CVS names David Joyner as new CEO

CVS Health on Friday named longtime executive David Joyner as president and CEO, replacing Karen Lynch, who stepped down from her position in agreement with the company’s board of directors. 

Joyner will take over as CEO, effective immediately. 

The move comes as the Woonsocket, R.I.-based retailer continues to struggle on delivering higher profits and improved stock performance.

Joyner has served as executive vice president, CVS Health, and president, CVS Caremark. He led the pharmacy services business, which provides solutions to employers, health plans and government entities and serves approximately 90 million members through Caremark, CVS Specialty, and other areas. 

Joyner has 37 years of healthcare and pharmacy benefit management experience, and has also served on the boards of several private-equity-backed healthcare companies. He began his career at Aetna as an employee-benefit representative before joining Caremark Prescription Services as a regional sales manager. He then served as executive vice president of sales and account services at CVS Caremark and executive vice president of sales and marketing at CVS Health.

“The Board believes this is the right time to make a change, and we are confident that David is the right person to lead our company for the benefit of all stakeholders, including customers, employees, patients, and shareholders,” said Chairman of the Board Roger Farah, who will now be executive chairman.

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Farah added: “The Board also recognizes the many contributions Karen made to our company, both during her tenure at Aetna and then as President and CEO of CVS Health. We are grateful for her consistent, customer-focused leadership, especially during the COVID-19 pandemic when our pharmacies provided needed tests and vaccines. We also appreciate her work to advance CVS Health’s modernization and transformation to become a diversified, connected, technology-driven health care company, allowing us to do even more for the people we are privileged to serve.”

Last month, CVS executives—including Lynch—met with a major shareholders to discuss the company’s deficits and a severely depressed stock price. A day later, the retailer announced that it would lay off some 2,900 workers, primarily in corporate roles, in an effort to slash costs.

In May, CVS lowered its outlook for profit growth in 2024, citing ongoing pressures in the healthcare benefits segment of its business. In the first quarter, the company said its overall operating income fell 34.1%, to about $2.27 billion.

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A few months later, in August, the retail pharmacy giant announced that it would slash $2 billion in expenses over several years.