CVS Health (NYSE:CVS) said Wednesday that demand for COVID vaccines and at-home COVID tests lifted overall store sales, helping the company top expectations for fourth-quarter earnings.
Shares fell, as it reiterated its fiscal 2022 forecast.
The pharmacy chain and health-care company administered more than eight million COVID tests and more than 20 million COVID vaccines in the fourth quarter, a significant jump from the nearly 17 million vaccines administered in the second quarter, and the 11.6 million that it gave in the third.
CVS has played a key role in the country’s response to the pandemic, along with competitor Walgreens Boots Alliance (NASDAQ:WBA). COVID-related services have led to a boost in its retail and pharmacy business over the past year, particularly during the holiday quarter when consumers sought out booster shots and at-home tests ahead of gatherings.
On an earnings call, she called the company’s administration of millions of COVID tests and vaccines "a powerful example of the relationship we’re building with consumers, which leads to new customers seeking a range of other health services at CVS Health."
CVS reported fiscal fourth-quarter net income of $1.31 billion, or 99 cents per share, up from $973 million, or 74 cents per share, a year earlier.
The company said its net income from continuing operations was 98 cents. But it earned $1.98 per share, after adjustments, which was more than the $1.93 per share expected by analysts.
CVS shares tailed off $4.18, or 3.8%, to $106.65
