Brown Advisory, an investment management company, released its “Brown Advisory Mid-Cap Growth Strategy” third-quarter 2025 investor letter. A copy of the letter can be downloaded here. The strategy underperformed its benchmark, the Russell Midcap® Growth Index, in the third quarter of 2025, which increased approximately 3%.  In addition, please check the fund’s top five holdings to know its best picks in 2025. In its third-quarter 2025 investor letter, Brown Advisory Mid-Cap Growth Strategy highlighted st ...

US private equity firm SK Capital Partners is nearing a deal to acquire Swiss drug distribution company Swixx Biopharma, according to people familiar with the matter. https://t.co/WM4eWmvn11 ...

Financial Data and Key Metrics Changes - The company reported strong Q1 results with all five operating segments showing double-digit profit growth, particularly in the pharma and specialty services business, which saw significant profit growth driven by strong demand, execution, and focus on specialty [4][5] - The guidance for fiscal year 2026 was raised to $9.65-$9.85, reflecting confidence in the business model despite regulatory changes [7][8] - The company is generating strong cash flow, raising adjusted free cash flow guidance to $3 billion-$3.5 billion for the year [59] Business Line Data and Key Metrics Changes - The pharma and specialty services business, which is the largest segment, experienced outsized demand and strong execution, contributing to double-digit growth [4][5] - The "Other" segment, which includes at-home nuclear precision health and OptiFreight, reported 60% profit growth, with each business growing more than the long-term target of 10% [5] - The GMPD business, part of the turnaround strategy, showed positive profit and cash flow, successfully navigating tariff impacts [56] Market Data and Key Metrics Changes - The company is experiencing strong demand across various categories, including brand, generics, specialty, and consumer health, contributing to a robust performance [11] - The generic pipeline is expected to remain strong, with a significant number of pharmaceuticals going generic in the next five years [12] - The company anticipates a long-term growth rate of 2%-3% for generics, with recent performance tracking ahead of this expectation [35][38] Company Strategy and Development Direction - The company is focused on long-term investments and managing the business for future growth opportunities rather than short-term results [6] - The MSO strategy is differentiated from competitors by not being solely focused on pharmaceutical revenue, instead leveraging strengths in various specialties [20][21] - The company aims to build an ecosystem connecting suppliers and clinical practices, enhancing value across its portfolio [25][28] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in navigating regulatory changes and maintaining profitability despite potential pressures from WAC reductions [14][19] - The company is optimistic about the future of its nuclear precision health business, which is expected to grow significantly due to innovations in radiopharmaceuticals [44][47] - The management highlighted the importance of compliance and scale in the at-home solutions business, positioning the company as a strong partner in the new regulatory environment [50][52] Other Important Information - The company is committed to returning at least $750 million to shareholders through share repurchases and dividends while exploring high ROI projects for capital deployment [60][62] - The GMPD business has successfully transitioned from negative to positive profit and cash flow, demonstrating effective management amid tariff challenges [56] Q&A Session Summary Question: How does the company view the impact of WAC reductions on its core distribution business? - Management acknowledged concerns but emphasized that distributors provide essential services and expect to be compensated accordingly, regardless of regulatory changes [14][15][19] Question: What differentiates the company's MSO strategy from competitors? - The company focuses on its strengths in various specialties and aims to build an ecosystem that connects suppliers and clinical practices, rather than solely relying on pharmaceutical revenue [20][21][25] Question: What is the outlook for the generics business? - Management noted strong demand and a robust pipeline of generics, with expectations of 2%-3% long-term growth, while recent performance has exceeded this [35][38]

Financial Data and Key Metrics Changes - The company reported strong Q1 results with all five operating segments showing double-digit profit growth, particularly in the pharma and specialty services business, which saw significant profit growth driven by strong demand, execution, and focus on specialty [4][5] - The guidance for fiscal 2026 was raised to $9.65-$9.85, reflecting confidence in the business model despite regulatory changes [7][8] - The company is generating strong cash flow, raising adjusted free cash flow guidance to $3 billion-$3.5 billion for the year [59] Business Line Data and Key Metrics Changes - The pharma and specialty services business, the largest segment, experienced outsized demand and strong execution, contributing to double-digit profit growth [4][5] - The "Other" segment, which includes at-home nuclear precision health and OptiFreight, reported 60% profit growth, with all three businesses exceeding the long-term target of 10% growth [5] - The GMPD business, part of the turnaround strategy, showed positive profit and cash flow, successfully navigating tariff impacts [56] Market Data and Key Metrics Changes - The company is experiencing strong demand across various segments, including brand, generics, specialty, and consumer health, with outsized demand noted in the last quarter [11] - The generic pipeline is robust, with a significant number of pharmaceuticals expected to go generic in the next five years, contributing to confidence in future growth [12] Company Strategy and Development Direction - The company is focused on long-term investments, managing the business with a multi-quarter outlook to ensure sustained growth opportunities [6] - The MSO strategy is differentiated from competitors by not solely focusing on pharmaceutical revenue, instead leveraging strengths in various specialties and integrating data-driven solutions [21][25] - The company aims to build an ecosystem connecting suppliers and clinical practices, enhancing value across its portfolio [25][28] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in navigating regulatory changes, emphasizing the essential role of distributors in the healthcare industry and the ability to negotiate compensation for services [14][15] - The company is optimistic about the at-home business, anticipating minimal near-term financial impact from regulatory changes, with a focus on compliance and scale [51][52] Other Important Information - The company is investing $150 million in new capacity for its nuclear business, which is expected to grow significantly due to innovations in radiopharmaceuticals [44][47] - The company has a strong relationship with manufacturers and the administration, positioning itself well in the competitive bidding landscape for at-home solutions [50][55] Q&A Session Summary Question: How does the company view the impact of WAC reductions on its core distribution business? - Management acknowledged concerns but emphasized the essential service provided by distributors and the ability to negotiate compensation despite regulatory changes [14][15] Question: What is the company's strategy regarding its MSO business? - The company is focused on leveraging its strengths in various specialties and building an ecosystem that connects suppliers and clinical practices, differentiating itself from competitors [21][25] Question: How does the company plan to deploy its capital over the next few years? - The company plans to invest in high ROI projects, maintain a strong balance sheet, and return capital to shareholders through buybacks and dividends, with a focus on tuck-in acquisitions [59][62]

Financial Data and Key Metrics Changes - The company reported strong Q1 results with all five operating segments showing double-digit profit growth, particularly in the pharma and specialty services business, which experienced significant profit growth driven by strong demand, execution, and focus on specialty services [4][5] - The guidance for fiscal year 2026 was raised to $9.65-$9.85, reflecting confidence in the business model and the ability to navigate regulatory changes [7][8] - The company is generating strong cash flow, raising adjusted free cash flow guidance to $3 billion-$3.5 billion for the year, and increasing CapEx guidance to $600 million-$650 million [56][58] Business Line Data and Key Metrics Changes - The pharma and specialty services business, which is the largest segment, saw outsized demand across its portfolio, contributing to strong growth [5][11] - The "Other" segment, which includes at-home nuclear precision health and OptiFreight, reported 60% profit growth, with each business growing more than the long-term target of 10% [5] - The GMPD business, part of the turnaround strategy, showed positive profit and cash flow, successfully navigating tariff impacts [54] Market Data and Key Metrics Changes - The company is experiencing strong demand in the generic market, with a robust pipeline of pharmaceuticals expected to go generic in the next five years, contributing to confidence in future growth [12][36] - The introduction of oral GLP-1s is anticipated to simplify distribution and potentially improve profitability, although the impact remains uncertain [29] - The biosimilars market is still in early stages, with the company focusing on supporting development while acknowledging hurdles to widespread adoption [41] Company Strategy and Development Direction - The company is focused on long-term investments and growth opportunities, managing the business with a multi-quarter outlook rather than short-term results [6][58] - The MSO strategy is differentiated by not being solely reliant on pharmaceutical revenue, instead leveraging strengths in various specialties and building an ecosystem that connects suppliers and clinical practices [20][24] - The company aims to maintain a strong balance sheet while returning capital to shareholders, with plans for M&A opportunities that align with existing strategies [59] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in navigating regulatory changes and maintaining profitability despite potential pressures from WAC reductions [14][15] - The company is optimistic about the at-home solutions business, positioning itself as a strong partner for the administration's regulatory goals [49][50] - The GMPD business turnaround is progressing well, with management highlighting productive conversations with customers regarding pricing adjustments [54] Other Important Information - The company is investing in its nuclear business, with a $150 million investment in new capacity and a focus on theranostics, which is expected to drive growth [43][45] - The competitive bidding rules for the at-home solutions business are expected to have a small near-term financial impact, with significant time to adapt before they take effect [50] Q&A Session Summary Question: How does the company view the sustainability of profit growth? - Management noted that while the long-term growth target is 5%-7%, recent performance has exceeded expectations due to outsized demand and strong operational execution [10][11] Question: What is the impact of WAC reductions on the distribution business? - Management acknowledged concerns but emphasized that the company has been adapting to industry changes and expects to be compensated for the services provided, regardless of regulatory changes [14][15] Question: How is the MSO strategy differentiated from competitors? - The company highlighted its focus on strengths in various specialties and the integration of data and clinical practices, rather than solely relying on pharmaceutical revenue [20][24] Question: What are the expectations for the generics market? - Management indicated strong demand and a robust pipeline of generics, while maintaining a cautious outlook on long-term growth expectations of 2%-3% [36][37] Question: What is the outlook for biosimilars? - Management expressed aspirations for the biosimilars market but noted that it is still in early stages and not yet a significant contributor to profitability [41][42]

Core Insights - McKesson raised its fiscal 2026 profit forecast, indicating confidence in its growth prospects [1] Company Summary - The company is focusing on strong growth in its oncology and specialty drug distribution businesses, which are expected to drive profitability [1]

Core Insights - Cencora plans to invest over $1 billion through 2030 to expand its U.S. distribution network, forecasting adjusted profit for next year above Wall Street expectations [1][3] Investment Plans - The company will build a second national distribution center in Harrison, Ohio, and expand sites in California and Alabama [1][2] - The Ohio hub will be 530,000 square feet and is expected to be operational by spring 2027, featuring advanced automation [2] - A new 430,000-square-foot distribution center in Fontana, California, will nearly double the size of the current site and is targeted to open by fall 2026 [3] Financial Performance - Cencora expects adjusted profit per share for 2026 to be between $17.45 and $17.75, slightly above analysts' expectations of $17.5 [3] - The company's U.S. Healthcare Solutions unit reported a 5.7% increase in sales to $75.79 billion for the quarter ended September 30, driven by strong prescription volumes of GLP-1 class drugs and specialty medicines [4] - Cencora reported fourth-quarter profit of $3.84 per share, exceeding analysts' estimates of $3.79 per share, with total sales of $83.73 billion, above the expected $83.46 billion [5]

Group 1 - The company will open two new distribution centers to meet the increasing demand for GLP-1s and other refrigerated medications [1] - A third distribution center will be expanded to further accommodate the surge in demand [1]

Core Insights - Cardinal Health raised its annual adjusted profit forecast after exceeding first-quarter profit estimates, driven by strong demand for specialty medicines and branded drugs [1] Financial Performance - The company reported a strong first-quarter profit, which surpassed market expectations [1] - The increase in profit forecast indicates positive growth prospects for the company in the upcoming fiscal year [1] Market Demand - There is a notable increase in demand for costly specialty medicines, which has significantly contributed to the company's financial performance [1] - The performance in branded drugs also played a crucial role in the overall profit increase [1]

Group 1 - McKesson will restructure its operations into four main segments starting from the current quarter [1] - The restructuring aims to focus on high-margin businesses, particularly cancer medicines, to enhance growth [1]