UPDATE: CVS Health Beats Q4 Views

reported upbeat results for the fourth quarter. The Woonsocket, Rhode Island-based company posted quarterly net earnings of $1.32 billion, or $1.14 per share, compared to $1.27 billion, or $1.05 per share, in the year-ago period. Excluding non-recurring items, the company's adjusted earnings came in at $1.21 per share. Its revenue climbed 12.9% to $37.06 billion. However, analysts were expecting earnings of $1.20 per share on revenue of $36.1 billion. Revenue in the Pharmacy Services Segment rose 21.7% to $23.9 billion in the quarter, while revenue in the Retail Pharmacy Segment gained 2.9% to $17.7 billion. Same store sales gained 1.6%, while pharmacy same-store sales climbed 5.5%. Operating profit rose 4.7% to $2.3 billion in the quarter. During the quarter, CVS Health opened 50 new retail drugstores and closed 7 retail drugstores. President and CEO Larry Merlo, stated, "By any measure, 2014 was a great year for our company. We delivered strong financial performance, with solid year-over-year growth in revenues, operating profit, earnings per share and cash flow. Our performance in the fourth quarter was no exception, with Adjusted EPS increasing 8.4%, coming in at the high end of our expectations. At the same time, we generated free cash flow for the full-year of $6.5 billion, exceeding our expectations." CVS affirmed its adjusted earnings forecast of $1.06 to $1.09 per share for the first quarter and $5.05 to $5.19 per share for 2015. CVS shares rose 1.85% to $101.40 in pre-market trading.