MCK
McKesson Corporation809.96
-13.05-1.59%
Dec 16, 4:00:02 PM EST
Earnings Call Transcripts
This Quarter (Q1 '26)
No earnings call transcript available yet
Last Quarter (Q4 '25)
FY Q3 '26
Reaffirms strength, details tech gains
Q&A largely reaffirmed the prepared remarks' strong momentum, adding color on tech efficiencies like employees supporting 120 more patients during verification season via AI automation and 75% fewer DSCSA escalations. Oncology margins improved organically 15% despite sequential mix dips, with Prism and Florida Cancer integrations on track or slightly ahead, accretive to growth. Management dismissed growth deceleration fears in North American pharma, citing specialty strength and op-ex leverage for raised 8-12% FY26 op profit guide. Regulatory hurdles like IRA Part D and MFN proved navigable through manufacturer ties. No shift in cap allocation favoring internal tech over M&A. Confident tone persists; investors eye AI rollout durability.
Key Stats
Market Cap
100.75BP/E (TTM)
25.32Basic EPS (TTM)
31.99Dividend Yield
0%Recent Filings
8-K
Q4 earnings date set
8-K
CFO transition announced
McKesson announced CFO Britt Vitalone's retirement effective May 28, 2026, after giving notice on March 3; Kenny Cheung, ex-Sysco CFO, steps in May 29 with $3.5M cash sign-on and $6M RSUs. Vitalone stays on as advisor from July 2 at $50,000 monthly, aiding Medical Surgical separation. Smooth handover planned.
10-Q
Q3 FY2026 results
McKesson posted Q3 revenues of $106.2B, up 11% y/y, with gross profit climbing 12% to $3.7B at a 3.5% margin while operating income jumped 32% y/y to $1.6B. Diluted EPS hit $9.59, up 38% y/y on 123.7M shares, reconciling cleanly to $1.2B net income after $64M noncontrolling interests. Acquisitions fueled Oncology & Multispecialty growth—PRISM Vision closed April 2025 for $875M cash (80% stake, $433M goodwill, $510M intangibles) and Core Ventures June 2025 for $2.5B cash (70% stake, $775M goodwill, $2.3B intangibles)—yet cash fell to $3.0B amid $3.4B buys and $2.1B repurchases, with total debt at $6.6B and $5.0B revolver available. Free cash flow not disclosed in the 10-Q. Opioid settlements linger as a drag.
10-Q
Q2 FY2026 results
McKesson powered through Q2 FY2026 with revenues hitting $103.2B, up 10% y/y, while operating income leaped to $1.4B from $578M amid lighter restructuring charges. Gross margins held steady at 3.4%, but EPS rocketed to $8.92 (124.4M diluted shares) from $1.87, fueled by Oncology & Multispecialty growth post-Core Ventures ($2.5B cash, 70% stake, $785M goodwill, $2.3B intangibles) and PRISM Vision ($871M cash, 80% stake, $429M goodwill, $510M intangibles) buys. Cash dipped to $4.0B after $3.4B deals, offset by $2.0B debt raise; FCF not disclosed in the 10-Q. Debt stands at $7.8B. Opioid litigation lingers with $5.7B reserves.
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