...company is doing at that moment. Two areas that can be looked into is that of ratio analysis which focuses on liquidity and profitability ratios. Team D chose to take the American of CVS to examine and compare it to that of its competitor Walgreens to analyze its growth within its market. Comparative Profitability Comparative analysis can be completed in a number of different bases. Intercompany basis compares the financial relationship of CVS with Walgreens which is one of the competing companies (Kimmel, Weygandt, & Kieso, 2011). As shown in figure 3, 1, we analyze the data from the published financial statements from each of the individual companies. CONDENSED INCOME STATEMENTS (in millions) | | CVS | Walgreens | | Dollars | Percent | Dollars | Percent | Net sales | $139,367.00 | 100.00% | $76,362.00 | 100.00% | Cost of goods sold | $114,000.00 | 81.80% | $54,823.00 | 71.79% | Gross profit | $25,367.00 | 18.20% | $21,539.00 | 28.21% | Selling and administrative expenses | $16,568.00 | 11.89% | $17,992.00 | 23.56% | Income from operations | $9,069.00 | 6.51% | $3,547.00 | 4.64% | Other expenses and revenues (including income taxes) | $3,033.00 | 2.18% | $1,526.00 | 2.00% | Net Income | $6,036.00 | 4.33% | $2,021.00 | 2.65% | Figure 1.1: Condensed income statements from CVS and Walgreens shows a side by side comparative...
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...(max. 250 words) interpreting selected liquidity ratios. 1. Companies Last name begins with the letters o A through M: CVS o N through Z: Eli Lilly You can work individually or in a group of not more than 3. If you work in a group, one group member must send the Academic Coach, Ms. Linda Anderson, a message stating who is in the group, AND the name of the member who would submit the assignment. THE SUBMISSION FROM THE DESIGNATED MEMBER ALONE WILL BE GRADED. If your last names fall in both categories (eg. Anderson and Surysekar), your message to Ms. Anderson should also include your choice of the company (CVS or Eli Lilly). If group work, both members will get the same score for this assignment. 2. Ratios to compute and interpret (only the following 4 liquidity ratios, defined in page 704 of the text): Current ratio Current cash debt coverage ratio Inventory turnover Accounts receivable turnover 3. Time period: Years 2009, 2010, 2011 4. Source: Company Annual Report CVS o o o Reinventing Pharmacy for Better Health CVS Annual Report Pharmacy Innovation In a Changing Health Care Environment Eli Lilly o o o 2009 Annual Report 2011 Annual Report Getting There: The Lilly Promise 5. Requirements: a. Required ratios in the following table: Your name: ________________ Company name: CVS or Eli Lilly RATIO CURRENT RATIO CURRENT CASH DEBT COVERAGE RATIO INVENTORY TURNOVER ACCOUNTS RECEIVABLE TURNOVER 2011 ...
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...Feinstein Graduate School Research Report: Company Resource Analysis A Research Project Submitted in Partial Fulfillment of the Requirements for the MBA Degree Course: MGMT6800 Business Policy and Strategy Professor: Trent Theroux Po Chiao Huang May 1, 2014 According to my research on company resource analysis in the drug store industry, I will select the CVS Caremark Corporation as my study company. Question 1: Whether the company's present strategy working? CVS pharmacy services business strategy centers on providing their customer and client high quality and innovative pharmaceutical solutions, while assisting their member managing overall health care costs by leveraging CVS expertise in core PBM services. (Form -10k) (1) Moreover, the retail pharmacy business strategy, base of the CVS pharmacy services model to maintain successful growth they focus on new store development by expanding the number of retail pharmacy stores and retail stores range in size in order to provide better service, help client lowers overall health care costs and improve health outcomes. (1) How these strategic working? Look into the financial performance in the Appendix 1, table 1. CVS compare well on these profitability ratios with industry averages. Most of ratios are better than the industry averages. Ventureline (2). Study the CVS’s financial report I found the company is “Solid and significant growth.” According to CVS Caremark Annual Report 2013 (3), the financial highlights...
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...Chapter One Introdution: Fundamentals of Business Writing I. The major differences between school writing and business writing School writing, typically in the form of essays, is aimed at impressing the audience, i.e. examiners. To score high, student writers have to use fairly complicated vocabulary and sentences in their written work. Business writers, however, mainly aim to communicate information to their colleagues, clients, and other associated parties. They are relatively free to use what language that can get the business done efficiently and effectively. II. Seven steps in the process of wring 1. clarifying your aim 2. identifying your readers 3. making a general plan 4. sketching a synopsis (大纲) 5. drafting your text 6. putting the draft aside 7. revising and editing ★ Writing is a recursive and creative process. The detailed plan is not adhered to in actual writing. Writers frequently come up with ideas that are activated in the process of writing. Writers read the text they have already produced to help generate more ideas. In effect, the writing process is no linear at all but is characterized by recursive ness and creativeness. III. Three principles of business writing 1. Clarity – means setting your message across clearly. (See detailed information on page 4) 2. Consideration – good business writers take their readers’ needs, problems, and reactions to the writing into consideration. And they...
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...read it. While believing the case to be very real, lives are worth saving. The following article is about what CVS accomplished in Oct. 1 2014, according to Murphy, T., Felberbaum, M. (2014) “CVS Caremark, America's second-largest drugstore chain, is quitting selling tobacco products at its more than 7,600 U.S. drugstores as it focuses more on providing health care. The Massachusetts-based company said Wednesday that it will phase out cigarettes, cigars, and chewing tobacco by Oct. 1, a move that will cost about $2 billion in annual revenue but won't affect its 2014earnings forecast. CVS Caremark leaders say removing tobacco will help them grow the company's business of working with doctors, hospitals and other care providers to improve customers' health.” Moreover, as of February 2015 CVS sales increased according to Forbes – “CVS, which stopped selling cigarettes and related products in September, previously generated an estimated $2 billion in annual tobacco sales. However, sales in the pharmacy segment alone in the fourth quarter jumped 21.7 percent to $24 billion buoyed by an early flu season with an ineffective vaccine that caused flu victims to search CVS for other treatment options. CVS also saw increased paying customers under the Affordable Care Act.” As the population age’s smokers and non-smokers need convince and places to seek a medical professional. The CVS case compared to the Smokers are good for the economy case is an exhaustive comparative analysis sort of view...
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...Central District of California announced that CVS Pharmacy, Inc. was fined $77 million (including $75 million civil penalty and the forfeit of $2.5 million profit) for its unlawful sales of pseudoephedrine, a regulated drug, to criminals between September 2007 and November 2008. During that period, the company failed to comply with laws that limit the quantity of the drug sold to individual customers. The sales, according to the Attorney’s Office, directly caused an increase the production of methamphetamine in California. CVS Pharmacy, Inc (“CVS/pharmacy”) is the retail pharmacy subsidiary of CVS Caremark Corporation (hereinafter collectively referred to as “CVS”). In addition to retail pharmacy, CVS also runs pharmacy services, retail clinics, and mail-order pharmacy businesses. In fiscal year 2010, the company had net revenues of more than $96 billion and a net profit of more than $3 billion. Selected financial data by business segments (pharmacy services, retail pharmacy, and corporate) is shown in Exhibit 1. CVS was the 18th largest company on the Fortune 500 according to its 2010 annual report and CVS/pharmacy is one of the largest retail pharmacy chains in the United States. As of December 31, 2010, it operates more than 7,100 retail pharmacy stores in the United States. Exhibit 2 shows the number of CVS/pharmacy stores in each state (as of December 31, 2009). Today’s CVS (listed on New York Stock Exchange, ticker “CVS”, web site: http://www.cvs.com/) is the results...
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... the SEC released the litigation report involving CVS...
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...FORM 10-K Annual Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the fiscal year ended December 31, 2014 OR Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the transition period from to Commission file number 001-01011 CVS HEALTH CORPORATION (Exact name of Registrant as specified in its charter) Delaware (State or other jurisdiction of incorporation or organization) One CVS Drive, Woonsocket, Rhode Island (Address of principal executive offices) 05-0494040 (I.R.S. Employer Identification No.) 02895 (Zip Code) (401) 765-1500 (Registrant’s telephone number, including area code) Securities registered pursuant to Section 12(b) of the Exchange Act: Common Stock, par value $0.01 per share Title of each class New York Stock Exchange Name of each exchange on which registered Securities registered pursuant to Section 12(g) of the Exchange Act: None Indicate by check mark if the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act. Yes No Indicate by check mark if the registrant is not required to file reports pursuant to Section 13 or Section 15(d) of the Act. Yes No Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports) and (2)...
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...CVS Health is the United States’ largest pharmacy health care provider. Their mission is to reinvent pharmacy to having a more active, supportive role in each person’s unique health experience and in the greater health care environment—from advising on prescriptions to helping manage chronic and specialty conditions to providing quality walk-in medical care and pharmacy benefits management. CVS Health opened its first store in 1963 and was known as Consumer Value Stores. They then sold health and beauty products. The company was founded in Lowell, Mass. by brothers Stanley and Sidney Goldstein, and partner Ralph Hoagland. Throughout the 60s they grew to 17 stores and opened their first store with a pharmacy department. During the 1970s, they grew to over 200 stores, acquiring stores from Clinton Drug & Discount and Mack Drugstores; they also hit $100 million in annual sales in 1974. In the 1980s they broke ground on the store support center in Woonsocket, RI, which still in 2015 is where their company headquarters belongs. By the end of the 1980s they had nearly 750 stores and had reached $1.6 billion in sales. In the 90s they had acquired more than 3200 stores from Arbor Drugstores, People’s Drug, and “the largest acquisition in the history of the U.S. retail pharmacy industry” from Pevco. They now claimed stores in the Midwest along with the east coast and were breaking ground in the south. In this time frame they also launched the program known as Pharmacare, a...
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...This assignment is to compute and a write a summary (max. 250 words) interpreting selected liquidity ratios. 1. Companies Last name begins with the letters A through M: CVS N through Z: Eli Lilly You can work individually or in a group of not more than 2. If you work in a group, you must choose the members, and both must send the Academic Coach, Ms. Linda Anderson, a message stating so, AND the name of the member who would submit the assignment. THE SUBMISSION FROM THE DESIGNATED MEMBER ALONE WILL BE GRADED. If your last names fall in both categories (eg. Anderson and Surysekar), your message to Ms. Anderson should also include your choice of the company (CVS or Eli Lilly). If group work, both members will get the same score for this assignment. 2. Ratios to compute and interpret (only the following 4 liquidity ratios, defined in page 704 of the text): Current ratio Current cash debt coverage ratio Inventory turnover Accounts receivable turnover 3. Time period: Years 2009, 2010, 2011 4. Source: Company annual report CVS http://media.corporate-ir.net/media_files/IROL/99/99533/CVSCaremark2011_AR.pdf http://media.corporate-ir.net/media_files/irol/99/99533/2010_Annual_Report.pdf http://investors.cvscaremark.com/~/media/Files/C/CVS-IR/reports/cvs-ar-2009.pdf Eli Lilly http://files.shareholder.com/downloads/LLY/2732114219x0x548541/E8FFDA89-5EC1-4D08-AB37-CD85F4C0863D/English.PDF http://files.shareholder.com/downloa...
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... the executive team of CVS includes one President and twelve Vice Presidents. This team reports to the Board, which including nine directors. , CVS has established a management structure that is aligned to support the company's goal of providing quality services and quality products. Five Vice Presidents are in charge of products and services relevant functions and six are supervising supporting functions, such as accounting and human resource. Compared with the organizational structure in 2011, CVS has nominated its new CEO and changed six Vice Presidents. (The changes are highlighted in red in Figure 1.) The former CEO Thomas M. Ryan was also Chairman of Board. However, in 2013, CVS separated the CEO from Chairman of Board. Also, Helena Foulkes, who has been with CVS for over 15 years, has started a new position in Chief Health Care Strategy since 2011. This shows CVS’s attempt to intensify its ability of dealing with the ever-changing health care market demand and policies as well as its ambitious to keep leading the market. Customers and Services CVS’s business is comprised of Pharmacy Services segment, Retail pharmacy segment, and corporate segment. The Pharmacy Service provides a full range of pharmacy benefit management (“PBM”) services including mail order pharmacy services, specialty pharmacy services, plan design and administration, formulary management and claims processing. In order to stay competitive in the retail drug industry, CVS has been investing considerable...
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...HEALTH RESEARCH AGENDA SETTING IN REGION 2 Center for Health Development for Cagayan Valley (CHD-CV) Department of Science and Technology (DOST) National Economic and Development Authority (NEDA) FOREWORD The current thrust of the Department Of Health conceptualized by no less than the Hon. Secretary Himself, Dr. Francisco T. Duque, III, coined as FOURmulaONE aims to “undertake critical reforms with SPEED, PRECISION and EFFECTIVE COORDINATION directed at improving the efficiency, effectiveness and equity of the Philippine Health System in a manner that is felt and appreciated by the Filipinos, especially the poor”. Now, more than ever, the health of the Filipino people should not be the sole responsibility of DOH through CHD-CV (as initial chair of the Regional R&D Coordinating Council of the consortium) rather the unified efforts of allied agencies/institutions, NGOs and most importantly, the individual himself. Unfortunately, many areas in the country, Region 02 included, have little or no access to information that affect the environment and people’s health. As a consequence, people live their lives without the benefit of some precautions that they may observe in order to safeguard their well-being. It is in this light that through the stewardship of PCHRD, through its Executive Director Jaime C. Montoya and DOST Regional office through Dir. Rustico B. Santos, DOHCHD-CV through Dir. Purita S. Danga and her Asst. Dir.,Dr. Tita N. Callueng; NEDA. Dir Milagros Rimando; other...
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...Department of Sports in a Store I manage my department with full autonomy. My team: Hire, train, and manage my sales assistants’ team on a daily basis and help them to achieve their professional targets. My performance: Pilot my activities in terms of turnover, margin, expense and profitability, launch the commercial operations. My products: Control the stock and guarantee the budget of the stock rotation. Work directly in a store’s department with my team, with the best layout to welcome our customers. My customers: With my team, provide professional sales service, technical sports and product advice to customers. Store operation: Work with my store manager, my colleagues and I will guarantee the store daily operation jobs. Please send your CV and a cover letter to chuan.xu@decathlon.com If you want to find opportunities, join us!!!...
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...May 30, 2016 Professor Arnold Harvey Abstract Learning Team C has chosen three organizations from three different industries. Team C has chosen CVS Health for service, Honda Motor Co., LTD for Manufacturing, and Starbucks Coffee for retail. Team C will calculate and explain the current ratio, quick ratio, net profit margin, asset utilization, and financial leverage. Team C will also discuss the DuPont Method. An analysis of the differences in the industries, the various conventions and how they affect these organizations, ISAB basis for accounting (IFRS) and FASB or GAAP accounting principles, the strategies for working capital for all three organizations, and analyzing the financial ratios and interpreting what they mean for each organization as well as future forecasts. Financial Statement Interpretation Differences in the Industries CVS Health operates in two segments: Pharmacy Services and Pharmacy Retail. While Pharmacy Retail may be what it is most widely known for, it is Pharmacy Services that is the most profitable segment for the health company. The Pharmacy Services division serves primarily employers, the managed care plan for Medicaid, and pharmaceutical contracts. CVS Health, the most integrated pharmacy chain in the United States, includes nearly 8,000 drugstores and over 1,000 clinics. Additionally, CVS Health has expanded their reach in both these fronts with the acquisition of Omnicare and Target locations, and the integration of their innovative...
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...CVS Web Strategy Case Analysis Brandon Matthews 9/30/2009 1 Overview Introduction Consumer Value Stores, better known as CVS opened its doors in 1963 as a health and beauty supply store in Massachusetts. Since then it has evolved to one of the largest retail pharmacy chains in North America. In 1999, CVS was faced with a new business strategy. It appeared that there was a lot of traffic on Wall Street involving online pharmacies. The consumer and stakeholder demand for a strategic web presence for companies, with no exception of pharmacy giants like CVS, pressured the executives to implement a business strategy of incorporating its pharmaceutical retail services with the web. Helena Foulkes, Vice President of Marketing at CVS, was charged with ensuring that this new business strategy succeeded. CVS acquired a web company, Soma.com whose entire business strategy was similar to what CVS was attempting to achieve. Foulkes was faced with critical strategic challenges in transforming their new Information Technology (IT) initiative, Soma.com, to CVS.com. In this paper, we will introduce the retail pharmacy industry and its protagonists, achieve a bird’s eye view of CVS’s organizational structure, understand who CVS’s customers and competitors are, introduce the term Alignment Link in terms of overall strategy, implement the SWOT analysis tool to gauge ...
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