Medco 2Q profit rises 14 percent on new business

[July 22, 2010]  NEW YORK (AP) -- Pharmacy benefits manager Medco Health Solutions Inc. says its net income rose 14 percent in the second quarter as it did more business with its newest clients and drug prices increased.

The Franklin Lakes, N.J., company says it earned $356.9 million, or 77 cents per share. That's up from $312.1 million, or 64 cents per share, a year ago. Excluding one-time costs, Medco says it earned 83 cents per share.

Analysts expected 79 cents per share, according to Thomson Reuters.

Revenue rose 10 percent to $16.41 billion from $14.93 billion. Analysts expected $16.21 billion. The company handled 238.4 million prescriptions during the quarter.

Medco, the largest U.S. pharmacy benefits manager, said its annual profit will reach the high end of its previous expectations.

[Associated Press]

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