On this page of StockholderLetter.com we present the latest annual shareholder letter from CVS HEALTH Corp — ticker symbol CVS. Reading current and past CVS letters to shareholders can bring important insights into the investment thesis.
Building a world of health around every consumer. 2023 Annual Report
Officer, Director and Stockholder Information Dear Fellow Stockholders: Officers Our more than 300,000 purposedriven colleagues work every day to build a world of health around every consumer, improving outcomes, lowering costs and broadening access to quality care. We are bringing our heart to every moment of health for the people and communities we serve. In 2023, we made tangible progress to transform how care is delivered in this country, bringing together integrated health solutions that meet the needs of consumers. We advanced our strategy and strengthened our position for continued success in 2024. Delivering strong performance through a diversified portfolio Last year we successfully navigated a challenging environment while delivering on our financial commitments. We grew total revenues to approximately $358 billion, an 11 percent increase over 2022, and delivered adjusted operating income of $17.5 billion* and adjusted earnings per share of $8.74*. During the year, we generated $13.4 billion in cash flow from operations, demonstrating the power of our business model. This performance enabled us to return more than $5 billion to stockholders through dividend payments and common stock repurchases. In the Health Care Benefits segment, we ended the year with nearly 26 million members, an increase of 1.3 million members versus the prior year, reflecting increases in the Commercial and Medicare product lines, including Individual Exchange business within the Commercial product line. We offered our Individual Exchange products in 12 states in 2023, and in 2024 we will expand to a total of 17 states. Our success was driven by compelling offerings that were strengthened by CVS Health assets, allowing us to create differentiated value for members. CVS Health In the Health Services segment, we launched a new brand, CVS Healthspire , that brings together our health care delivery, pharmacy benefit management and health services solutions. These businesses will accelerate our ability to transform health care and to drive superior health outcomes at lower costs while offering a seamless consumer experience. Our ability to consistently deliver exceptional customer and member experiences, while making medicine more affordable, makes CVS Caremark a leader in the marketplace. In 2023, CVS Caremark served approximately 108 million members and processed 2.3 billion pharmacy claims on a 30-day equivalent basis. Our deep understanding of the practice of pharmacy allows us to deliver lower costs in the pharmaceutical marketplace, leading to better health outcomes. In the Pharmacy & Consumer Wellness (PCW) segment, we filled more than 1.6 billion prescriptions and administered nearly 30 million vaccines. We invested in digital capabilities to help drive productivity in our business. More than 40 percent of our CVS Pharmacy customers are engaging with us digitally for their pharmacy and well-being needs. Our local community presence allows us to connect millions of people across different sites of care to improve health in ways others cannot. By bringing together the powerful capabilities of our brands, we can unlock up to three to four times more enterprise value when we engage members in more than one CVS Health business. Our capabilities allow us to connect with consumers in more places in the community, in the home and virtually. Advancing the future of care delivery We have both the scale to transform how health care is delivered, and the ability to personalize care and coverage for each individual we serve. Karen S. Lynch President and Chief Executive Officer Thomas F. Cowhey Executive Vice President and Chief Financial Officer Sreekanth K. Chaguturu, M.D. Karen S. Lynch President and Chief Executive Officer In 2023, we made significant progress on our value-based care delivery strategy. We broadened our value-based care capabilities into the home with the acquisitions of Signify Health , which expanded our reach into consumers homes with Signify Health conducting 2.6 million in-home evaluations over the course of 2023. Over time, we expect to utilize the strong capabilities of Signify Health in other businesses, including Individual Exchange and Medicaid. Our acquisition of Oak Street Health extends our ability to provide primary care services and gives us momentum in engaging multi-payor Medicare Advantage members with Oak Street Health clinics. In 2023, there were more than 6 million visits to MinuteClinic locations, our retail health clinics. We also grew our physician enablement business, CVS Accountable Care , which had approximately $10 billion of managed spend in 2023 and is expected to grow to more than 1 million patients in 2024. We expect these assets to accelerate our growth and the long-term value of CVS Health. Together, MinuteClinic and Oak Street Health makes CVS Health one of the largest providers of primary and episodic care in the United States. Collectively, we are effectively combining a unique and integrated platform of capabilities that lead to high quality of care, lower costs and better health outcomes. Beyond engaging consumers, we believe emerging technologies will accelerate the transformation in Executive Vice President and Chief Medical Officer David A. Falkowski Executive Vice President and Chief Compliance Officer Katerina Guerraz Directors Prem S. Shah Fernando Aguirre (1) (3) (5) Sheryl A. Burke Jeffrey R. Balser, M.D., Ph.D. (1) (2) Executive Vice President, Chief Pharmacy Officer and President of Pharmacy & Consumer Wellness Senior Vice President, Corporate Social Responsibility and Chief Sustainability Officer James D. Clark Senior Vice President Controller and Chief Accounting Officer Carol A. DeNale Senior Vice President and Treasurer Executive Vice President and Chief Strategy and Enterprise Affairs Officer Laurence F. McGrath Laurie P. Havanec Colleen M. McIntosh Executive Vice President and Chief People Officer J. David Joyner Executive Vice President and President of CVS Caremark Brian A. Kane Executive Vice President and President of Aetna Samrat S. Khichi Executive Vice President, Chief Policy Officer and General Counsel Tilak Mandadi Executive Vice President, Chief Digital, Data, Analytics and Technology Officer Michelle A. Peluso Executive Vice President and Chief Customer and Experience Officer Senior Vice President, Business Development and Investor Relations Senior Vice President, Corporate Secretary and Chief Governance Officer Thomas S. Moffatt Vice President, Assistant Secretary and Senior Legal Counsel Yimin Zhang Vice President Tax OFFICERS CERTIFICATIONS The Company has filed the required certifications under Section 302 of the Sarbanes-Oxley Act of 2002 regarding the quality of our public disclosures as Exhibits 31.1 and 31.2 to our Annual Report on Form 10-K for the fiscal year ended December 31, 2023. After our 2023 annual meeting of stockholders, the Company filed with the New York Stock Exchange the CEO certification regarding its compliance with the NYSE corporate governance listing standards as required by NYSE Rule 303A.12(a). Former Chairman and Chief Executive Officer, Chiquita Brands International, Inc. President and Chief Executive Officer, Vanderbilt University Medical Center C. David Brown II (3) (4) (5) Partner and Former Member of the Executive Committee, Nelson Mullins Riley & Scarborough LLP Alecia A. DeCoudreaux (2) (4) President Emerita, Mills College at Northeastern University and Former Executive, Eli Lilly and Company Nancy-Ann M. DeParle (2) (4) (5) Managing Partner and Co-Founder, Consonance Capital Partners, LLC and Former Deputy Chief of Staff and Director of the White House Office of Health Reform Roger N. Farah (3) (4) (5) Independent Chair of the Board, CVS Health Corporation and Former Executive, Tory Burch and Ralph Lauren Anne M. Finucane (1) (3) Chair of the Board, Rubicon Carbon and Former Vice Chairman, Bank of America Corporation J. Scott Kirby (2) Chief Executive Officer, United Airlines Holdings, Inc. Edward J. Ludwig (1) Former Chairman and Chief Executive Officer, Becton, Dickinson & Company Karen S. Lynch (5) President and Chief Executive Officer, CVS Health Corporation Michael F. Mahoney (3) Chairman, Chief Executive Officer and President, Boston Scientific Corporation Jean-Pierre Millon (1) (2) Former President and Chief Executive Officer, PCS Health Systems, Inc. Mary L. Schapiro (1) (2) Vice Chair for Global Public Policy and Special Advisor to the Founder and Chairman, Bloomberg L.P. and Former Chairman of the U.S. Securities and Exchange Commission Committee Membership (as of April 2024) (1) Audit Committee (2) Health Services and Technology Committee (3) Management Planning and Development Committee (4) Nominating and Corporate Governance Committee (5) Executive Committee Michael T. Pykosz Executive Vice President and President of Health Care Delivery Stockholder Information Corporate Headquarters CVS Health Corporation One CVS Drive Woonsocket, RI 02895 (401) 765-1500 Annual Stockholders Meeting May 16, 2024 virtualshareholdermeeting.com/ CVS2024 Stock Market Listing The New York Stock Exchange Symbol: CVS Transfer Agent and Registrar Questions regarding stock holdings, certificate replacement/ transfer, dividends and address changes should be directed to: EQ Shareowner Services P.O. Box 64874 St. Paul, MN 55164-0874 Toll-free: (877) CVS-PLAN (287-7526) International: +1 (651) 450-4064 Email: stocktransfer@eq-us.com Website: shareowneronline.com Direct Stock Purchase/Dividend Reinvestment Program Shareowner Services Plus PlanSM provides a convenient and economical way for you to purchase your first shares or additional shares of CVS Health common stock. The program is sponsored and administered by EQ Shareowner Services. For more information, including an enrollment form, please contact EQ Shareowner Services at (877) 287-7526. Annual Report on Form 10-K and Other Company Information The Company s Annual Report on Form 10-K will be sent without charge to any stockholder upon request by contacting: CVS Health Corporation Investor Relations Office One CVS Drive, MC 1008 Woonsocket, RI 02895 (800) 201-0938 In addition, financial reports and recent filings with the Securities and Exchange Commission, including our Form 10-K, as well as other Company information, are available via the Internet at investors.cvshealth.com.
Total revenues in billions of dollars 2023 357.8 322.5 2022 health care. We are embedding technology, data and analytics in every aspect of our business. The effects will be positive and profound, and we re already seeing significant value, while preserving the importance of the human connection in health care. Our CVS Caremark TrueCost model offers clients pricing that reflects the true net cost of prescription drugs and offers consumers confidence that their pharmacy benefit is providing the best possible price. This new model is expected to be offered to payors for commercial clients in 2025. Driving pharmacy innovation for greater access and affordability We are committed to continuously innovating to improve the choices we offer our customers, health plan clients and consumers. In 2023, we further expanded our role in ensuring access to high quality, reliable and cost-effective prescription therapies. Shaping the future of health care in America We are proud of the progress we made in 2023 on our journey to transform how care is delivered in this country, and of the financial results we achieved. We are building America s health platform, enabling access to high quality, convenient and affordable care that supports individuals in building healthier lives. We launched Cordavis, a whollyowned subsidiary that works directly with pharmaceutical manufacturers to commercialize and/or co-produce biosimilar products. It builds on our history of finding ways to lower drug costs and ensure people have access to the medications they need to stay healthy, especially for high-priced specialty drugs. We expect that Cordavis will support a viable and durable biosimilar market at scale in the United States, a market which is projected to grow to more than $100 billion by 2029. We also announced two exciting new models, CVS CostVantage in CVS Pharmacy and TrueCost in CVS Caremark . CVS CostVantage offers a new approach to the pharmacy reimbursement model that delivers great transparency and simplicity to the system. The new model can create a more sustainable pharmacy market and will ensure that CVS Pharmacy locations continue to be a critical touchpoint for consumers to access affordable health care in their communities. Cash paying patients are expected to begin benefitting from CVS CostVantage in 2024, and it will become available to pharmacy benefit managers (PBMs) in 2025. In closing, I would like to thank our colleagues for their commitment to our purpose and our customers. I would also like to thank you, our stockholders, for believing in us, investing in us and giving us the opportunity to do more for the people we serve. I look forward to another successful year. Sincerely, 292.1 2021 Cash flow from operations in billions of dollars 2023 13.4 16.2 2022 18.3 2021 Diluted EPS in dollars per common share 2023 6.47 2022 3.26 2021 6.02 Adjusted EPS* in dollars per common share Karen S. Lynch President and Chief Executive Officer 2023 2022 April 3, 2024 2021 8.74 9.03 8.34 This annual report contains forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995. Please see the Cautionary Statement Concerning ForwardLooking Statements in the Company s Annual Report on Form 10-K for the fiscal year ended December 31, 2023 (the Form 10-K ), included as part of this Annual Report, for a discussion on forward-looking statements. * FOR ADJUSTED EPS: Adjusted operating income and adjusted earnings per share (EPS) are non-GAAP financial measures. A reconciliation of operating income to adjusted operating income is provided on page 194 of the Form 10-K included in this Annual Report, and a reconciliation of GAAP diluted EPS to Adjusted EPS is provided under the heading Reconciliation in the back pages of this Annual Report. 2023 Annual Report 1
CVS Health is in nearly every community in America, an essential part of where people access care. 120+ 55+ consumers unique digital customers million 85% of the U.S. population lives within 10 miles of a CVS Pharmacy location 2 CVS Health million ~14 million weekly CVS Pharmacy interactions 65,000+ providers across our health care delivery businesses 300,000+ purpose-driven colleagues
We serve more than 35 million people through traditional, voluntary and consumer directed health insurance products and services, including expanding Medicare Advantage offerings and a standalone Medicare Part D prescription drug plan. A leading PBM that offers a full range of innovative solutions to lower drug costs and increase transparency while assisting health plans, employers and government clients in providing clinically appropriate coverage for medications to our members. A leading retail pharmacy chain in the country with over 9,000 community health locations that dispense prescriptions and offer health and wellness products to consumers. A network of more than 200 value-based primary care centers, for adults on Medicare, delivering health care through an innovative model focused on quality of care over volume of services. Superior Assets CVS Health is a trusted brand in health care. Surveys and purchase patterns show that our customers know us, they like us and they trust us to support them throughout their health journeys. With a broad reach and more than 300,000 purpose-driven colleagues, we are committed to shaping the future of health care in America. Our diversified portfolio of businesses and services presents an unmatched opportunity to fundamentally change the way people get and stay healthy. From providing consumers health insurance through our Aetna products, to conveniently serving customers through our CVS Pharmacy community locations, to broadening access to quality care in our primary care and retail health locations, to our in-home evaluations and growing digital presence, we are making health care more connected and convenient. When all of our assets work together, we can do more to lower the total cost of care, improve health outcomes, increase loyalty and improve quality and affordability for the consumers we serve. CVS Healthspire is our new brand that brings together Signify Health , Oak Street Health , MinuteClinic , CVS Caremark and Cordavis . Through this brand, we are signaling our differentiation to provide a connected, payoragnostic, more affordable, consumer-centered health experience across our assets. Transforming health care requires engagement and breadth. No one is better positioned to engage, deliver clinical services and simplify health care than CVS Health. 2023 Annual Report 3
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CVS Shareholder/Stockholder Letter Transcript:

Building a world
of health around
every consumer.
2023 Annual Report

Officer, Director and Stockholder Information
Dear Fellow Stockholders:
Officers
Our more than 300,000 purposedriven colleagues work every day to
build a world of health around every
consumer, improving outcomes,
lowering costs and broadening access
to quality care. We are bringing our
heart to every moment of health for
the people and communities we serve.
In 2023, we made tangible progress to
transform how care is delivered in this
country, bringing together integrated
health solutions that meet the needs of
consumers. We advanced our strategy
and strengthened our position for
continued success in 2024.
Delivering strong performance
through a diversified portfolio
Last year we successfully navigated
a challenging environment
while delivering on our financial
commitments. We grew total revenues
to approximately $358 billion, an
11 percent increase over 2022, and
delivered adjusted operating income
of $17.5 billion* and adjusted earnings
per share of $8.74*. During the year,
we generated $13.4 billion in cash flow
from operations, demonstrating the
power of our business model. This
performance enabled us to return
more than $5 billion to stockholders
through dividend payments and
common stock repurchases.
In the Health Care Benefits segment,
we ended the year with nearly
26 million members, an increase of
1.3 million members versus the prior
year, reflecting increases in the
Commercial and Medicare product
lines, including Individual Exchange
business within the Commercial
product line. We offered our Individual
Exchange products in 12 states in 2023,
and in 2024 we will expand to a total
of 17 states. Our success was driven
by compelling offerings that were
strengthened by CVS Health   assets,
allowing us to create differentiated
value for members.
CVS Health
In the Health Services segment,
we launched a new brand,
CVS Healthspire   , that brings together
our health care delivery, pharmacy
benefit management and health
services solutions. These businesses
will accelerate our ability to transform
health care and to drive superior health
outcomes at lower costs while offering
a seamless consumer experience.
Our ability to consistently deliver
exceptional customer and member
experiences, while making medicine
more affordable, makes CVS Caremark  
a leader in the marketplace. In
2023, CVS Caremark served
approximately 108 million members
and processed 2.3 billion pharmacy
claims on a 30-day equivalent basis.
Our deep understanding of the
practice of pharmacy allows
us to deliver lower costs in the
pharmaceutical marketplace, leading
to better health outcomes.
In the Pharmacy & Consumer
Wellness (PCW) segment, we filled
more than 1.6 billion prescriptions
and administered nearly 30 million
vaccines. We invested in digital
capabilities to help drive productivity
in our business. More than 40 percent
of our CVS Pharmacy   customers are
engaging with us digitally for their
pharmacy and well-being needs. Our
local community presence allows us
to connect millions of people across
different sites of care to improve
health in ways others cannot.
By bringing together the powerful
capabilities of our brands, we can
unlock up to three to four times
more enterprise value when we
engage members in more than one
CVS Health business. Our capabilities
allow us to connect with consumers
in more places     in the community, in
the home and virtually.
Advancing the future of care delivery
We have both the scale to transform
how health care is delivered, and
the ability to personalize care and
coverage for each individual we serve.
Karen S. Lynch
President and
Chief Executive Officer
Thomas F. Cowhey
Executive Vice President and
Chief Financial Officer
Sreekanth K. Chaguturu, M.D.
Karen S. Lynch
President and Chief Executive Officer
In 2023, we made significant progress
on our value-based care delivery
strategy. We broadened our
value-based care capabilities into
the home with the acquisitions of
Signify Health  , which expanded our
reach into consumers    homes with
Signify Health conducting 2.6 million
in-home evaluations over the course of
2023. Over time, we expect to utilize the
strong capabilities of Signify Health in
other businesses, including Individual
Exchange and Medicaid.
Our acquisition of Oak Street Health  
extends our ability to provide primary
care services and gives us momentum
in engaging multi-payor Medicare
Advantage members with
Oak Street Health clinics. In 2023,
there were more than 6 million visits
to MinuteClinic   locations, our retail
health clinics. We also grew our
physician enablement business,
CVS Accountable Care   , which had
approximately $10 billion of managed
spend in 2023 and is expected to grow
to more than 1 million patients in 2024.
We expect these assets to accelerate
our growth and the long-term value
of CVS Health. Together, MinuteClinic
and Oak Street Health makes
CVS Health one of the largest
providers of primary and episodic
care in the United States. Collectively,
we are effectively combining a unique
and integrated platform of capabilities
that lead to high quality of care, lower
costs and better health outcomes.
Beyond engaging consumers, we
believe emerging technologies will
accelerate the transformation in
Executive Vice President and
Chief Medical Officer
David A. Falkowski
Executive Vice President and
Chief Compliance Officer
Katerina Guerraz
Directors
Prem S. Shah
Fernando Aguirre (1) (3) (5)
Sheryl A. Burke
Jeffrey R. Balser, M.D., Ph.D. (1) (2)
Executive Vice President, Chief
Pharmacy Officer and President of
Pharmacy & Consumer Wellness
Senior Vice President,
Corporate Social Responsibility
and Chief Sustainability Officer
James D. Clark
Senior Vice President     Controller
and Chief Accounting Officer
Carol A. DeNale
Senior Vice President and Treasurer
Executive Vice President and
Chief Strategy and Enterprise
Affairs Officer
Laurence F. McGrath
Laurie P. Havanec
Colleen M. McIntosh
Executive Vice President and
Chief People Officer
J. David Joyner
Executive Vice President and
President of CVS Caremark  
Brian A. Kane
Executive Vice President and
President of Aetna  
Samrat S. Khichi
Executive Vice President, Chief
Policy Officer and General Counsel
Tilak Mandadi
Executive Vice President,
Chief Digital, Data, Analytics
and Technology Officer
Michelle A. Peluso
Executive Vice President and Chief
Customer and Experience Officer
Senior Vice President, Business
Development and Investor Relations
Senior Vice President,
Corporate Secretary and
Chief Governance Officer
Thomas S. Moffatt
Vice President, Assistant Secretary
and Senior Legal Counsel
Yimin Zhang
Vice President     Tax
OFFICERS    CERTIFICATIONS
The Company has filed the required
certifications under Section 302 of the
Sarbanes-Oxley Act of 2002 regarding the
quality of our public disclosures as Exhibits
31.1 and 31.2 to our Annual Report on Form
10-K for the fiscal year ended December 31,
2023. After our 2023 annual meeting of
stockholders, the Company filed with the New
York Stock Exchange the CEO certification
regarding its compliance with the NYSE
corporate governance listing standards as
required by NYSE Rule 303A.12(a).
Former Chairman and
Chief Executive Officer,
Chiquita Brands International, Inc.
President and
Chief Executive Officer,
Vanderbilt University Medical
Center
C. David Brown II (3) (4) (5)
Partner and Former Member of the
Executive Committee, Nelson
Mullins Riley & Scarborough LLP
Alecia A. DeCoudreaux (2) (4)
President Emerita, Mills College
at Northeastern University
and Former Executive, Eli Lilly
and Company
Nancy-Ann M. DeParle (2) (4) (5)
Managing Partner and
Co-Founder, Consonance
Capital Partners, LLC and
Former Deputy Chief of Staff
and Director of the White
House Office of Health Reform
Roger N. Farah (3) (4) (5)
Independent Chair of the Board,
CVS Health Corporation and
Former Executive, Tory Burch
and Ralph Lauren
Anne M. Finucane (1) (3)
Chair of the Board,
Rubicon Carbon and
Former Vice Chairman,
Bank of America Corporation
J. Scott Kirby (2)
Chief Executive Officer,
United Airlines Holdings, Inc.
Edward J. Ludwig (1)
Former Chairman and
Chief Executive Officer,
Becton, Dickinson & Company
Karen S. Lynch (5)
President and Chief Executive
Officer, CVS Health Corporation
Michael F. Mahoney (3)
Chairman, Chief Executive
Officer and President,
Boston Scientific Corporation
Jean-Pierre Millon (1) (2)
Former President and
Chief Executive Officer,
PCS Health Systems, Inc.
Mary L. Schapiro (1) (2)
Vice Chair for Global Public
Policy and Special Advisor to
the Founder and Chairman,
Bloomberg L.P. and Former
Chairman of the U.S. Securities
and Exchange Commission
Committee Membership
(as of April 2024)
(1) Audit Committee
(2)  Health Services and
Technology Committee
(3)  Management Planning and
Development Committee
(4)  Nominating and Corporate
Governance Committee
(5) Executive Committee
Michael T. Pykosz
Executive Vice President and
President of Health Care Delivery
Stockholder Information
Corporate Headquarters
CVS Health Corporation
One CVS Drive
Woonsocket, RI 02895
(401) 765-1500
Annual Stockholders    Meeting
May 16, 2024
virtualshareholdermeeting.com/
CVS2024
Stock Market Listing
The New York Stock Exchange
Symbol: CVS
Transfer Agent and Registrar
Questions regarding stock holdings, certificate replacement/
transfer, dividends and address changes should be
directed to:
EQ Shareowner Services
P.O. Box 64874
St. Paul, MN 55164-0874
Toll-free: (877) CVS-PLAN (287-7526)
International: +1 (651) 450-4064
Email: stocktransfer@eq-us.com
Website: shareowneronline.com
Direct Stock Purchase/Dividend Reinvestment
Program
Shareowner Services Plus PlanSM provides a convenient and
economical way for you to purchase your first shares or
additional shares of CVS Health common stock. The program
is sponsored and administered by EQ Shareowner Services.
For more information, including an enrollment
form, please contact EQ Shareowner Services at
(877) 287-7526.
Annual Report on Form 10-K and
Other Company Information
The Company   s Annual Report on Form 10-K will
be sent without charge to any stockholder upon
request by contacting:
CVS Health Corporation
Investor Relations Office
One CVS Drive, MC 1008
Woonsocket, RI 02895
(800) 201-0938
In addition, financial reports and recent filings
with the Securities and Exchange Commission,
including our Form 10-K, as well as other
Company information, are available via the
Internet at investors.cvshealth.com.

Total revenues
in billions of dollars
2023
357.8
322.5
2022
health care. We are embedding
technology, data and analytics
in every aspect of our business.
The effects will be positive and
profound, and we   re already seeing
significant value, while preserving
the importance of the human
connection in health care.
Our CVS Caremark TrueCost model
offers clients pricing that reflects the
true net cost of prescription drugs
and offers consumers confidence that
their pharmacy benefit is providing the
best possible price. This new model is
expected to be offered to payors for
commercial clients in 2025.
Driving pharmacy innovation for
greater access and affordability
We are committed to continuously
innovating to improve the choices
we offer our customers, health plan
clients and consumers. In 2023, we
further expanded our role in ensuring
access to high quality, reliable and
cost-effective prescription therapies.
Shaping the future of health care
in America
We are proud of the progress we
made in 2023 on our journey to
transform how care is delivered in
this country, and of the financial
results we achieved. We are building
America   s health platform, enabling
access to high quality, convenient
and affordable care that supports
individuals in building healthier lives.
We launched Cordavis,    a whollyowned subsidiary that works directly
with pharmaceutical manufacturers
to commercialize and/or co-produce
biosimilar products. It builds on our
history of finding ways to lower drug
costs and ensure people have access
to the medications they need to stay
healthy, especially for high-priced
specialty drugs. We expect that
Cordavis will support a viable and
durable biosimilar market at scale in
the United States, a market which
is projected to grow to more than
$100 billion by 2029.
We also announced two exciting
new models, CVS CostVantage    in
CVS Pharmacy   and TrueCost    in
CVS Caremark  . CVS CostVantage
offers a new approach to the
pharmacy reimbursement model
that delivers great transparency and
simplicity to the system. The new
model can create a more sustainable
pharmacy market and will ensure that
CVS Pharmacy locations continue to
be a critical touchpoint for consumers
to access affordable health care in their
communities. Cash paying patients
are expected to begin benefitting
from CVS CostVantage in 2024, and
it will become available to pharmacy
benefit managers (PBMs) in 2025.
In closing, I would like to thank our
colleagues for their commitment
to our purpose and our customers.
I would also like to thank you, our
stockholders, for believing in us,
investing in us and giving us the
opportunity to do more for the people
we serve. I look forward to another
successful year.
Sincerely,
292.1
2021
Cash flow from operations
in billions of dollars
2023
13.4
16.2
2022
18.3
2021
Diluted EPS
in dollars per common share
2023
6.47
2022
3.26
2021
6.02
Adjusted EPS*
in dollars per common share
Karen S. Lynch
President and Chief Executive Officer
2023
2022
April 3, 2024
2021
8.74
9.03
8.34
This annual report contains forward-looking
statements as defined by the Private Securities
Litigation Reform Act of 1995. Please see the
   Cautionary Statement Concerning ForwardLooking Statements    in the Company   s Annual
Report on Form 10-K for the fiscal year ended
December 31, 2023 (the    Form 10-K   ), included
as part of this Annual Report, for a discussion
on forward-looking statements.
*  FOR ADJUSTED EPS: Adjusted operating
income and adjusted earnings per share
(EPS) are non-GAAP financial measures. A
reconciliation of operating income to adjusted
operating income is provided on page 194 of
the Form 10-K included in this Annual Report,
and a reconciliation of GAAP diluted EPS
to Adjusted EPS is provided under the heading
   Reconciliation    in the back pages of this
Annual Report.
2023 Annual Report
1

CVS Health   is in nearly every community in America, an essential part of where people access care.
120+
55+
consumers
unique digital
customers
million
85%
of the U.S. population
lives within 10 miles of a
CVS Pharmacy   location
2
CVS Health
million
~14
million
weekly CVS Pharmacy
interactions
65,000+
providers across
our health care
delivery businesses
300,000+
purpose-driven
colleagues

We serve more than
35 million people through
traditional, voluntary and
consumer directed health
insurance products and
services, including expanding
Medicare Advantage offerings
and a standalone Medicare
Part D prescription drug plan.
A leading PBM that offers
a full range of innovative
solutions to lower drug costs
and increase transparency
while assisting health plans,
employers and government
clients in providing clinically
appropriate coverage for
medications to our members.
A leading retail pharmacy
chain in the country with
over 9,000 community
health locations that
dispense prescriptions and
offer health and wellness
products to consumers.
A network of more than
200 value-based primary
care centers, for adults
on Medicare, delivering
health care through an
innovative model focused
on quality of care over
volume of services.
Superior Assets
CVS Health   is a trusted brand in health care.
Surveys and purchase patterns show that our customers know us, they like us and they trust
us to support them throughout their health journeys. With a broad reach and more than 300,000
purpose-driven colleagues, we are committed to shaping the future of health care in America.
Our diversified portfolio of
businesses and services presents
an unmatched opportunity to
fundamentally change the way
people get and stay healthy.
From providing consumers
health insurance through our
Aetna   products, to conveniently
serving customers through our
CVS Pharmacy   community
locations, to broadening access
to quality care in our primary care
and retail health locations, to our
in-home evaluations and growing
digital presence, we are making
health care more connected
and convenient.
When all of our assets work
together, we can do more to lower
the total cost of care, improve
health outcomes, increase
loyalty and improve quality and
affordability for the consumers
we serve.
CVS Healthspire    is our new brand
that brings together Signify Health  ,
Oak Street Health  , MinuteClinic  ,
CVS Caremark   and Cordavis   .
Through this brand, we are
signaling our differentiation to
provide a connected, payoragnostic, more affordable,
consumer-centered health
experience across our assets.
Transforming health care requires
engagement and breadth.
No one is better positioned to
engage, deliver clinical services
and simplify health care than
CVS Health.
2023 Annual Report
3



shareholder letter icon 4/5/2024 Letter Continued (Full PDF)
 

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