McKesson Q1 Earnings Surpass Wall Street Estimate; Raises FY22 EPS Outlook

  • McKesson Corp MCK reported first-quarter FY22 adjusted EPS of $5.56, almost doubled from $2.77 a year ago, and easily beating the analyst consensus of $4.17.
  • Revenues increased 13% Y/Y to $62.67 billion, surpassing the consensus of $59.9 billion, driven by higher volumes from retail national account customers and market growth, partially offset by branded to generic conversions.
  • U.S. Pharmaceutical Segment revenues were $50 billion, an increase of 12% Y/Y.
  • Prescription Technology Solutions Segment revenues increased 34% to $881 million. Medical-Surgical Solutions revenues improved 40% to $2.5 billion, driven by improvements in primary care patient visits and increased sales of COVID-19 tests.
  • Adjusted gross profit margin improved from 4.8% to 5%.
  • Outlook: McKesson increased FY22 adjusted EPS to $19.80 - $20.40 (consensus of $19.23) from previous guidance of $18.85 – $19.45.
  • Guidance assumes $0.80 - $1.00 adjusted EPS related to the U.S. government’s COVID-19 vaccine distribution and kitting programs.
  • Related: Distributors Announce Proposed Opioid Settlement Agreement.
  • The Board of Directors had increased the quarterly dividend by 12% to $0.47 per share.
  • Price Action: MCK shares closed at $205.37 on Wednesday.
Market News and Data brought to you by Benzinga APIs
Comments
Loading...
Date
ticker
name
Actual EPS
EPS Surprise
Actual Rev
Rev Surprise
Posted In: EarningsNewsGuidanceDividendsHealth CareGeneralBriefsHealth CareHealth Care Distributors
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!