McKesson Q1 results beat estimates, lifts FY outlook

McKesson

05/08/2026 21:26

Overview
U.S. healthcare distributor's fiscal Q1 revenue rose 8%, beating analyst expectations
Adjusted EPS for fiscal Q1 increased 20% and beat analyst expectations
Company raised full-year adjusted EPS guidance and increased quarterly dividend by 15%

Outlook
McKesson raises fiscal 2027 adj EPS guidance to $44.20-$45.00 from $43.80-$44.60
Company expects fiscal 2027 adj EPS growth of 13%-15% versus prior yr

Result Drivers
SPECIALTY PRODUCTS - Growth in North American Pharmaceutical and Oncology & Multispecialty segments was driven by higher prescription volumes and specialty product distribution
ONCOLOGY & MULTISPECIALTY - Segment growth was supported by provider solutions, specialty distribution, and acquisitions
LOWER SHARE COUNT - Adjusted EPS growth benefited from a reduced share count

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
Beat
$105.38 bln
$103.74 bln (13 Analysts)
Q1 Adjusted EPS
Beat
$9.93
$9.54 (15 Analysts)
Q1 EPS
 
$5.15
 
Q1 Adjusted Net Income
Beat
$1.18 bln
$1.14 bln (10 Analysts)

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 17 "strong buy" or "buy", 2 "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 McKesson Corp is $950.00, about 14.4% above its August 4 closing price of $830.43
The stock recently traded at 18 times the next 12-month earnings vs. a P/E of 18 three months ago

Reuters Recommended Reads
Aug 5 - Cencora lifts annual profit view on strong demand for specialty medicines
Aug 5 - CVS profit outlook overshadows strong quarter, shares fall
Aug 4 - Merck posts better-than-expected second-quarter results on Keytruda strength

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.)