had a dampening impact on prescription utilization and consumer behavior across the retail pharmacy sector," CFO David Denton said.
CVS cut its forecast for retail same store sales for the year to 2%-3.5%. It had previously forecast an increase of 3.5%-5.5%. The company also lowered guidance for adjusted earnings per share to a range of $2.68 to $2.73, from a range of $2.77 to $2.84. The reduction is partly due to the initial dilution related to implementation costs for the Aetna contract.
On Tuesday, Aetna awarded CVS a 12-year contract to provide pharmacy benefit management services. CVS will administer about $9.5 billion in annual drug spending to serve about 9.7 million Aetna members. CVS will also manage purchasing, inventory management and prescription fulfillment for Aetna's mail order and specialty pharmacy operations.
Understanding Stock Market Indexes
What does it mean when people say "the market is up 2%"?View Course »