Wall Street Journal
Blue Shield of California To Revolutionize Drug Payment System: Ends CVS Caremark Partnership
- Blue Shield of California has decided to discontinue its utilization of CVS Health Inc's CVS Caremark, the pharmacy-benefit manager responsible for negotiating drug prices and overseeing services like mail-order pharmacy.
- Instead, the nonprofit health plan, which boasts a membership of approximately 4.8 million, is embarking on a partnership with a group of specialized companies. Amazon.com AMZN will manage at-home drug deliveries.
Google's Verily Life Sciences Intensifies Cost-Cutting: Other Bets" Accumulate Over $30B In Losses
- Alphabet Inc GOOG GOOGL, the parent company of Google, is ramping up its cost-cutting measures across various ventures.
- Verily Life Sciences, an Alphabet unit focusing on data-driven healthcare, plans further expense reductions after reporting higher-than-anticipated losses in 2023.
- Verily laid off more than 200 employees, or about 15% of its workforce, in January.
Paramount Global Walks Away From BET Stake Sale
- Mass media and entertainment conglomerate Paramount Global PARA reportedly has let go of its plan to sell its majority stake in BET Media Group.
- The group includes the VH1 and BET cable networks and BET+ streaming services.
- The move to end the sale comes as Paramount felt it would not harbor any meaningful deleveraging of its balance sheet.
Benzinga
OpenAI Acquires Pioneers from Global Illumination Amid Expanding ChatGPT Horizons
- Microsoft Corp MSFT backed OpenAI said on Wednesday it had snapped the team at Global Illumination. The financial terms of the transaction remain undisclosed.
- Thomas Dimson, Taylor Gordon, and Joey Flynn co-founded Global Illumination.
- The entire team has joined OpenAI to work on its core products, including ChatGPT.
Petco And DoorDash Team Up: Enhanced Product Access For Pet Lovers Across US
- Petco Health and Wellness Company Inc WOOF announced an expanded partnership with DoorDash DASH – one of its existing fulfillment partners – to make Petco's assortment of products available nationally via the DoorDash Marketplace.
- Through the DoorDash mobile app and website, pet parents will have greater access to Petco's curated selection of products supporting pets' whole health for on-demand delivery.
Ball Agrees To Sell Aerospace Business For $5.6B
- Ball Corp BALL shares are trading higher by around 5% after the company disclosed a plan to sell its aerospace business.
- The company inked an agreement to sell its aerospace business to BAE Systems for gross proceeds of $5.6 billion in cash.
- The price represents 19.6x Ball Aerospace's LTM comparable EBITDA.
- Ball also plans to boost its share repurchase authorization program and quarterly dividend.
Bloomberg
Tesla's Autopilot Under Fire Again As Engineers Testify To Unfixed Crash Limitations
- Tesla Inc TSLA reportedly neglected critical limitations in its autopilot system following a deadly crash in 2016, potentially setting the stage for another incident.
- In a lawsuit related to a 2019 crash, Tesla engineers revealed that the company failed to rectify deficiencies in its autopilot functionality even after a similar crash in 2016.
- Engineers testified that the system was not adjusted to account for crossing traffic after the 2016 crash, in which a Tesla Model S driver, Joshua Brown, collided with a truck in Florida, resulting in his death.
CNBC
Ozempic Competitor Wegovy Could Prevent 1.5M Heart Attacks And Strokes Over 10 Years, Study Reveals
- Novo Nordisk A/S's NVO weight loss injection, Wegovy, could potentially thwart 1.5 million heart attacks and strokes over ten years, according to a recent study.
- Researchers from the University of California, Irvine discovered that Wegovy could also result in 43 million fewer Americans with obesity over the same timeframe. Novo Nordisk partially financed the study.
Reuters
Tyson Foods To Divest China Poultry Business
- Tyson Foods Inc TSN reportedly plans to sell its China poultry business. The company has hired The Goldman Sachs Group Inc GS as an advisor for the divestiture, which is at an early stage.
- It is not clear what valuation Tyson Foods is seeking for China's Poultry business, which saw annual sales of around $1.1 billion.
Earnings
Walmart Q2 Earnings: Smashes Expectations, Strong E-Commerce Growth and Raised Outlook
- Walmart Inc WMT reported second-quarter FY24 sales growth of 5.7% year-on-year to $161.10 billion, beating the analyst consensus estimate of $160.27 billion.
- Net sales from Walmart U.S. increased 5.4% Y/Y, Walmart International rose 13.3%, and Sam's Club fell 0.3%.
- Excluding fuel, Walmart's U.S. Q2 comp sales grew 6.4%. eCommerce growth was 24%.
- Global advertising business grew by over 35%.
Bilibili Shares Soar After Q2 Performance, User Base Expands Amid Game Revenue Downturn
- Bilibili Inc BILI reported second-quarter FY23 revenue growth of 8% year-on-year to $731.5 million (RMB5.3 billion), beating the consensus of $726.4 million. Adjusted EPS loss of $(0.32) beat the consensus loss of $(0.35).
- Outlook: Bilibili expects FY23 revenues of RMB22.5 billion - RMB23.5 billion (prior RMB24.0 billion - RMB26.0 billion) vs. the consensus of $3.34 billion.
Tapestry Misses Q4 Earnings Estimates, Provides Below-Consensus FY24 Outlook
- Tapestry Inc TPR, the New York-based house of lifestyle brands comprising Coach, Kate Spade, and Stuart Weitzman, reported Q4 FY23 sales of $1.62 billion, missing the analyst consensus of $1.65 billion.
- EPS of $0.95 missed the analyst consensus of $0.97.
- Operating margin expanded to 16.9% from 15.3% a year ago, and operating income for the quarter stood at $274 million.
- Outlook: Tapestry expects FY24 EPS of $4.10-$4.15 (+6% to 7% Y/Y) vs. the consensus of $4.23.
Lenovo Q1 Revenue Dips 24%, Says Cautiously Optimistic On Business Recovery In Coming Quarters
- Lenovo Group Ltd LNVGY reported a Q1 FY24 revenue dip of 24% Y/Y to $12.9 billion.
- Quarterly revenue came below the consensus of $13.84 billion.
- EPS decreased to $1.43 from $4.01 a year ago.
- Over the next three years, Lenovo plans to invest a further $1 billion in accelerating AI deployment for businesses globally.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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