Express Scripts Lifts 2017 Adj. EPS View

(RTTNews) - Express Scripts Holding Company (ESRX) increased its consolidated 2017 full-year adjusted earnings per share guidance range of $6.97 to $7.05 to $7.00 to $7.08, which represents growth of 10% over consolidated 2016 adjusted EPS results at the midpoint of the range. Analysts polled by Thomson Reuters expect the company to report earnings of $7.01 per share for fiscal year 2017. Analysts' estimates typically exclude special items.

The Company narrowed its previously issued consolidated 2017 adjusted EBITDA guidance from a range of $7.350 billion to $7.470 billion to a range of $7.370 billion to $7.450 billion, which maintains the midpoint of the range and represents growth of 2% over consolidated 2016 adjusted EBITDA results.

The Company expects 2017 full-year total adjusted claims for its Core business to be in the range of 1,158 million to 1,172 million, which is flat over Core 2016 total adjusted claims at the midpoint of the range. The Company expects Core 2017 full-year adjusted EBITDA guidance in the range of $4,910 million to $4,970 million, which represents growth of 3% over Core 2016 adjusted EBITDA results at the midpoint of the range.

The Company anticipates achieving adjusted earnings per diluted share for 2018 in the range of $7.67 to $7.87, representing growth of 9% to 12% from the midpoint of updated 2017 adjusted EPS guidance range.

For fiscal year 2018, the company expects revenue of $99 billion - $102 billion, and core revenue of $80.50 billion - $83.00 billion.

Wall Street currently is looking for fiscal year 2018 earnings of $7.65 per share on annual revenues of $101.3 billion.

The Company's enterprise value initiative is currently estimated to cost approximately $600 million to $650 million and to deliver cumulative savings of nearly $1.2 billion by 2021. The Company's 2018 full-year guidance includes an estimated contribution of $65 million to $75 million in expense savings affecting the Core and consolidated businesses. This initiative is expected to help the Company achieve its targeted compounded annual EBITDA growth rate for the Core business from 2017-2020 of 2% to 4% and in 2018 will begin to drive significant value to all of its patients and clients.