Top-News
Cardinal Health Reports Second Quarter Fiscal Year 2025 Results and Raises Fiscal Year 2025 Outlook
- Revenue decreased 4% to $55.3 billion; revenue increased 16% excluding the impact of the previously communicated large customer contract expiration
- GAAP1 operating earnings were $549 million; GAAP diluted EPS was $1.65
- Non-GAAP operating earnings increased 9% to $635 million, driven by the Pharmaceutical and Specialty Solutions segment; non-GAAP diluted EPS increased 2% to $1.93
- Fiscal year 2025 non-GAAP EPS guidance2 raised to $7.85 to $8.00, from $7.75 to $7.90
- Company announces the completion of its acquisition of 73% ownership of GI Alliance
DUBLIN, Ohio, Jan. 30, 2025 /PRNewswire/ -- Cardinal Health (NYSE: CAH) today reported second quarter fiscal year 2025 revenues of $55.3 billion, a decrease of 4% from the second quarter of fiscal year 2024. Second quarter revenue increased 16% excluding the impact of the previously communicated large customer contract expiration. Second quarter GAAP operating earnings increased 9% to $549 million and GAAP diluted earnings per share (EPS) were $1.65. Second quarter non-GAAP operating earnings increased 9% to $635 million, driven by the Pharmaceutical and Specialty Solutions segment. Non-GAAP diluted EPS increased 2% to $1.93, due to an increase in non-GAAP operating earnings and a lower share count, offset in part by an increase in interest and other expense due to financing impacts related to the recent acquisitions.
"We delivered strong second quarter financial results while taking significant strategic and operational actions to position us for future growth," said Jason Hollar, CEO of Cardinal Health. "Led by robust demand across our Pharmaceutical and Specialty Solutions segment, we are again pleased to raise our fiscal 2025 enterprise guidance."
Hollar added, "We are also pleased to announce the closing of our acquisition of a majority position in GI Alliance. GI Alliance, along with our recently completed Integrated Oncology Network transaction in support of our Navista oncology platform, enables our continued specialty growth and delivers a greater value proposition for providers and patients."
Q2 FY25 summary
| | Q2 FY25 | | Q2 FY24 | | Y/Y |
| Revenue | $55.3 billion | | $57.4 billion | | (4) % |
| Operating earnings | $549 million | | $505 million | | 9 % |
| Non-GAAP operating earnings | $635 million | | $585 million | | 9 % |
| Net earnings attributable to Cardinal Health, Inc. | $400 million | | $368 million | | 9 % |
| Non-GAAP net earnings attributable to Cardinal Health, Inc. | $468 million | | $464 million | | 1 % |
| Effective Tax Rate | 21.4 % | | 27.9 % | | |
| Non-GAAP Effective Tax Rate | 21.4 % | | 21.4 % | | |
| Diluted EPS attributable to Cardinal Health, Inc. | $1.65 | | $1.50 | | 10 % |
| Non-GAAP diluted EPS attributable to Cardinal Health, Inc. | $1.93 | | $1.89 | | 2 % |
Segment results
Pharmaceutical and Specialty Solutions segment
| | Q2 FY25 | | Q2 FY24 | | Y/Y |
| Revenue | $ 50.8 billion | | $ 53.2 billion | | (4) % |
| Segment profit | $ 531 million | | $ 495 million | | 7 % |
Second quarter revenue for the Pharmaceutical and Specialty Solutions segment decreased 4% to $50.8 billion. Second quarter revenue increased 17% excluding the impact of the customer contract expiration, driven by brand and specialty pharmaceutical sales growth from existing and new customers.
Pharmaceutical and Specialty Solutions segment profit increased 7% to $531 million in the second quarter, driven by growth from BioPharma Solutions, including contributions from Specialty Networks, and a higher contribution from brand and specialty products. This growth was partially offset by the customer contract expiration.
Global Medical Products and Distribution segment
| | Q2 FY25 | | Q2 FY24 | | Y/Y |
| Revenue | $ 3.2 billion | | $ 3.1 billion | | 1 % |
| Segment profit | $ 18 million | | $ 11 million | | N.M. |
Second quarter revenue for the Global Medical Products and Distribution segment increased 1% to $3.2 billion, driven by volume growth from existing customers.
Global Medical Products and Distribution segment profit increased to $18 million in the second quarter, driven by cost optimization initiatives, partially offset by the write-off of uncollectible receivables in the WaveMark business3.
Other4
| | Q2 FY25 | | Q2 FY24 | | Y/Y |
| Revenue | $ 1.3 billion | | $ 1.1 billion | | 13 % |
| Segment profit | $ 118 million | | $ 106 million | | 11 % |
Second quarter revenue for Other increased 13% to $1.3 billion, driven by growth across the three operating segments: at-Home Solutions, Nuclear and Precision Health Solutions and OptiFreight Logistics.
Other segment profit increased 11% to $118 million in the second quarter, driven by the performance of OptiFreight Logistics and Nuclear and Precision Health Solutions.
Fiscal year 2025 outlook2
The company raised its fiscal 2025 guidance range for non-GAAP diluted earnings per share attributable to Cardinal Health, Inc. to $7.85 to $8.00, from $7.75 to $7.90. The company's guidance now reflects the impacts of the completed acquisitions of Integrated Oncology Network (ION) and its majority stake in GI Alliance.
The company updated fiscal year 2025 guidance for Pharmaceutical and Specialty Solutions segment profit to 10% to 12% growth, from 4% to 6% growth, driven by stronger organic growth within the segment and contributions from GI Alliance and to a lesser extent, ION. The company also updated its GMPD fiscal 2025 segment profit guidance to a range of $130 million to $150 million from the prior range of $140 million to $175 million, primarily reflecting the second-quarter write-off of uncollectible receivables in the WaveMark business.
The company updated expectations for interest and other expense to a range of $200 million to $230 million, from $140 million to $170 million, driven by the advanced completion of $2.9 billion in new debt financing and foregone interest income related to acquisitions.
Recent highlights
- Cardinal Health today announced the completion of its acquisition of a majority stake in GI Alliance. With over 900 physicians across 345 practice locations in 20 states, GI Alliance is the country's leading gastroenterology management services organization (MSO). The acquisition accelerates Cardinal Health's multi-specialty growth strategy.
- Cardinal Health completed its acquisition of Integrated Oncology Network in December. ION is a physician-led independent community oncology network that accelerates the development of Navista oncology alliance, providing additional capabilities supporting independent community practices and adding more than 100 providers delivering broad-reaching oncology and urology care across 10 states.
- Cardinal Health announced the start of routine production of actinium-225 (Ac-225) through its Center for Theranostics Advancement in collaboration with TerraPower Isotopes. Cardinal Health is the first company to offer the isotope at commercial scale, increasing access to theranostics and potential new cancer therapies.
- Cardinal Health announced that construction is underway for its new at-Home Solutions distribution center in Fort Worth, Texas. The facility is equipped with leading robotics and automation technologies and is anticipated to be fully operational in the summer of 2025.
- Cardinal Health's GMPD business announced the U.S. launch of its Kendall SCD SmartFlow™ Compression System, the next generation of the Kendall™ Compression Series offering an enhanced clinician and patient experience.
- Cardinal Health was named to Forbes' 2025 Most Trusted Companies in America list.
Webcast
Cardinal Health will host a webcast today at 8:30 a.m. EST to discuss second quarter results. To access the webcast and corresponding slide presentation, go to the Investor Relations page at ir.cardinalhealth.com. No access code is required.
Presentation slides and a webcast replay will be available on the Investor Relations page for 12 months.
About Cardinal Health
Cardinal Health is a distributor of pharmaceuticals and specialty products; a global manufacturer and distributor of medical and laboratory products; a supplier of home-health and direct-to-patient products and services; an operator of nuclear pharmacies and manufacturing facilities; and a provider of performance and data solutions. Our company's customer-centric focus drives continuous improvement and leads to innovative solutions that improve people's lives every day. Learn more about Cardinal Health at cardinalhealth.com and in our Newsroom.
Contacts
Media: Erich Timmerman, Erich.Timmerman@cardinalhealth.com and 614.757.8231
Investors: Matt Sims, Matt.Sims@cardinalhealth.com and 614.553.3661
1GAAP refers to U.S. generally accepted accounting principles. This news release includes GAAP financial measures as well as non-GAAP financial measures, which are financial measures not calculated in accordance with GAAP. See "Use of Non-GAAP Measures" following the attached schedules for definitions of the non-GAAP financial measures presented in this news release and see the attached schedules for reconciliations of the differences between the non-GAAP financial measures and their most directly comparable GAAP financial measures.
2The company does not provide forward-looking guidance on a GAAP basis as certain financial information, the probable significance of which cannot be determined, is not available and cannot be reasonably estimated. See "Use of Non-GAAP Measures" following the attached schedules for additional explanation.
3WaveMark is a business within the Global Medical Products and Distribution segment that offers a fully integrated SaaS platform to support digitally automated clinical supply chain solutions to improve patient outcomes through enhanced product visibility and predictive analytics.
4Other includes the following three operating segments: Nuclear and Precision Health Solutions (NPHS), at-Home Solutions and OptiFreight Logistics, which are not significant enough individually to require reportable segment disclosure.
Cardinal Health uses its website as a channel of distribution for material company information. Important information, including news releases, financial information, earnings and analyst presentations, and information about upcoming presentations and events is routinely posted and accessible on the Investor Relations page at ir.cardinalhealth.com. In addition, the website allows investors and other interested persons to sign up automatically to receive email alerts when the company posts news releases, SEC filings and certain other information on its website.
Cautions Concerning Forward-Looking Statements
This release contains forward-looking statements addressing expectations, prospects, estimates and other matters that are dependent upon future events or developments. These statements may be identified by words such as "expect," "anticipate," "intend," "plan," "believe," "will," "should," "could," "would," "project," "continue," "likely," and similar expressions, and include statements reflecting future results or guidance, statements of outlook and various accruals and estimates. These matters are subject to risks and uncertainties that could cause actual results to differ materially from those projected, anticipated or implied. These risks and uncertainties include the risk that we may fail to achieve our strategic objectives, including the continued execution of the GMPD Improvement Plan, whether as a result of Cardinal Health Brand sales, ongoing inflationary pressures or the impact of possible tariffs on products we source or manufacture; competitive pressures in Cardinal Health's various lines of business, including the risk that customers may reduce purchases made under their contracts with us or terminate or not renew their contracts; our ability to manage uncertainties associated with the pricing of branded pharmaceuticals, including as a result of possible legislative action; risks associated with litigation matters, including an Department of Justice investigation focused on potential violations of the Anti-Kickback Statute and False Claims Act; the risk that events outside of our control, such as weather or geopolitical events, may impact demand for our products or may cause supply shortages that impact our cost and ability to fulfill customer demand; the performance of our generics program, including the amount or rate of generic deflation and our ability to offset generic deflation and maintain other financial and strategic benefits through our generic sourcing venture or other components of our generics programs; risks associated with recently completed and still-pending acquisitions, including risks arising as a result from our entry into new lines of businesses; the possibility that our at-Home reporting unit goodwill could become impaired due to changes to our long-term financial plan, increases in global interest rates or unfavorable changes in the U.S. statutory tax rate. Cardinal Health is subject to additional risks and uncertainties described in Cardinal Health's Form 10-K, Form 10-Q and Form 8K reports and exhibits to those reports. This release reflects management's views as of January 30, 2025. Except to the extent required by applicable law, Cardinal Health undertakes no obligation to update or revise any forward-looking statement. Forward-looking statements are aspirational and not guarantees or promises that goals, targets or projections will be met, and no assurance can be given that any commitment, expectation, initiative or plan in this report can or will be achieved or completed. Cardinal Health provides definitions and reconciliations of non-GAAP financial measures and their most directly comparable GAAP financial measures at ir.cardinalhealth.com
| Schedule 1 | |||||||||||
| Cardinal Health, Inc. and Subsidiaries Condensed Consolidated Statements of Earnings (Unaudited) | |||||||||||
| | |||||||||||
| | Second Quarter | | Year-to-Date | ||||||||
| (in millions, except per common share amounts) | 2025 | | 2024 | | % Change | | 2025 | | 2024 | | % Change |
| Revenue | $ 55,264 | | $ 57,442 | | (4) % | | $ 107,541 | | $ 112,092 | | (4) % |
| Cost of products sold | 53,323 | | 55,588 | | (4) % | | 103,698 | | 108,495 | | (4) % |
| Gross margin | 1,941 | | 1,854 | | 5 % | | 3,843 | | 3,597 | | 7 % |
| | | | | | | | | | | | |
| Operating expenses: | | | | | | | | | | | |
| Distribution, selling, general and administrative expenses | 1,306 | | 1,268 | | 3 % | | 2,583 | | 2,454 | | 5 % |
| Restructuring and employee severance | 9 | | 28 | | | | 33 | | 53 | | |
| Amortization and other acquisition-related costs | 105 | | 63 | | | | 179 | | 127 | | |
| Impairments and (gain)/loss on disposal of assets, net 1 | 3 | | 1 | | | | 2 | | 542 | | |
| Litigation (recoveries)/charges, net | (31) | | (11) | | | | (71) | | (52) | | |
| Operating earnings | 549 | | 505 | | 9 % | | 1,117 | | 473 | | N.M. |
| | | | | | | | | | | | |
| Other (income)/expense, net | 3 | | (10) | | | | (2) | | (9) | | |
| Interest expense, net | 35 | | 3 | | N.M. | | 67 | | 14 | | N.M. |
| Earnings before income taxes | 511 | | 512 | | — % | | 1,052 | | 468 | | N.M. |
| | | | | | | | | | | | |
| Provision for income taxes 2 | 110 | | 143 | | (23) % | | 234 | | 110 | | N.M. |
| Net earnings | 401 | | 369 | | 9 % | | 818 | | 358 | | N.M. |
| | | | | | | | | | | | |
| Less: Net earnings attributable to noncontrolling interests | (1) | | (1) | | | | (2) | | (2) | | |
| Net earnings attributable to Cardinal Health, Inc. | $ 400 | | $ 368 | | 9 % | | $ 816 | | $ 356 | | N.M. |
| | | | | | | | | | | | |
| Earnings per common share attributable to Cardinal Health, Inc.: | | | | | | | | | | | |
| Basic | $ 1.65 | | $ 1.50 | | 10 % | | $ 3.37 | | $ 1.44 | | N.M. |
| Diluted | 1.65 | | 1.50 | | 10 % | | 3.35 | | 1.43 | | N.M. |
| | | | | | | | | | | | |
| Weighted-average number of common shares outstanding: | | | | | | | | | | | |
| Basic | 242 | | 245 | | | | 242 | | 247 | | |
| Diluted | 243 | | 246 | | | | 243 | | 248 | | |
| |
| 1 For the six months ended December 31, 2023, impairments and (gain)/loss on disposal of assets, net included a pre-tax goodwill impairment charge of $585 million related to the GMPD segment. |
| 2 For fiscal 2024, the estimated net tax benefit related to this impairment was $45 million and was included in the annual effective tax rate. As a result, the amount of tax benefit increased by approximately an incremental $66 million for the six months ended December 31, 2023 and increased the provision for income taxes for the remainder of fiscal 2024. |
| Schedule 2 | |||
| Cardinal Health, Inc. and Subsidiaries Condensed Consolidated Balance Sheets
| |||
| | |||
| (in millions) | December 31, | | June 30, |
| Assets | (Unaudited) | | |
| Current assets: | | | |
| Cash and equivalents | $ 3,810 | | $ 5,133 |
| Trade receivables, net | 12,369 | | 12,084 |
| Inventories, net | 16,904 | | 14,957 |
| Prepaid expenses and other | 2,623 | | 2,663 |
| Assets held for sale | 50 | | 47 |
| Total current assets | 35,756 | | 34,884 |
| | | | |
| Property and equipment, net | 2,558 | | 2,529 |
| Goodwill and other intangibles, net | 7,436 | | 6,450 |
| Other assets | 1,252 | | 1,258 |
| Total assets | $ 47,002 | | $ 45,121 |
| | | | |
| Liabilities and Shareholders' Deficit | | | |
| Current liabilities: | | | |
| Accounts payable | $ 31,298 | | $ 31,759 |
| Current portion of long-term obligations and other short-term borrowings | 544 | | 434 |
| Other accrued liabilities | 3,381 | | 3,447 |
| Total current liabilities | 35,223 | | 35,640 |
| | | | |
| Long-term obligations, less current portion | 7,062 | | 4,658 |
| Deferred income taxes and other liabilities | 7,638 | | 8,035 |
| | | | |
| Total shareholders' deficit | (2,921) | | (3,212) |
| Total liabilities and shareholders' deficit | $ 47,002 | | $ 45,121 |
| Schedule 3 | |||||||
| Cardinal Health, Inc. and Subsidiaries Consolidated Statements of Cash Flows (Unaudited) | |||||||
| | |||||||
| | Second Quarter | | Year-to-Date | ||||
| (in millions) | 2025 | | 2024 | | 2025 | | 2024 |
| Cash flows from operating activities: | | | | | | | |
| Net earnings | $ 401 | | $ 369 | | $ 818 | | $ 358 |
| | | | | | | | |
| Adjustments to reconcile net earnings to net cash provided by operating activities: | | | | | | | |
| Depreciation and amortization | 192 | | 175 | | 374 | | 347 |
| Impairments and loss on sale of other investments | 1 | | — | | 2 | | — |
| Impairments and (gain)/loss on disposal of assets, net | 3 | | 1 | | 2 | | 542 |
| Share-based compensation | 30 | | 28 | | 60 | | 57 |
| Provision for bad debts | 12 | | 12 | | 28 | | 21 |
| Change in operating assets and liabilities, net of effects from acquisitions and divestitures: | | | | | | | |
| Increase in trade receivables | (541) | | (538) | | (253) | | (480) |
| Increase in inventories | (1,289) | | (1,376) | | (1,967) | | (2,449) |
| Increase/(decrease) in accounts payable | 924 | | 2,591 | | (470) | | 4,353 |
| Other accrued liabilities and operating items, net | (133) | | (83) | | (641) | | (1,042) |
| Net cash provided by/(used in) operating activities | (400) | | 1,179 | | (2,047) | | 1,707 |
| | | | | | | | |
| Cash flows from investing activities: | | | | | | | |
| Acquisition of subsidiaries, net of cash acquired | (1,076) | | — | | (1,076) | | — |
| Proceeds from divestitures, net of cash sold | — | | 9 | | 2 | | 9 |
| Additions to property and equipment | (99) | | (114) | | (189) | | (206) |
| Proceeds from the disposal of property and equipment | — | | 1 | | — | | 2 |
| Purchases of investments | (3) | | (1) | | (3) | | (2) |
| Proceeds from investments | 2 | | — | | 2 | | 1 |
| Proceeds from net investment hedge terminations | — | | — | | — | | 28 |
| Proceeds from short-term investment in time deposit | 200 | | — | | 200 | | — |
| Net cash used in investing activities | (976) | | (105) | | (1,064) | | (168) |
| | | | | | | | |
| Cash flows from financing activities: | | | | | | | |
| Proceeds from long-term obligations, net of issuance costs | 2,869 | | — | | 2,869 | | — |
| Reduction of long-term obligations | (414) | | (8) | | (423) | | (15) |
| Net tax proceeds/(withholding) from share-based compensation | 13 | | 29 | | (15) | | 1 |
| Dividends on common shares | (122) | | (124) | | (250) | | (255) |
| Purchase of treasury shares, net | (15) | | (250) | | (390) | | (750) |
| Net cash provided by/(used in) financing activities | 2,331 | | (353) | | 1,791 | | (1,019) |
| | | | | | | | |
| Effect of exchange rate changes on cash and equivalents | (12) | | 6 | | (3) | | 1 |
| | | | | | | | |
| Net increase/(decrease) in cash and equivalents | 943 | | 727 | | (1,323) | | 521 |
| Cash and equivalents at beginning of period | 2,867 | | 3,870 | | 5,133 | | 4,076 |
| Cash and equivalents at end of period | $ 3,810 | | $ 4,597 | | $ 3,810 | | $ 4,597 |
| Schedule 4 | |||||||||||
| Cardinal Health, Inc. and Subsidiaries Segment Information | |||||||||||
| | |||||||||||
| | Second Quarter | ||||||||||
| | | | | | | | | | | | |
| | Pharmaceutical and Specialty Solutions | | Global Medical Products and Distribution | | Other | ||||||
| (in millions) | 2025 | | 2024 | | 2025 | | 2024 | | 2025 | | 2024 |
| Revenue | | | | | | | | | | | |
| Amount | $ 50,849 | | $ 53,202 | | $ 3,154 | | $ 3,127 | | $ 1,283 | | $ 1,135 |
| Growth rate | (4) % | | 12 % | | 1 % | | 2 % | | 13 % | | 11 % |
| | | | | | | | | | | | |
| Segment profit | | | | | | | | | | | |
| Amount | $ 531 | | $ 495 | | $ 18 | | $ 11 | | $ 118 | | $ 106 |
| Growth rate | 7 % | | 10 % | | N.M. | | N.M. | | 11 % | | 10 % |
| Segment profit margin | 1.04 % | | 0.93 % | | 0.57 % | | 0.35 % | | 9.20 % | | 9.34 % |
| | |||||||||||
| | Year-to-Date | ||||||||||
| | | | | | | | | | | | |
| | Pharmaceutical and Specialty Solutions | | Global Medical Products and Distribution | | Other | ||||||
| (in millions) | 2025 | | 2024 | | 2025 | | 2024 | | 2025 | | 2024 |
| Revenue | | | | | | | | | | | |
| Amount | $ 98,839 | | $ 103,790 | | $ 6,277 | | $ 6,159 | | $ 2,469 | | $ 2,186 |
| Growth rate | (5) % | | 12 % | | 2 % | | — % | | 13 % | | 10 % |
| | | | | | | | | | | | |
| Segment profit | | | | | | | | | | | |
| Amount | $ 1,061 | | $ 951 | | $ 26 | | $ 23 | | $ 222 | | $ 202 |
| Growth rate | 12 % | | 12 % | | 13 % | | N.M. | | 10 % | | 4 % |
| Segment profit margin | 1.07 % | | 0.92 % | | 0.41 % | | 0.37 % | | 8.99 % | | 9.24 % |
| |
| The sum of the components and certain computations may reflect rounding adjustments. |
| Schedule 5 | |||||||||||||
| Cardinal Health, Inc. and Subsidiaries GAAP / Non-GAAP Reconciliation1 | |||||||||||||
| | |||||||||||||
| | | | | | | | | | | | | | |
| | | Gross | | | | Operating | Earnings | | | Net | | | Diluted |
| | | Margin | | SG&A2 | | Earnings | Before | Provision for | | Earnings3 | Effective | | EPS 3 |
| (in millions, except per | Gross | Growth | | Growth | Operating | Growth | Income | Income | Net | Growth | Tax | Diluted | Growth |
| Margin | Rate | SG&A 2 | Rate | Earnings | Rate | Taxes | Taxes | Earnings 3 | Rate | Rate | EPS 3 | Rate | |
| Second Quarter 2025 | |||||||||||||
| GAAP | $ 1,941 | 5 % | $ 1,306 | 3 % | $ 549 | 9 % | $ 511 | $ 110 | $ 400 | 9 % | 21.4 % | $ 1.65 | 10 % |
| Restructuring and employee severance | — | | — | | 9 | | 9 | 2 | 7 | | | 0.03 | |
| Amortization and other acquisition-related costs | — | | — | | 105 | | 105 | 27 | 78 | | | 0.32 | |
| Impairments and (gain)/loss on disposal of assets, net | — | | — | | 3 | | 3 | 1 | 2 | | | 0.01 | |
| Litigation (recoveries)/charges, net | — | | — | | (31) | | (31) | (12) | (19) | | | (0.08) | |
| Non-GAAP | $ 1,941 | 5 % | $ 1,306 | 3 % | $ 635 | 9 % | $ 597 | $ 127 | $ 468 | 1 % | 21.4 % | $ 1.93 | 2 % |
| | | | | | | | | | | | | | |
| | Second Quarter 2024 | ||||||||||||
| GAAP | $ 1,854 | 10 % | $ 1,268 | 8 % | $ 505 | N.M. | $ 512 | $ 143 | $ 368 | N.M. | 27.9 % | $ 1.50 | N.M. |
| Restructuring and employee severance | — | | — | | 28 | | 28 | 7 | 21 | | | 0.09 | |
| Amortization and other acquisition-related costs | — | | — | | 63 | | 63 | 17 | 46 | | | 0.19 | |
| Impairments and (gain)/loss on disposal of assets, net | — | | — | | 1 | | 1 | (35) | 36 | | | 0.15 | |
| Litigation (recoveries)/charges, net | — | | — | | (11) | | (11) | (5) | (6) | | | (0.03) | |
| Non-GAAP | $ 1,854 | 10 % | $ 1,269 | 7 % | $ 585 | 17 % | $ 592 | $ 127 | $ 464 | 22 % | 21.4 % | $ 1.89 | 31 % |
| |
| 1 For more information on these measures, refer to the Use of Non-GAAP Measures and Definitions schedules. |
| 2 Distribution, selling, general and administrative expenses. |
| 3 Attributable to Cardinal Health, Inc. |
| The sum of the components and certain computations may reflect rounding adjustments. |
| We generally apply varying tax rates depending on the item's nature and tax jurisdiction where it is incurred. |
| Schedule 5 | |||||||||||||
| Cardinal Health, Inc. and Subsidiaries GAAP / Non-GAAP Reconciliation1 | |||||||||||||
| | |||||||||||||
| | | | | | | | | | | | | | |
| | | Gross | | | | Operating | Earnings | | | Net | | | Diluted |
| | | Margin | | SG&A2 | | Earnings | Before | Provision for | | Earnings3 | Effective | | EPS 3 |
| | Gross | Growth | | Growth | Operating | Growth | Income | Income | Net | Growth | Tax | Diluted | Growth |
| (in millions, except per | Margin | Rate | SG&A 2 | Rate | Earnings | Rate | Taxes | Taxes | Earnings 3 | Rate | Rate | EPS 3 | Rate |
| Year-to-Date 2025 | |||||||||||||
| GAAP | $ 3,843 | 7 % | $ 2,583 | 5 % | $ 1,117 | N.M. | $ 1,052 | $ 234 | $ 816 | N.M. | 22.2 % | $ 3.35 | N.M. |
| Restructuring and employee severance | — | | — | | 33 | | 33 | 8 | 25 | | | 0.10 | |
| Amortization and other acquisition-related costs | — | | — | | 179 | | 179 | 47 | 132 | | | 0.54 | |
| Impairments and (gain)/loss on disposal of assets, net | — | | — | | 2 | | 2 | — | 2 | | | 0.01 | |
| Litigation (recoveries)/charges, net | — | | — | | (71) | | (71) | (24) | (47) | | | (0.19) | |
| Non-GAAP | $ 3,843 | 7 % | $ 2,583 | 5 % | $ 1,260 | 10 % | $ 1,195 | $ 266 | $ 927 | 4 % | 22.2 % | $ 3.81 | 6 % |
| | | | | | | | | | | | | | |
| | Year-to-Date 2024 | ||||||||||||
| GAAP | $ 3,597 | 10 % | $ 2,454 | 3 % | $ 473 | N.M. | $ 468 | $ 110 | $ 356 | N.M. | 23.4 % | $ 1.43 | N.M. |
| Restructuring and employee severance | — | | — | | 53 | | 53 | 14 | 39 | | | 0.16 | |
| Amortization and other acquisition-related costs | — | | — | | 127 | | 127 | 34 | 93 | | | 0.37 | |
| Impairments and (gain)/loss on disposal of assets, net 4 | — | | — | | 542 | | 542 | 100 | 442 | | | 1.78 | |
| Litigation (recoveries)/charges, net | — | | — | | (52) | | (52) | (17) | (35) | | | (0.14) | |
| Non-GAAP | $ 3,597 | 10 % | $ 2,455 | 3 % | $ 1,142 | 26 % | $ 1,137 | $ 241 | $ 894 | 29 % | 21.2 % | $ 3.60 | 39 % |
| |
| 1 For more information on these measures, refer to the Use of Non-GAAP Measures and Definitions schedules. |
| 2 Distribution, selling, general and administrative expenses. |
| 3 Attributable to Cardinal Health, Inc. |
| 4 For the six months ended December 31, 2023, impairments and (gain)/loss on disposal of assets, net included a pre-tax goodwill impairment charge of $585 million related to the GMPD segment. For fiscal 2024, the estimated net tax benefit related to this impairment was $45 million and was included in the annual effective tax rate. As a result, the amount of tax benefit increased by approximately an incremental $66 million for the six months ended December 31, 2023 and increased the provision for income taxes for the remainder of fiscal 2024. |
| The sum of the components and certain computations may reflect rounding adjustments. |
| We generally apply varying tax rates depending on the item's nature and tax jurisdiction where it is incurred. |
| Schedule 6 | |||||||
| Cardinal Health, Inc. and Subsidiaries GAAP / Non-GAAP Reconciliation - GAAP Cash Flow to Non-GAAP Adjusted Free Cash Flow | |||||||
| | | | | | | | |
| | Second Quarter | | Year-to-Date | ||||
| (in millions) | 2025 | | 2024 | | 2025 | | 2024 |
| GAAP - Cash Flow Categories | | | | | | | |
| Net cash provided by/(used in) operating activities | $ (400) | | $ 1,179 | | $ (2,047) | | $ 1,707 |
| Net cash used in investing activities | (976) | | (105) | | (1,064) | | (168) |
| Net cash provided by/(used in) financing activities | 2,331 | | (353) | | 1,791 | | (1,019) |
| Effect of exchange rates changes on cash and equivalents | (12) | | 6 | | (3) | | 1 |
| Net increase/(decrease) in cash and equivalents | $ 943 | | $ 727 | | $ (1,323) | | $ 521 |
| | | | | | | | |
| Non-GAAP Adjusted Free Cash Flow | | | | | | | |
| Net cash provided by/(used in) operating activities | $ (400) | | $ 1,179 | | $ (2,047) | | $ 1,707 |
| Additions to property and equipment | (99) | | (114) | | (189) | | (206) |
| Payments related to matters included in litigation (recoveries)/charges, net | 245 | | (27) | | 621 | | 515 |
| Non-GAAP Adjusted Free Cash Flow | $ (254) | | $ 1,038 | | $ (1,615) | | $ 2,016 |
| |
| For more information on these measures, refer to the Use of Non-GAAP Measures and Definitions schedules. |
| Schedule 7 | ||||||||||||
| Cardinal Health, Inc. and Subsidiaries Revenue Growth Rates Excluding OptumRx
| ||||||||||||
| | ||||||||||||
| Second Quarter | ||||||||||||
| | | | | | | | | | | | | |
| | Consolidated | | | Pharmaceutical and Specialty Solutions | ||||||||
| (in millions) | 2025 | | 2024 | | Growth Rate | | (in millions) | 2025 | | 2024 | | Growth Rate |
| Total Revenue | $ 55.3 | | $ 57.4 | | (4) % | | Total Pharmaceutical and Specialty | $ 50.8 | | $ 53.2 | | (4) % |
| less: OptumRx Revenue | — | | 9.8 Für dich aus unserer Redaktion zusammengestelltDein Kommentar zum Artikel im Forum Jetzt anmelden und diskutieren
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