CVS Health Corp

Latest Results (10.03.2026):

CVS Health Corp — fourth quarter of 2025: CVS reported Q4 2025 total revenues of $105.7 billion (up 8.2% year-over-year) and full-year 2025 revenues of a record $402.1 billion (up 7.8%). Q4 GAAP diluted EPS was $2.30 (vs. $1.30 a year earlier) while Q4 Adjusted EPS was $1.09 (down from $1.19). Full-year GAAP diluted EPS was $1.39 and full-year Adjusted EPS was $6.75. The year included a $5.7 billion goodwill impairment and approximately $1.2 billion of legacy litigation charges that materially affected GAAP results.

Revenue growth

Total revenues for the three months ended December 31, 2025 were $105.7 billion, an 8.2% increase versus Q4 2024. Full-year 2025 revenues reached $402.1 billion, up 7.8% versus 2024, with growth across all operating segments.

EPS and adjusted EPS

Q4 2025 GAAP diluted EPS was $2.30 (vs. $1.30 prior year). Q4 Adjusted EPS was $1.09, down $0.10 from $1.19 a year earlier (driven largely by Health Care Benefits seasonality from the Inflation Reduction Act impact). Full-year Adjusted EPS rose to $6.75 from $5.42 in 2024, while full-year GAAP EPS was $1.39 (impacted by impairments and litigation charges).

Operating income and adjusted operating income

Consolidated operating income in Q4 was $2.112 billion (down vs. Q4 2024). Adjusted operating income for Q4 was $2.597 billion (a 4.8% decline year-over-year). For full-year 2025, adjusted operating income increased to $14.443 billion (up 20.6%), while GAAP operating income declined materially due to a $5.7 billion goodwill impairment and ~ $1.2 billion of legacy litigation charges.

Significant charges and tax items

2025 included a $5.7 billion goodwill impairment related to Health Care Delivery and roughly $1.2 billion of legacy litigation charges recorded during the year. In Q4 2025 the company recognized a roughly $1.9 billion worthless stock tax deduction tied to a bankrupt subsidiary, producing a Q4 effective tax rate of (115.9)% and a significant discrete tax benefit.

Cash flow and liquidity

CVS generated $10.6 billion of cash flow from operations in 2025. Cash and cash equivalents were about $8.45 billion at year-end. Long-term debt was ~$60.5 billion. The company updated 2026 cash flow from operations guidance to at least $9.0 billion (down from prior guidance of at least $10.0 billion).

2026 guidance

CVS confirmed 2026 guidance ranges: GAAP diluted EPS of $5.94 to $6.14 and Adjusted EPS of $7.00 to $7.20.

Segment performance — Health Care Benefits

Health Care Benefits Q4 revenues were $36.293 billion (up 10.1% YoY). Q4 adjusted operating results showed a loss of $676 million (worse than prior year adjusted loss of $439 million) driven by Medicare Part D seasonality changes from the IRA; medical membership was 26.6 million at Dec 31, 2025 (down vs. prior year).

Segment performance — Health Services (PBM & care delivery)

Health Services Q4 revenues were $51.244 billion (up 9.0% YoY). Q4 adjusted operating income rose to $1.923 billion (up 9.2% YoY), helped by improved purchasing economics; the segment recorded the $5.7 billion goodwill impairment in 2025 which heavily impacted full-year GAAP results.

Segment performance — Pharmacy & Consumer Wellness

Pharmacy & Consumer Wellness Q4 revenues were $37.66 billion (up 12.4% YoY). Q4 adjusted operating income was $1.911 billion (up 8.7% YoY). Prescriptions filled increased ~6.3% on a 30‑day equivalent basis in Q4, including incremental volume from Rite Aid prescription file acquisitions; same-store prescription volume rose substantially.

CEO comment

CEO David Joyner characterized the results as evidence of progress in transforming the health care experience, citing efforts to lower drug prices, improve navigation of care and position CVS as a front door of care nationwide.