Analysis of Profitability Ratios
Quarterly Data
Profitability ratios measure the company ability to generate profitable sales from its resources (assets).
Profitability Ratios (Summary)
CVS Health Corp., profitability ratios (quarterly data)
Based on: 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31).
- Gross Profit Margin
- The gross profit margin exhibits a consistent downward trend over the analyzed periods, declining from 17.99% in the first quarter of 2021 to 13.54% by the first quarter of 2025. This steady decrease suggests increasing cost pressures or reduced pricing power affecting the company’s core profitability from sales.
- Operating Profit Margin
- Operating profit margin initially declines from 5.19% in early 2021 to a low point of 1.88% in the second quarter of 2023. A partial recovery follows, with margins improving to around 3.85% in late 2023, but the margin remains generally subdued, ending at 2.55% by the first quarter of 2025. These fluctuations indicate volatility in operating efficiency and possibly rising operating expenses or changes in revenue mix.
- Net Profit Margin
- Net profit margin follows a similar pattern to operating margin but at lower levels, starting at 2.74% in early 2021 and dropping as low as 0.86% in mid-2023. A noticeable rebound occurs toward the end of 2023, with margins rising to about 2.48%, before declining again to 1.4% by early 2025. This pattern reflects the impact of both operational performance and other factors such as financing costs and taxes on bottom-line profitability.
- Return on Equity (ROE)
- ROE demonstrates a notable decline from a strong 10.44% in the first quarter of 2021 down to 4.02% in the third quarter of 2022. Subsequent quarters show a recovery peak at 11.57% in late 2023, followed by another downturn, stabilizing around 6.86% in the first quarter of 2025. This variability suggests changing efficiency in generating shareholder returns, likely influenced by shifts in net income and changes in equity levels.
- Return on Assets (ROA)
- ROA trends closely mirror ROE but at lower values, starting at 3.22% early in 2021, declining to a trough of 1.17% by the second quarter of 2023, then rebounding to 3.42% in late 2023 before declining again to around 2.07% by early 2025. This pattern reflects changes in asset utilization and profitability over time.
- Overall Insights
- Across the key margin and return metrics, the company experiences a general weakening from 2021 through mid-2023, followed by periods of partial recovery in late 2023, and subsequent declines thereafter. Gross profit margin’s consistent decrease points to margin compression at the core sales level. Operating and net profit margins are volatile, indicating fluctuating operating costs and possibly non-operating factors. Returns on equity and assets show similar cyclical behavior, confirming variable profitability and asset efficiency. The data suggest challenges in maintaining profitability and efficient capital use over the period analyzed.
Return on Sales
Return on Investment
Gross Profit Margin
CVS Health Corp., gross profit margin calculation (quarterly data)
| Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||
| Gross profit | 13,876) | 12,144) | 12,008) | 12,989) | 12,107) | 13,608) | 13,300) | 13,329) | 13,041) | 13,490) | 13,174) | 13,594) | 13,198) | 13,285) | 12,456) | 12,906) | 12,202) | ||||||
| Revenues from customers | 94,068) | 96,955) | 94,878) | 90,840) | 87,983) | 93,545) | 89,487) | 88,647) | 84,944) | 83,523) | 80,958) | 80,490) | 76,658) | 76,237) | 73,548) | 72,327) | 68,800) | ||||||
| Profitability Ratio | |||||||||||||||||||||||
| Gross profit margin1 | 13.54% | 13.29% | 13.81% | 14.37% | 14.55% | 14.94% | 15.34% | 15.69% | 16.16% | 16.62% | 16.94% | 17.12% | 17.35% | 17.48% | 17.35% | 17.43% | 17.99% | ||||||
| Benchmarks | |||||||||||||||||||||||
| Gross Profit Margin, Competitors2 | |||||||||||||||||||||||
| Abbott Laboratories | 51.50% | 50.93% | 50.96% | 50.53% | 50.27% | 50.28% | 49.97% | 50.23% | 50.66% | 51.54% | 52.60% | 53.54% | 52.44% | 52.21% | 52.01% | 50.69% | 51.25% | ||||||
| Elevance Health Inc. | 15.66% | 15.92% | 16.62% | 17.16% | 16.92% | 16.79% | 16.86% | 16.89% | 16.90% | 16.79% | 16.85% | 16.79% | 16.89% | 17.09% | 17.30% | 17.57% | 19.38% | ||||||
| Intuitive Surgical Inc. | 67.09% | 67.46% | 66.98% | 66.86% | 66.43% | 66.39% | 66.61% | 66.74% | 66.86% | 67.44% | 67.77% | 68.16% | 68.84% | 69.32% | 69.12% | 68.69% | 66.48% | ||||||
| Medtronic PLC | 65.16% | 65.34% | 65.50% | 65.40% | 65.68% | 65.67% | 66.43% | 67.21% | 67.61% | 67.98% | 67.89% | 67.39% | 66.53% | 65.19% | 63.85% | 64.57% | 65.76% | ||||||
| UnitedHealth Group Inc. | 20.98% | 21.31% | 21.91% | 22.63% | 23.18% | 23.64% | 24.16% | 24.08% | 24.20% | 24.09% | 23.74% | 23.51% | 23.31% | 23.60% | 23.75% | 23.80% | 25.79% | ||||||
Based on: 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31).
1 Q1 2025 Calculation
Gross profit margin = 100
× (Gross profitQ1 2025
+ Gross profitQ4 2024
+ Gross profitQ3 2024
+ Gross profitQ2 2024)
÷ (Revenues from customersQ1 2025
+ Revenues from customersQ4 2024
+ Revenues from customersQ3 2024
+ Revenues from customersQ2 2024)
= 100 × (13,876 + 12,144 + 12,008 + 12,989)
÷ (94,068 + 96,955 + 94,878 + 90,840)
= 13.54%
2 Click competitor name to see calculations.
- Revenue Trends
- Revenues from customers have shown a generally increasing trend over the analyzed periods. Starting at approximately $68.8 billion in the first quarter of 2021, revenues rose steadily, reaching a peak of about $97.0 billion by the end of 2024. Despite minor fluctuations, the overall trajectory demonstrates growth in revenue streams, indicating expanding business operations or improved sales performance over the period.
- Gross Profit Patterns
- Gross profit figures have exhibited volatility relative to revenues. Initial gross profit stood at roughly $12.2 billion in early 2021, with some fluctuations throughout the quarters. The gross profit peaked in the fourth quarter of 2023 at approximately $13.6 billion, yet experienced some declines afterward, notably dropping below $12.2 billion in several subsequent quarters. While gross profit amounts generally increased alongside revenues, the growth was less consistent.
- Gross Profit Margin Analysis
- The gross profit margin has demonstrated a clear declining trend over the observed periods. Beginning at around 18.0% in the first quarter of 2021, the margin steadily decreased quarter over quarter, dropping to near 13.3% by late 2024. This continuous reduction in gross profit margin indicates that the company’s profitability from core operations per dollar of revenue has been contracting. Such a decline may reflect rising costs, pricing pressures, or changes in product/service mix affecting profitability.
- Interrelation Between Metrics
- Despite increasing revenues, gross profit margins have decreased, suggesting that the growth in revenue has not translated proportionally into gross profit. This divergence could signal increasing cost of goods sold or other operational challenges impacting profit efficiency. While gross profit in absolute terms sometimes increased, the diminishing margins highlight a potential need for cost control or strategic adjustments to sustain profitability.
- Summary Insight
- The financial data displays a growth trajectory in customer revenues alongside a contraction in gross profit margin across multiple quarters. This indicates the company is successfully expanding sales; however, profitability on those sales is under pressure. Attention to improving cost management or reevaluating pricing structures may be warranted to reverse or mitigate the margin erosion observed.
Operating Profit Margin
CVS Health Corp., operating profit margin calculation (quarterly data)
| Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||
| Operating income (loss) | 3,374) | 2,368) | 832) | 3,045) | 2,271) | 3,373) | 3,690) | 3,234) | 3,446) | 3,618) | (3,931) | 4,569) | 3,490) | 2,229) | 3,061) | 4,326) | 3,577) | ||||||
| Revenues from customers | 94,068) | 96,955) | 94,878) | 90,840) | 87,983) | 93,545) | 89,487) | 88,647) | 84,944) | 83,523) | 80,958) | 80,490) | 76,658) | 76,237) | 73,548) | 72,327) | 68,800) | ||||||
| Profitability Ratio | |||||||||||||||||||||||
| Operating profit margin1 | 2.55% | 2.30% | 2.59% | 3.42% | 3.49% | 3.85% | 4.04% | 1.88% | 2.33% | 2.41% | 2.02% | 4.35% | 4.39% | 4.54% | 4.75% | 4.93% | 5.19% | ||||||
| Benchmarks | |||||||||||||||||||||||
| Operating Profit Margin, Competitors2 | |||||||||||||||||||||||
| Abbott Laboratories | 16.84% | 16.27% | 16.24% | 15.92% | 15.76% | 16.15% | 15.02% | 15.23% | 16.77% | 19.16% | 20.95% | 22.42% | 20.73% | 19.56% | 20.04% | 18.46% | 17.97% | ||||||
| Elevance Health Inc. | 4.07% | 4.16% | 4.55% | 4.76% | 4.64% | 4.47% | 4.58% | 4.96% | 4.99% | 4.94% | 5.01% | 5.07% | 5.10% | 5.15% | 4.91% | 3.68% | 4.83% | ||||||
| Intuitive Surgical Inc. | 28.20% | 28.12% | 26.24% | 25.79% | 25.26% | 24.80% | 24.66% | 24.34% | 24.21% | 25.35% | 27.05% | 28.48% | 30.69% | 31.89% | 32.55% | 31.27% | 26.01% | ||||||
| Medtronic PLC | 15.82% | 15.89% | 17.50% | 17.41% | 17.83% | 17.56% | 18.17% | 19.02% | 19.37% | 18.15% | 17.89% | 16.68% | 14.78% | 14.89% | 11.44% | 12.77% | 14.25% | ||||||
| UnitedHealth Group Inc. | 8.27% | 8.17% | 8.28% | 8.40% | 8.58% | 8.80% | 8.86% | 8.83% | 8.87% | 8.83% | 8.65% | 8.32% | 8.19% | 8.40% | 7.91% | 7.73% | 9.24% | ||||||
Based on: 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31).
1 Q1 2025 Calculation
Operating profit margin = 100
× (Operating income (loss)Q1 2025
+ Operating income (loss)Q4 2024
+ Operating income (loss)Q3 2024
+ Operating income (loss)Q2 2024)
÷ (Revenues from customersQ1 2025
+ Revenues from customersQ4 2024
+ Revenues from customersQ3 2024
+ Revenues from customersQ2 2024)
= 100 × (3,374 + 2,368 + 832 + 3,045)
÷ (94,068 + 96,955 + 94,878 + 90,840)
= 2.55%
2 Click competitor name to see calculations.
- Operating Income (Loss)
- The operating income shows significant volatility throughout the observed periods. Initially, there is a positive trend from March 2021 to June 2022, reaching a peak of 4,569 million USD. However, a substantial loss is recorded in September 2022, with operating income dropping sharply to -3,931 million USD. This negative result appears to be an anomaly amidst generally positive figures. Post this loss, the figures recover significantly and fluctuate moderately, demonstrating a pattern of recovery and stabilization but not returning to the earlier peak levels. The most recent quarters indicate modest recovery with operating income values between 2,000 to 3,300 million USD.
- Revenues from Customers
- Revenues show consistent growth over the entire timeframe, moving from 68,800 million USD in March 2021 to a high of 96,955 million USD in December 2024. There are minor fluctuations, such as a slight dip in March 2024, but the overall trajectory remains upward. This steady increase suggests a stable expansion in the customer base or sales volume, underpinning the firm’s top-line growth despite fluctuations in operating profitability.
- Operating Profit Margin
- The operating profit margin displays a declining trend over the observed period. Starting at around 5.19% in early 2021, it gradually decreases to lower single digits, hitting values as low as approximately 1.88% in mid-2023. Some recovery is evident later in 2023, where margins increase to around 4%, but this is followed by another decline in subsequent quarters, reaching approximately 2.55% by March 2025. The margin contraction indicates rising costs or pricing pressures impacting profitability despite revenue growth.
- Summary Insights
- The data portrays a company experiencing strong revenue growth but facing challenges in maintaining operating income and profit margins. The significant loss in one quarter stands out as an exceptional event, after which the company managed a partial recovery. The downward trend in operating profit margins signals potential cost management issues or structural challenges in sustaining profitability. The overall picture reflects an entity with expanding sales but under pressure to enhance operational efficiency and control expenses to convert revenue growth into consistent profitability.
Net Profit Margin
CVS Health Corp., net profit margin calculation (quarterly data)
| Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||
| Net income (loss) attributable to CVS Health | 1,779) | 1,644) | 87) | 1,770) | 1,113) | 2,046) | 2,261) | 1,901) | 2,136) | 2,302) | (3,416) | 2,951) | 2,312) | 1,306) | 1,598) | 2,783) | 2,223) | ||||||
| Revenues from customers | 94,068) | 96,955) | 94,878) | 90,840) | 87,983) | 93,545) | 89,487) | 88,647) | 84,944) | 83,523) | 80,958) | 80,490) | 76,658) | 76,237) | 73,548) | 72,327) | 68,800) | ||||||
| Profitability Ratio | |||||||||||||||||||||||
| Net profit margin1 | 1.40% | 1.24% | 1.37% | 1.99% | 2.04% | 2.34% | 2.48% | 0.86% | 1.20% | 1.29% | 1.00% | 2.66% | 2.68% | 2.72% | 2.67% | 2.60% | 2.74% | ||||||
| Benchmarks | |||||||||||||||||||||||
| Net Profit Margin, Competitors2 | |||||||||||||||||||||||
| Abbott Laboratories | 31.89% | 31.95% | 13.99% | 13.65% | 13.96% | 14.27% | 12.92% | 12.83% | 13.98% | 15.88% | 17.52% | 18.78% | 17.35% | 16.42% | 17.12% | 15.85% | 15.33% | ||||||
| Elevance Health Inc. | 3.26% | 3.41% | 3.72% | 3.93% | 3.66% | 3.52% | 3.63% | 3.89% | 3.89% | 3.87% | 4.09% | 4.13% | 4.37% | 4.46% | 4.17% | 3.32% | 3.82% | ||||||
| Intuitive Surgical Inc. | 28.41% | 27.81% | 28.51% | 27.65% | 27.16% | 25.24% | 22.14% | 21.38% | 20.40% | 21.25% | 22.52% | 24.05% | 27.84% | 29.85% | 30.78% | 31.43% | 25.78% | ||||||
| Medtronic PLC | 12.05% | 11.36% | 13.00% | 12.84% | 11.47% | 12.03% | 13.20% | 14.03% | 16.75% | 15.90% | 15.46% | 14.79% | 12.29% | 11.97% | 10.36% | 12.69% | 15.80% | ||||||
| UnitedHealth Group Inc. | 5.46% | 3.65% | 3.68% | 3.70% | 4.09% | 6.09% | 6.09% | 6.11% | 6.21% | 6.25% | 6.21% | 5.99% | 5.91% | 6.06% | 5.56% | 5.37% | 6.46% | ||||||
Based on: 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31).
1 Q1 2025 Calculation
Net profit margin = 100
× (Net income (loss) attributable to CVS HealthQ1 2025
+ Net income (loss) attributable to CVS HealthQ4 2024
+ Net income (loss) attributable to CVS HealthQ3 2024
+ Net income (loss) attributable to CVS HealthQ2 2024)
÷ (Revenues from customersQ1 2025
+ Revenues from customersQ4 2024
+ Revenues from customersQ3 2024
+ Revenues from customersQ2 2024)
= 100 × (1,779 + 1,644 + 87 + 1,770)
÷ (94,068 + 96,955 + 94,878 + 90,840)
= 1.40%
2 Click competitor name to see calculations.
- Revenue Trends
- Revenues from customers demonstrated a general upward trajectory over the periods analyzed. Starting at 68,800 million US dollars in the first quarter of 2021, revenues consistently increased to reach a peak of 96,955 million by the fourth quarter of 2024. Minor fluctuations appeared in the early quarters of 2024 and the first quarter of 2025, with revenues slightly decreasing to 87,983 million and 94,068 million respectively, without a clear reversal of the overall growth trend.
- Net Income (Loss) Trends
- Net income attributable to the company showed considerable volatility across the quarters. Initial quarters of 2021 reflected positive net income, peaking at 2,783 million US dollars in the second quarter. However, a notable loss of 3,416 million was reported in the third quarter of 2022, representing a significant anomaly within the dataset. Following this dip, net income recovered, fluctuating between moderate gains and smaller values, with the last reported quarter (first quarter of 2025) showing a net income of 1,779 million. The data suggest recurring short-term instability in profit generation despite an overall positive income across most periods.
- Net Profit Margin Analysis
- The net profit margin exhibited variations closely aligned with the movements in net income. Early 2021 margins hovered around 2.6-2.7%, suggestive of consistent profitability relative to revenue. A pronounced decline occurred in the third quarter of 2022, where the margin fell sharply to 1%, corresponding with the substantial net loss during that period. Subsequent quarters showed a partial recovery in margins, ranging between 1.2% and 2.5%, but never returning to the initial higher levels. From 2023 through the first quarter of 2025, margins stabilized predominantly below 2%, indicating a compression in profitability margins even as revenues grew.
- Overall Insights
- The financial profile over the analyzed quarters reflects steady revenue growth accompanied by volatile profitability. The anomaly in net income and margin in late 2022 signals potential underlying challenges or one-time events negatively impacting earnings. Despite these disruptions, revenues maintained their upward momentum, though net profit margins suggest pressure on operational efficiencies or cost structures. The recent quarters indicate a cautious improvement in income and profitability, yet at reduced margins compared to early periods, implying the necessity for strategic focus on margin enhancement to sustain long-term financial health.
Return on Equity (ROE)
CVS Health Corp., ROE calculation (quarterly data)
| Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||
| Net income (loss) attributable to CVS Health | 1,779) | 1,644) | 87) | 1,770) | 1,113) | 2,046) | 2,261) | 1,901) | 2,136) | 2,302) | (3,416) | 2,951) | 2,312) | 1,306) | 1,598) | 2,783) | 2,223) | ||||||
| Total CVS Health shareholders’ equity | 76,929) | 75,560) | 74,944) | 74,930) | 73,968) | 76,461) | 74,337) | 72,726) | 71,382) | 71,015) | 70,683) | 75,184) | 73,830) | 75,075) | 74,308) | 73,244) | 70,850) | ||||||
| Profitability Ratio | |||||||||||||||||||||||
| ROE1 | 6.86% | 6.11% | 6.69% | 9.60% | 9.90% | 10.91% | 11.57% | 4.02% | 5.57% | 5.84% | 4.46% | 10.86% | 10.83% | 10.54% | 10.20% | 9.83% | 10.44% | ||||||
| Benchmarks | |||||||||||||||||||||||
| ROE, Competitors2 | |||||||||||||||||||||||
| Abbott Laboratories | 27.66% | 28.12% | 14.49% | 14.13% | 14.51% | 14.83% | 13.77% | 13.88% | 15.68% | 18.90% | 22.11% | 23.44% | 21.82% | 19.75% | 21.04% | 18.86% | 17.06% | ||||||
| Elevance Health Inc. | 13.92% | 14.47% | 14.66% | 15.86% | 15.38% | 15.23% | 15.82% | 16.78% | 16.62% | 16.59% | 17.26% | 17.04% | 17.36% | 16.93% | 15.44% | 12.10% | 13.92% | ||||||
| Intuitive Surgical Inc. | 14.47% | 14.13% | 14.39% | 14.23% | 14.24% | 13.51% | 12.10% | 12.00% | 11.70% | 11.98% | 11.97% | 11.93% | 13.58% | 14.32% | 14.80% | 14.97% | 11.56% | ||||||
| Medtronic PLC | 8.19% | 7.32% | 8.11% | 7.97% | 7.07% | 7.30% | 7.90% | 8.33% | 9.88% | 9.59% | 9.35% | 9.05% | 7.54% | 7.01% | 5.70% | 7.05% | 8.77% | ||||||
| UnitedHealth Group Inc. | 23.26% | 15.55% | 15.14% | 15.78% | 17.72% | 25.22% | 25.67% | 25.63% | 25.46% | 25.87% | 26.03% | 25.07% | 23.98% | 24.09% | 21.95% | 21.03% | 25.42% | ||||||
Based on: 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31).
1 Q1 2025 Calculation
ROE = 100
× (Net income (loss) attributable to CVS HealthQ1 2025
+ Net income (loss) attributable to CVS HealthQ4 2024
+ Net income (loss) attributable to CVS HealthQ3 2024
+ Net income (loss) attributable to CVS HealthQ2 2024)
÷ Total CVS Health shareholders’ equity
= 100 × (1,779 + 1,644 + 87 + 1,770)
÷ 76,929 = 6.86%
2 Click competitor name to see calculations.
The analysis of the quarterly financial performance reveals several notable trends in net income, shareholders’ equity, and return on equity (ROE) over the observed periods.
- Net Income (Loss) attributable to CVS Health
- Net income displays considerable volatility across quarters. Positive earnings prevail for most quarters; however, significant fluctuations are evident. For instance, a sharp loss is observed in one quarter during 2022, with net income plunging substantially negative before recovering in subsequent periods. Overall, net income ranges from highs above 2.9 billion US dollars to lows approaching a negative 3.4 billion US dollars. In more recent quarters, net income stabilizes but remains at a lower level compared to earlier peaks, indicating some challenges in maintaining consistent profitability.
- Total CVS Health Shareholders' Equity
- Shareholders’ equity shows a generally stable upward trajectory with minor fluctuations. The equity base increases from around 70.8 billion US dollars at the beginning of the period to approximately 76.9 billion US dollars by the end. Despite some quarterly decreases, the overall trend suggests steady growth in shareholder value, supported by positive earnings in most periods and possibly conservative dividend or repurchase policies.
- Return on Equity (ROE)
- ROE demonstrates variability aligned with the fluctuations in net income. Initial ROE values hover between approximately 9.8% to 10.9%, indicating strong returns relative to equity. A significant dip occurs concurrently with the quarter showing the sharp net income loss, where ROE drops considerably to as low as approximately 4.5%. Subsequent quarters see some recovery, with ROE rising again to double-digit levels briefly before settling in the 6-7% range in more recent quarters. This pattern indicates periods of both strong and weakened profitability relative to shareholder equity and underscores the impact of income volatility on returns.
In summary, the company exhibits a pattern of fluctuating profitability while maintaining a generally increasing equity base. The correlation between net income swings and ROE highlights sensitivity to earnings performance. The recent stabilization of net income and moderate ROE suggests a potential period of consolidation or cautious operational environment ahead.
Return on Assets (ROA)
CVS Health Corp., ROA calculation (quarterly data)
| Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||
| Net income (loss) attributable to CVS Health | 1,779) | 1,644) | 87) | 1,770) | 1,113) | 2,046) | 2,261) | 1,901) | 2,136) | 2,302) | (3,416) | 2,951) | 2,312) | 1,306) | 1,598) | 2,783) | 2,223) | ||||||
| Total assets | 255,585) | 253,215) | 252,427) | 252,481) | 249,743) | 249,728) | 251,306) | 250,071) | 239,330) | 228,275) | 231,212) | 230,279) | 232,873) | 232,999) | 234,891) | 231,164) | 229,606) | ||||||
| Profitability Ratio | |||||||||||||||||||||||
| ROA1 | 2.07% | 1.82% | 1.99% | 2.85% | 2.93% | 3.34% | 3.42% | 1.17% | 1.66% | 1.82% | 1.36% | 3.55% | 3.43% | 3.39% | 3.23% | 3.12% | 3.22% | ||||||
| Benchmarks | |||||||||||||||||||||||
| ROA, Competitors2 | |||||||||||||||||||||||
| Abbott Laboratories | 16.58% | 16.46% | 7.76% | 7.61% | 7.77% | 7.82% | 7.16% | 7.04% | 7.87% | 9.31% | 10.84% | 11.53% | 10.44% | 9.40% | 9.82% | 8.70% | 7.86% | ||||||
| Elevance Health Inc. | 4.94% | 5.12% | 5.51% | 5.92% | 5.58% | 5.50% | 5.50% | 5.87% | 5.69% | 5.86% | 6.03% | 6.05% | 6.21% | 6.26% | 5.63% | 4.40% | 4.93% | ||||||
| Intuitive Surgical Inc. | 12.88% | 12.39% | 12.64% | 12.57% | 12.56% | 11.64% | 10.31% | 10.25% | 10.05% | 10.19% | 10.39% | 10.47% | 12.02% | 12.58% | 13.06% | 13.20% | 10.17% | ||||||
| Medtronic PLC | 4.38% | 4.09% | 4.63% | 4.55% | 3.99% | 4.13% | 4.32% | 4.63% | 5.79% | 5.54% | 5.35% | 5.13% | 4.23% | 3.87% | 2.97% | 3.69% | 4.70% | ||||||
| UnitedHealth Group Inc. | 7.14% | 4.83% | 4.78% | 4.93% | 5.40% | 8.18% | 7.69% | 7.53% | 7.30% | 8.19% | 7.99% | 7.93% | 7.89% | 8.15% | 7.24% | 6.90% | 8.23% | ||||||
Based on: 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31).
1 Q1 2025 Calculation
ROA = 100
× (Net income (loss) attributable to CVS HealthQ1 2025
+ Net income (loss) attributable to CVS HealthQ4 2024
+ Net income (loss) attributable to CVS HealthQ3 2024
+ Net income (loss) attributable to CVS HealthQ2 2024)
÷ Total assets
= 100 × (1,779 + 1,644 + 87 + 1,770)
÷ 255,585 = 2.07%
2 Click competitor name to see calculations.
The analysis of the quarterly financial performance over the presented periods reveals notable fluctuations and trends in profitability and asset management.
- Net Income (Loss) Attributable to CVS Health (US$ in millions)
- Net income displayed considerable volatility across the intervals. Initially, the profit peaked at 2,783 million in June 2021 before declining sharply to negative 3,416 million by September 2022, indicating a significant loss during that quarter. Following this trough, net income recovered steadily, generally maintaining positive values and stabilizing around the 1,500 to 2,300 million range in subsequent quarters. Notably, the latest quarter ended with moderate profitability of 1,779 million, suggesting a recovery phase after earlier volatility.
- Total Assets (US$ in millions)
- Total assets remained relatively stable over the entire period, fluctuating moderately around the 230,000 to 255,000 million mark. A gradual trend of asset growth is observable from early 2023 onwards, culminating in a peak of 255,585 million by March 2025. This steady increase in assets over time implies ongoing investments or acquisitions contributing to asset base expansion.
- Return on Assets (ROA, %)
- The ROA percentage reflects significant variability in asset efficiency. The ratio started at a healthy level above 3% in 2021 and early 2022, indicating effective utilization of assets to generate net income. However, it sharply dropped to as low as 1.17% during mid-2023, correlating with the period of lower net income. Subsequent quarters showed improvement, with ROA approaching or exceeding 3% again by late 2023, before experiencing another decline to below 2% in early 2024 and beyond. This fluctuation in ROA signals periods of operational challenges affecting profitability relative to asset size.
In summary, while total assets have exhibited stable growth, net income has been inconsistent with periods of losses and recovery phases. The return on assets mirrors this instability, indicating fluctuating efficiency in converting assets into net earnings. This pattern suggests that despite a solid asset base, operational or market conditions have impacted profit generation capabilities intermittently during the analyzed timeframe.