#Cardinal #Health #Stock #Hits #AllTime #High #Existing #Customers #Power #Results
Key takeaways
- Cardinal Health beat first-quarter earnings and sales estimates due to increased demand from existing customers.
- Revenue fell at the healthcare products company’s largest division, its Pharmaceuticals and Specialty Solutions division, but would have risen 16% year-over-year had it not lost a major benefits manager contract.
- Cardinal Health raised its full-year EPS guidance and shares hit a new all-time high intraday.
Shares of Cardinal Health (CAH) hit a new all-time high intraday Friday as the health care products provider reported better-than-expected results and raised its outlook even as it took a financial hit from the end of a big decade.
The company reported first-quarter fiscal 2025 adjusted earnings per share of $1.88, with revenue declining 4% year-over-year to $52.28 billion. Both beat the consensus expectations of analysts polled by Visible Alpha.
Sales in our Pharmaceutical and Specialty Solutions unit decreased 5% to $48.0 billion due to the impact of the expiration of a distribution contract with pharmacy benefits manager OptumRx. Cardinal Health said that excluding that, revenue would have been up 16%, supported by increased branded and specialty drug sales by existing customers.
Revenues in the Global Medical Products and Distribution segment increased 3% to $3.1 billion on high volumes from existing customers, and other revenues rose 13% to $1.2 billion on Home Solutions, Nuclear and Precision Health Solutions, and OptiFreight Logistics.
The company now sees full-year EPS of $7.75 to $7.90, up from its previous guidance of $7.55 to $7.70.
Cardinal Health shares were up nearly 7% at $115.76 on Friday afternoon after earlier touching a new all-time intraday high of $119.12.
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#Cardinal #Health #Stock #Hits #AllTime #High #Existing #Customers #Power #Results
