With pandemic, CVS sees big business opportunities with Covid-19 testing, flu shots
As the pandemic makes health care top of mind for many Americans, CVS Health said Wednesday that it's focused on providing services that are in high demand from flu shots to testing for colleges.
The company has opened more than 1,800 drive-thru sites for Covid-19 testing. It's launched a new business-to-business testing program for corporations and colleges. And it's getting ready to administer flu shots, which could keep people healthy as doctors and nurses cope with the spread of the coronavirus.
"Those of you who have been following us for some time know that CVS Health is much more than just your corner drugstore," CVS Chief Executive Larry Merlo said in an earnings conference call Wednesday. "And in this era of Covid, our strategy of diverse assets across health care, this triad of care where connections are delivered in the community and home and in the palm of your hand could not be more important."
The pandemic has changed Americans' habits, including the way they get medical care. CVS stores filled fewer prescriptions and saw a drop in front store revenue during the fiscal second quarter as people skipped shopping trips and doctor's appointments during shelter-in-place orders. However, the company's operating income shot up for its health benefits business as people delayed elective procedures and other medical care.
The company also noticed a shift in customer mix for its health benefits business because of the pandemic's economic fallout. CVS Chief Financial Officer Eva Boratto said its Medicaid members ...
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