Cencora Q2 revenue and adjusted EPS miss estimates, raises FY outlook

Cencora

06/05/2026 11:41

Overview

Pharmaceutical distributor's fiscal Q2 revenue rose 3.8% yr/yr but missed analyst expectations

Adjusted EPS for fiscal Q2 rose 7.5% but missed analyst expectations

Company raised full-year adjusted EPS guidance and plans $1 bln share buyback by end-2026

Outlook

Cencora raises fiscal 2026 adj diluted EPS guidance to $17.65-$17.90

Company expects fiscal 2026 revenue growth of 4%-6%

Cencora plans to repurchase $1 bln in shares by end of calendar 2026

Result Drivers

SEGMENT GROWTH - Revenue growth driven by 2.9% increase in U.S. Healthcare Solutions and 13.0% increase in International Healthcare Solutions, mainly due to higher unit volumes and growth in European distribution

ONEONCOLOGY ACQUISITION - Gross profit margin improvement and higher operating expenses attributed to the February 2026 acquisition of OneOncology

LOWER MARGIN PRODUCT MIX - Higher sales of GLP-1 products, which have lower gross profit margins, partially offset gross profit margin gains

Company press release: ID:nBw41ZmYba

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Revenue
Miss
$78.36 bln
$81.09 bln (10 Analysts)
Q2 Adjusted EPS
Miss
$4.75
$4.81 (12 Analysts)
Q2 EPS
$8.40
Q2 Net Income
$1.63 bln
Q2 Adjusted Operating Income
Slight Miss*
$1.30 bln
$1.31 bln (9 Analysts)

*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 12 "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the medical equipment, supplies & distribution peer group is "buy"

Wall Street's median 12-month price target for Cencora Inc is $400.00, about 30.8% above its May 5 closing price of $305.90

The stock recently traded at 16 times the next 12-month earnings vs. a P/E of 20 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(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.)