CVS Caremark 2Q profit slips 1 percent

By the Associated Press | August 4, 2011 | 7:44 AM EDT

NEW YORK (AP) — CVS Caremark says its profit slipped 1 percent in the second quarter as its pharmacy benefits management business weathered lower prices on contract renewals.

CVS Caremark Corp. says its profit declined to $816 million from $821 million a year ago. On a per-share basis its profit was unchanged at 60 cents. Excluding one-time items, the company earned 65 cents per share. Revenue rose 11 percent to $26.63 billion from $24.01 billion.

FactSet says analysts were forecasting a profit of 64 cents per share and $26.76 billion in revenue.

The Woonsocket, R.I., company says Caremark faced lower prices related to contract renewals. The most significant of those was a large government contract the company renewed in the third quarter of 2010. Revenue from CVS drugstores grew 3.6 percent to $14.83 billion.