Cardinal Health ( (CAH) ) has released its Q2 earnings. Here is a breakdown of the information Cardinal Health presented to its investors.
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Cardinal Health is a comprehensive healthcare services and products company, operating as a distributor of pharmaceuticals and medical products, a provider of healthcare solutions, and a manufacturer of laboratory and medical products. The company is known for its vast supply chain and distribution infrastructure, serving various sectors of the healthcare industry globally.
In its recent earnings report for the second quarter of fiscal year 2025, Cardinal Health announced a 4% decrease in revenue to $55.3 billion. However, when excluding the impact of a major customer contract expiration, revenue actually grew by 16%. The company also reported an increase in non-GAAP operating earnings by 9% to $635 million, primarily driven by its Pharmaceutical and Specialty Solutions segment.
Key financial highlights include a GAAP operating earnings increase to $549 million and a non-GAAP diluted EPS rise to $1.93. The Pharmaceutical and Specialty Solutions segment saw a 7% profit increase, attributed to growth in brand and specialty pharmaceutical sales. Additionally, the Global Medical Products and Distribution segment’s revenue increased by 1%, supported by volume growth among existing customers.
Cardinal Health also raised its fiscal year 2025 non-GAAP EPS guidance to a range of $7.85 to $8.00, reflecting its strategic acquisitions and growth initiatives, including the completion of acquiring a majority stake in GI Alliance and Integrated Oncology Network. The company is focused on expanding its specialty growth and enhancing value for its healthcare providers and patients.
Looking ahead, Cardinal Health remains optimistic about its growth trajectory, with management emphasizing continued demand in its pharmaceutical segment and strategic investments paving the way for future expansion. The raised guidance reflects confidence in achieving strong financial performance through fiscal 2025.
