CVS Health tops 3Q earnings forecasts, backs 2018 outlook

Lower taxes and a jump in prescriptions is helping push CVS Health past third-quarter expectations.

The drugstore chain and pharmacy benefit manager said Tuesday that its net income climbed 8 percent to $1.39 billion, while adjusted earnings per share totaled $1.73. Revenue rose 2 percent to $47.27 billion.

Analysts expect, on average, third-quarter earnings of $1.71 per share on $47.2 billion in revenue, according to FactSet.

The company also reaffirmed its forecast for 2018 adjusted earnings of between $6.98 and $7.08 per share. Analysts predict earnings of $7.04 per share.

CVS Health Corp., based in Woonsocket, Rhode Island, runs more than 9,800 retail locations and processes over a billion prescriptions.

It also said Tuesday it expects to complete its roughly $69-billion acquisition of the health insurer Aetna before Thanksgiving.