CVS Health hiked its 2025 forecast above Wall Street’s expectations after improving Medicare benefits contributed to a better-than-expected first quarter.

The health care giant said Thursday that it also got a boost from better star ratings for its Medicare Advantage plans, which are privately run versions of the federal government coverage program. CVS Health and other health insurance providers have been struggling for several quarters now with rising costs from their Medicare Advantage customers. The company’s report Thursday comes a few weeks after rival UnitedHealth slashed its 2025 forecast after dealing with a bigger-than-expected spike in care use.