CVS Health reports Q2 Retail/LTC Segment SSS down 2.6%
CVS reports revenues in the Retail/LTC Segment decreased 2.2% to $19.6B in Q2, largely driven by a 2.6% decrease in same store sales, an increase in the generic dispensing rate and continued reimbursement pressure. Pharmacy same store sales decreased 2.8% and were negatively impacted by approximately 410 basis points due to recent generic introductions. Same store prescription volumes remained flat, on a 30-day equivalent basis, in the three months ended June 30, 2017. The previously-announced restricted networks that exclude CVS Pharmacy had a negative impact of approximately 460 basis points on same store prescription volumes. Front store same store sales declined 2.1% in the three months ended June 30, 2017. The shift of the Easter holiday to the second quarter in 2017 from the first quarter in 2016 had an approximately 75 basis point positive impact. Front store same store sales were negatively impacted by softer customer traffic and efforts to rationalize promotional strategies, partially offset by an increase in basket size.