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Cardinal Health Lifts FY25 EPS Outlook, Sees Growth Despite Tariff Risks
Benzingaยท 2025-05-02 04:39
Group 1 - Cardinal Health Inc. reported third-quarter 2025 adjusted EPS of $2.35, a 13% increase year over year, surpassing the consensus estimate of $2.17 [1] - Sales remained flat at $54.9 billion, missing the consensus of $55.35 billion, while adjusted operating earnings increased by 21% to $807 million [1] - The Pharmaceutical and Specialty Solutions segment's sales were unchanged at $50.6 billion [1] Group 2 - Revenue for the Global Medical Products and Distribution (GMPD) segment rose by 2% to $3.2 billion, driven by volume growth from existing customers [2] - Segment profit increased by 14% to $662 million in the third quarter, supported by brand and specialty products, MSO platforms, and positive generics program performance [6] - The company raised its fiscal year 2025 adjusted EPS guidance from $7.85-$8.00 to $8.05-$8.15, compared to the consensus of $7.96 [3] Group 3 - Cardinal Health anticipates double-digit non-GAAP EPS growth in fiscal 2026 despite evolving macroeconomic conditions [4] - The outlook for the Pharmaceutical and Specialty Solutions segment profit was increased to 11.5% to 12.5% growth, up from a previous range of 10% to 12% [6] - The company expects GMPD segment profit to be consistent with fiscal 2025 segment profit amid macro uncertainty [6] Group 4 - CAH stock is trading 2.30% higher at $144.53 [5] - The company plans to discuss its fiscal 2026 and beyond expectations at its upcoming Investor Day on June 12 [6]