Express Scripts says current business climate to negatively impact FY13

theflyonthewall.com

Express Scripts previously announced that it will provide 2013 guidance in conjunction with Q4 results. In addition to the expected claims loss from the UnitedHealthcare book of business throughout the year, the company believes its 2013 outlook will also be influenced by the current weak business climate and the unemployment outlook. These factors would likely result in significant in-group member attrition, continued low utilization rates and increased client demands and expectations. Express Scripts expects to grow earnings per share and EBITDA in 2013. However, given the factors discussed above, the Company views current consensus estimates for 2013 as overly aggressive. "Despite near-term headwinds and a challenging macroeconomic environment, we remain confident we are well-positioned for continued growth", stated Paz. "We have historically managed expenses rigorously while investing toward the future, focusing on innovation, service and optimal clinical outcomes, and will continue to do so, even when faced with challenges on other fronts."

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