CVS CVS Health (CVS) Q2 FY26 earnings call
CVS Health delivered strong Q2 FY26 results, with all segments growing earnings and exceeding expectations, leading to a significant raise in full-year adjusted EPS and cash flow guidance. The company is leveraging its integrated assets, technology, and AI to enhance consumer and provider experiences, particularly in GLP-1 management and claims processing. While facing headwinds in the 340B program and Caremark membership for FY27, management remains confident in its long-term mid-teens adjusted EPS CAGR target, driven by Aetna's margin recovery, specialty pharmacy strength, and retail momentu
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CVS operating KPIs by quarter
| KPI | Dec 2024 Q4 FY24 | Mar 2025 Q1 FY25 | Sep 2025 Q3 FY25 | Dec 2025 Q4 FY25 | Mar 2026 Q1 FY26 | This call Jun 2026 Q2 FY26 | Change vs prior quarter |
|---|---|---|---|---|---|---|---|
| Employees | 300K+Two, our over 300,000 colleagues who reflect the backgrounds and experiences of all Americans and the communities we serve.Source: earnings call transcript | 300K+This is personal for me, my leadership team and the more than 300,000 CVS Health colleagues that work tirelessly every day to earn the trust of the customers we serve.Source: earnings call transcript | 300K+Our future is bright because of the work of our more than 300,000 colleagues who take care of their friends, families and neighbors and communities across our country.Source: earnings call transcript | 300KOur leadership team and our 300,000 colleagues work hard every day to make it better and to realize our ambition of becoming America's most trusted health care company.Source: earnings call transcript | — | — | — |
| Medical members Health Care Benefits | ~27.1MMedical membership of approximately 27.1 million was roughly flat sequentially as membership in our Individual Exchange business started to modestly decline in advance of the 2025 rate increases we took in that book.Source: earnings call transcript | ~27.1MMedical membership of approximately 27.1 million was flat sequentially as declines in our individual exchange and Medicare businesses were largely offset by growth in our commercial fee-based business.Source: earnings call transcript | ~26.7MWe ended the quarter with medical membership of approximately 26.7 million, which was flat sequentially and decreased approximately 445,000 members from the prior year quarter.Source: earnings call transcript | ~26.6MWe ended the year with approximately 26.6 million medical members, a slight decline sequentially and a decrease of approximately 500,000 members from the prior year.Source: earnings call transcript | ~26MWe ended the quarter with approximately 26 million medical members, which declined sequentially by approximately 600,000 members.Source: earnings call transcript | ~26MMedical membership as of quarter end of approximately 26 million members remain consistent sequentially and declined approximately 700,000 members from the prior year quarter.Source: earnings call transcript | — |
| Medical care ratio Health Care Benefits | 94.8%Our medical benefit ratio of 94.8% increased 630 basis points from the prior year quarter.Source: earnings call transcript | 87.3%Our medical benefit ratio of 87.3%, decreased 310 basis points from the prior year.Source: earnings call transcript | 92.8%Our medical benefit ratio was 92.8%, a decrease of 240 basis points from the prior year quarter results of 95.2%.Source: earnings call transcript | 94.8%Our medical benefit ratio in the quarter was 94.8%, consistent with the prior year quarter.Source: earnings call transcript | 84.6%Adjusted operating income in the quarter was approximately $3 billion, and our medical benefit ratio was 84.6%.Source: earnings call transcript | 87.4%Adjusted operating income in the quarter was approximately $2.4 billion, and our medical benefit ratio was 87.4%, both of which improved meaningfully from the prior year quarter as we continue to execute on our margin recovery.Source: earnings call transcript | +2.8 pt |
| Medical members Commercial | — | — | — | ~18MAndrew, so on respect to our commercial membership, we serve about 18 million members.Source: earnings call transcript | 18MAnd we have 18 million members in our commercial book.Source: earnings call transcript | — | — |
Operating figures the company stated on at least two of the calls shown, checked against each call's transcript. Click a figure to read the sentence. A dash means it was not stated that quarter.
Inve summary of the company's earnings call; see how call summaries are prepared. Not investment advice.