CVS Health Releases Third-Quarter Earnings, Announces New Aetna President

Retail drugstore giant CVS Health released third-quarter results, which revealed an uptick in sales. The company also announced a leadership change at its health insurer unit.

CVS revenue was up over 6.3% for the quarter, hitting $95.4 billion. Net income for the pharmacy chain came in at $87 million, or an unadjusted 7 cents per share. A year ago, net income reached $2.27 billion, coming out to $1.75 a share.

With the uncertainty of how healthcare costs will impact the industry, CVS decided against declaring any 2025 financial projections. Instead, the company will wait until the dust settles and issue guidance when there is a clearer view of upcoming expenses.

“Establishing credibility and earning the trust of our investors is one of my top priorities as the new leader of CVS Health,” said CEO David Joyner, per CNBC. “To achieve that, any guidance we provide should be achievable, with clear opportunities for outperformance.”

The most recent earnings report is the first since Joyner replaced Karen Lynch as CVS Health’s CEO in October. At the same time, the company initiated some cost-cutting measures that included store closures and worker layoffs.

Aetna’s New President

In addition to the earnings report, CVS also shook up company leadership by appointing a new president for Aetna. Formerly the CEO of UnitedHealthcare, Steve Nelson has been brought in to run the CVS-owned health insurer. Throughout his career, Nelson has held several positions at UnitedHealthcare as well as serving as CEO at primary care company ChenMed.

“Steve is an industry veteran who has successfully led multiple segments of a diverse managed care company and driven innovation and growth throughout his career,” Joyner said in a press release. “I will work closely with him and the team, building upon and accelerating the plan to advance Aetna forward.”

Working alongside Joyner, Nelson is expected to make several improvements to the insurance unit, including a reevaluation of its Medicare plans. As of now, Aetna has more than 27 million members, with roughly 4.4 million enrolled in Medicare Advantage plans.