CVS Health Corporation (CVS) Q4 2025 (USD): EPS 1.09 (exp. 1.00), Revenue 105.7bln (exp. 103.67bln)

• Adj. EPS of 1.09 decreased from 1.19 Y/Y, primarily due to a decline in adj. operating income in the Health Care Benefits segment, reflecting changes in the seasonality of the Medicare Part D programme due to the impact of the Inflation Reduction Act.
• Q4 MBR 94.8%, remained consistent with the prior year, as improved underlying performance in the Government business was offset by changes in the seasonality of the Medicare Part D programme
• MBR decreased to 91.2% in FY (vs 92.5% Y/Y), primarily driven by improved underlying performance in the Government business and higher favourable prior year development.
• Medical membership 26.6mln (decreased 112,000 members vs Q3) reflecting declines in the individual exchange product line, partially offset by an increase in Commercial ASC membership.
• FY medical membership decreased 504,000 Y/Y reflecting declines in the individual exchange and Government product lines, partially offset by an increase in Commercial ASC membership.

GUIDANCE:

• FY EPS view 7.00-7.20 (exp. 7.18)