Market cap

* For banks, enterprise value is substituted with market cap. Source: Bloomberg Finance L.P.

Performance of the brand

In 2007, the CVC Corporation merged with Caremark Rx, Inc. to form the CVS Caremark Corporation. The result of this merger has been a market leader being the largest employer of nurse practitioners and pharmacists with over 200,000 employees in 44 states of the US, the District of Columbia, and Puerto Rico.  As of June 30, 2011, CVS Caremark operated 7,266 retail stores, 66 retail specialty pharmacy stores, 18 specialty mail order pharmacies, four mail order pharmacies, as well as the CVS.com and Caremark.com websites. CVS Caremark is divided into Retail Pharmacy, MinuteClinic and Pharmacy Benefit Management (PBM) Services. With more than 7,000 CVS/pharmacy and specialty pharmacy locations across the country, CVS Caremark operates the most drugstores in the U.S., 60% of all stores providing drive-thru pharmacy windows. CVS/pharmacy also offers their store brand couch and cold products, as well as proprietary brands such as Cristophe^®, Essence of Beauty^®, Nuprin^®, Playskool^®, and Skin Effects by Dr. Jeffrey Dover^®. CVS Caremark’s goal is to further grow sales of its own brands over the next to five years, aiming at 18% to 20% of front-store sales.

Over 560 CVS/pharmacy stores now also feature a MinuteClinic, the US leader in retail-based health clinics which is primarily staffed by nurse practitioners and physician’s assistants. Never requiring an appointment and being open seven days a week, MinuteClinic especially aims at targeting busy professionals and parents.

Ranked 21^st on Fortune 500 despite decreasing overall net revenues

Net revenue decreased by 2.3% to $96,413 million in 2010. Also CVS Caremark’s operating profit decreased by 4.3%, from $6,438 million in 2009 to $6,165 million in 2010 which might be a result of the challenging consumer and retail environment, as well as the increase in operating expenses of $151 million. CVS Caremark has been especially dissatisfied with the financial returns of its pharmacy benefit management services. During 2010, net revenues in the retail pharmacy segment increased by 3.6%, whilst pharmacy services declined by 6.4% compared to 2009. Yet, CVS Caremark has been ranked 21^st on the 2011 Fortune 500 and has been the number one provider of prescriptions with more than 1 billion filled or managed annually.

Although CVS Caremark faced a restrained financial performance in 2010, brand value increased by 23% from $7,881 to $9,698 in 2011. Enterprise value, however, still seems to be influenced by decreasing revenues, declining by 8.8% to $23,476 million in 2011.

 

 

Last changed September 9, 2011

League tables

CVS Caremark appears in the following brand league tables:

Rank 490 in the Global 500 2009.