Express Scripts 2Q net income rises 50 percent
Pharmacy-benefits manager Express Scripts Inc. said Wednesday its second-quarter profit rose 50 percent as revenue soared from new business generated by its NextRx unit.
In April 2009, the company bought WellPoint's pharmacy benefit management business NextRx for about $4.68 billion. Pharmacy benefits managers handle prescription drug benefits for health plan sponsors and members.
Express Scripts earned $289.9 million, or 53 cents per share, up from net income of $192.3 million, or 37 cents per share, during the same period a year earlier. Revenue more than doubled to $11.29 billion from $5.5 billion.
Excluding charges, the company earned 60 cents per share. Analysts polled by Thomson Reuters expected net income of 59 cents per share on $11.35 billion in revenue.
Adjusted claims volume rose 51 percent to 189.1 million.
Looking ahead, the company revised its full-year profit outlook. It now expects net income between $2.45 and $2.50 per share, up from prior guidance between $2.43 and $2.50 per share. Analysts expect net income of $2.49 per share in 2010.
Shares of Express Scripts fell 98 cents, or 2.3 percent, to $41.22 in after-hours trading after falling $1.19 to close at $42.20 during the regular trading session.