Cardinal Health Q1 profit beats on Pharmaceutical and Specialty Solutions segment strength

Cardinal Health

30/10/2025 10:57

Overview

Cardinal Health Q1 fiscal 2026 revenue grows 22%, beating analyst expectations

Adjusted EPS for Q1 fiscal 2026 beats consensus, rising 36%

Company raises fiscal 2026 non-GAAP EPS guidance to $9.65-$9.85

Outlook

Cardinal Health raises fiscal 2026 non-GAAP EPS guidance to $9.65-$9.85

Company anticipates completing Solaris Health acquisition in early November

Cardinal Health raises fiscal 2026 adjusted free cash flow outlook to $3.0-$3.5 bln

Result Drivers

PHARMACEUTICAL GROWTH - Revenue in the Pharmaceutical and Specialty Solutions segment rose 23%, driven by brand and specialty pharmaceutical sales growth from existing and new customers

SEGMENT PROFIT INCREASE - Pharmaceutical and Specialty Solutions segment profit grew 26% due to contributions from brand and specialty products, acquisitions, and positive generics program performance

OTHER SEGMENT GROWTH - 'Other' segment revenue increased 38%, driven by growth in at-Home Solutions, Nuclear and Precision Health Solutions, and OptiFreight Logistics

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
Beat
$64 bln
$59.19 bln (12 Analysts)
Q1 Adjusted EPS
Beat
$2.55
$2.17 (13 Analysts)
Q1 EPS
$1.88
Q1 Net Income
$450 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 14 "strong buy" or "buy", 4 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the pharmaceuticals peer group is "buy"

Wall Street's median 12-month price target for Cardinal Health Inc is $184.00, about 10.6% above its October 29 closing price of $164.47

The stock recently traded at 17 times the next 12-month earnings vs. a P/E of 18 three months ago

Press Release: ID:nPn4pV24sa

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)