WOONSOCKET – CVS Caremark Corp. posted strong sales and increased profit in the second quarter of 2013, the company reported Tuesday.
Net revenue rose 1.7 percent to $31.2 billion in the quarter that ended June 30, from $30.7 billion in the second quarter of 2012.
Profit for CVS Caremark rose even more from $965 million, or 75 cents per diluted share, in the second quarter last year to $1.1 billion, or 91 cents per diluted share, in the second quarter this year, an increase of 16.2 percent.
The company credited its introductions of new generic drugs with the steep profit increase. President and CEO Larry Merlo in a statement called generics “a significant growth driver across the enterprise.”
Despite the strong performance, Merlo noted in the report that the share count in the second quarter was higher than anticipated because the company suspended share repurchases while negotiating a settlement with the U.S. Securities and Exchange Commission, announced last week, over an investigation into 2009 financial statements.
At the time of the settlement agreement, CVS Caremark said it had fully funded the $20 million civil penalty and would not have to reissue any earnings reports as a result of the investigation and settlement.