May 1 (Reuters) - CVS Health Corp ( CVS ) slashed its

annual profit forecast and missed Wall Street estimates for

first-quarter earnings on Wednesday, as elevated demand for

non-urgent procedures increased medical costs at its health

insurance business.

The U.S. healthcare giant cut its per-share adjusted

earnings forecast for 2024 to at least $7.00 from at least

$8.30, adding it anticipates the surge in medical procedures at

its unit that houses health insurer Aetna to persist.

U.S. health insurers have had to contend with rising medical

costs over the past few quarters following higher demand for

procedures, especially among older adults, that were delayed

during the pandemic.

CVS in February reported an increase in costs in its Aetna

Medicare Advantage plans for the fourth quarter, citing a rise

in hip and knee surgeries, medical services related to the eyes,

dental work and vaccinations including the RSV shot.

The company's health care benefits segment, which houses the

Aetna unit, recorded medical cost ratio - the percentage of

premiums spent on healthcare - of 90.4% for the first quarter,

compared with 84.6% a year earlier, and above the average of

analysts' estimates of 88.43%, according to LSEG data.

On an adjusted basis, the company reported a profit of $1.31

per share for the three months ended March 31, below analysts'

average estimate of $1.69.

(Reporting by Christy Santhosh and Leroy Leo in Bengaluru;

Editing by Sriraj Kalluvila)