McKesson Reports Solid Earnings, Share Buyback

Shares of McKesson MCK are trading higher in the after-hours following the release of the company's Q3 earnings results. Currently, shares are higher by 0.39%, trading at $79.00; they ended the regular session lower by 0.78%, at $78.69. McKesson reported Q3 EPS of $1.40 on revenues of $30.8 billion; the Street was looking for $1.37 per share. Revenues increased 9% year over year. The company adjusted its FY 2012 outlook to $6.19-6.39 per diluted share. The Board of Directors also authorized the repurchase of up to an additional $650 million of common stock, bringing the total authorization to approximately $1.5 billion. "McKesson delivered another quarter of solid operating results, and I am pleased with our accomplishments during the first nine months of our fiscal year," said John H. Hammergren, chairman and chief executive officer. "Our strong balance sheet and cash flow also provide us with significant opportunities to create shareholder value. Today, we announced a definitive agreement to purchase for approximately CAD $920 million the independent banner and franchise businesses of Katz Group Canada Inc., a privately-owned company that operates an integrated retail pharmacy network in Canada.” McKesson Corporation provides medicines, pharmaceutical supplies, information and care management products and services across the healthcare industry.