Cencora Reports Fiscal 2026 Second Quarter Results

Published: 2026-05-06 06:31:05 ET COR

Revenue of $78.4 billion for the Second Quarter, a 3.8 percent Increase Year-Over-Year Second Quarter GAAP Diluted EPS of $8.40 and Adjusted Diluted EPS of $4.75 Adjusted Diluted EPS Guidance Range Raised to $17.65 to $17.90 for Fiscal 2026 Cencora Expects to Repurchase $1 Billion in Shares by the End of Calendar 2026

Published on 05/06/2026 at 06:31 am EDT

Cencora, Inc. (NYSE: COR) reported that in its fiscal year 2026 second quarter ended March 31, 2026, revenue increased 3.8 percent year-over-year to $78.4 billion. On the basis of U.S. generally accepted accounting principles (GAAP), diluted earnings per share (EPS) was $8.40 for the second quarter of fiscal 2026 compared to $3.68 in the prior year second quarter. Adjusted diluted EPS, which is a non-GAAP financial measure that excludes items described below, increased 7.5 percent to $4.75 in the fiscal second quarter from $4.42 in the prior year second quarter.

Cencora is updating its outlook for fiscal year 2026. The Company does not provide forward-looking guidance on a GAAP basis as discussed below in Fiscal Year 2026 Expectations. Adjusted diluted EPS guidance has been raised from the previous range of $17.45 to $17.75 to a range of $17.65 to $17.90.

“Cencora delivered solid results in our second quarter as our team members continued to execute to meet the needs of our customers,” said Robert P. Mauch, President and Chief Executive Officer of Cencora.

“Our fiscal 2026 guidance reflects the strength of our business and focus on our strategy to create long-term value. As we move into the second half of our fiscal year, we are pleased to have made progress on debt paydown and to be in a position to resume opportunistic share repurchases,” Mr. Mauch continued.

Second Quarter Fiscal Year 2026 Summary Results

GAAP

Adjusted (Non-GAAP)

Revenue

$78.4B

Gross Profit

$3.6B

$3.4B

Operating Expenses

$2.4B

$2.1B

Operating Income

$1.1B

$1.3B

Other Income, Net

$1.1B

$8M

Interest Expense, Net

$140M

Effective Tax Rate

22.0%

18.9%

Net Income Attributable to Cencora, Inc.

$1.6B

$928M

Diluted Earnings Per Share

$8.40

$4.75

Diluted Shares Outstanding

195.4M

Below, Cencora presents descriptive summaries of the Company’s GAAP and adjusted (non-GAAP) quarterly results. In the tables that follow, GAAP results and GAAP to non-GAAP reconciliations are presented. For more information related to non-GAAP financial measures, including adjustments made in the periods presented, please refer to the “Supplemental Information Regarding Non-GAAP Financial Measures” following the tables.

Second Quarter GAAP Results

Second Quarter Adjusted (non-GAAP) Results

Segment Discussion

The Company is organized geographically based upon the products and services it provides to its customers under two reportable segments: U.S. Healthcare Solutions and International Healthcare Solutions. Additionally, other businesses for which the Company is exploring strategic alternatives have been grouped together in Other. These businesses include MWI Animal Health, Profarma, U.S. Consulting Services, and certain components of PharmaLex.

U.S. Healthcare Solutions Segment

U.S. Healthcare Solutions revenue was $68.8 billion in the second quarter of fiscal 2026, an increase of 2.9 percent compared to the same quarter of the previous fiscal year primarily due to overall market growth largely driven by unit volume growth, including increased sales of specialty products to health systems and physician practices and products labeled for diabetes and/or weight loss in the GLP-1 class. The revenue growth was offset in part by a decline in manufacturer prices related to certain brand pharmaceutical products, lower sales to our large mail order customer as a result of brand conversions, and the 2025 losses of an oncology customer and a grocery customer. Segment operating income of $998.3 million in the second quarter of fiscal 2026 was up 5.6 percent compared to the same quarter in the previous fiscal year due to the increase in gross profit, as a result of the February 2026 acquisition of OneOncology and increased product sales, offset in part by the increase in operating expenses and the 2025 loss of an oncology customer.

International Healthcare Solutions Segment

International Healthcare Solutions revenue was $7.6 billion in the second quarter of fiscal 2026, an increase of 13.0 percent compared to the previous fiscal year’s second quarter primarily due to growth in our European distribution business. Segment operating income in the second quarter of fiscal 2026 was $175.8 million, an increase of 13.7 percent, primarily due to increased operating income at our European distribution business and our global specialty logistics business. On a constant currency basis, International Healthcare Solutions revenue increased by 7.2 percent in the second quarter of fiscal 2026 compared to the previous fiscal year’s second quarter, while segment operating income increased by 12.9 percent.

Other

Revenue in Other was $2.1 billion in the second quarter of fiscal 2026, an increase of 5.1 percent compared to the previous fiscal year’s second quarter due to growth at Profarma and MWI Animal Health, offset in part by a decrease in sales at our consulting services businesses. Operating income in Other in the second quarter of fiscal 2026 was $91.6 million, a decrease of 1.3 percent, primarily due to lower operating income at our consulting services businesses, offset in part by an increase in operating income at MWI Animal Health.

Recent Company Highlights & Milestones

Fiscal Year 2026 Expectations on an Adjusted (non-GAAP) Basis

Cencora is now updating its fiscal year 2026 financial guidance which reflects its strong full year fiscal 2026 operating income growth in the U.S. Healthcare Solutions segment and updated operating income expectations in Other as a result of MWI now being accounted for as “held for sale”. Additionally, the Company has narrowed its expectations for interest expense and now expects an incrementally lower expected share count as it resumes opportunistic share repurchases.

2026 Guidance(1)

Fiscal 2025 Actuals

Revenue

4% to 6% growth

$321.3B

U.S. Healthcare Solutions Segment(2)

4% to 6% growth

$285.0B

International Healthcare Solutions Segment(2)(3)

8% to 10% growth

$28.3B

Other(2)

1% to 5% growth

$8.2B

Adjusted operating income

12% to 14% growth

$4.2B

U.S. Healthcare Solutions Segment(2)

14% to 16% growth

$3.3B

International Healthcare Solutions Segment(2)(3)

5% to 8% growth

$588M

Other(2)

High-single digit growth

$352M

Adjusted diluted earnings per share

$17.65 to $17.90

$16.00

Net interest expense

~$485M

$292M

Adjusted effective tax rate

~20%

20.6%

Diluted weighted average shares outstanding

Under 195.5M

195.2M

Adjusted free cash flow

~$3.0B

$3.0B

Capital expenditures

~$900M

$668M

(1) Bolded figures indicate updates to guidance metrics.

(2) For further detail on fiscal 2025 revised reportable segment information, please reference Exhibit 99.2 to the Company’s Current Report on Form 8-K dated November 5, 2025.

(3) As reported guidance. For additional details regarding updated guidance expectations on a constant currency basis, please refer to our slide presentation for investors posted on the Company’s website at investor.cencora.com.

Dividend Declaration

The Company’s Board of Directors declared a quarterly cash dividend of $0.60 per common share, payable June 1, 2026, to stockholders of record at the close of business on May 15, 2026.

Conference Call & Slide Presentation

The Company will host a conference call to discuss its operating results at 8:30 a.m. ET on May 6, 2026. A slide presentation for investors has also been posted on the Company’s website at investor.cencora.com. Participating in the conference call will be:

The dial-in number for the live call will be +1 (833) 461-5787. From outside the United States and Canada, dial +1 (585) 542-9983. The meeting ID for the call will be 280720750 and the access code will be 528015. The live call will also be webcast via the Company’s website at investor.cencora.com. Users are encouraged to log on to the webcast approximately 10 minutes in advance of the scheduled start time of the call.

A replay of the webcast will be posted on investor.cencora.com approximately one hour after the completion of the call and will remain available for one year.

Upcoming Investor Event

Cencora management will be attending the following investor event in the coming months:

Please check the Company website for updates regarding the timing of the live presentation webcasts, if any, and for replay information.

About Cencora

Cencora is a leading global pharmaceutical solutions organization centered on improving the lives of people and animals around the world. We partner with pharmaceutical innovators across the value chain to facilitate and optimize market access to therapies. Care providers depend on us for the secure, reliable delivery of pharmaceuticals, healthcare products, and solutions. Our worldwide team members contribute to positive health outcomes through the power of our purpose: We are united in our responsibility to create healthier futures. Cencora is ranked #10 on the Fortune 500 and #18 on the Global Fortune 500 with more than $300 billion in annual revenue. Learn more at investor.cencora.com

Cencora’s Cautionary Note Regarding Forward-Looking Statements

Certain of the statements contained in this press release are “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended (the “Securities Exchange Act”). Words such as “aim,” “anticipate,” “believe,” “can,” “continue,” “could,” “estimate,” “expect,” “intend,” “may,” “might,” “on track,” “opportunity,” “plan,” “possible,” “potential,” “predict,” “project,” “seek,” “should,” “strive,” “sustain,” “synergy,” “target,” “will,” “would” and similar expressions are intended to identify such forward-looking statements, but the absence of these words does not mean the statement is not forward-looking. These statements are based on management’s current expectations and are subject to uncertainty and changes in circumstances and speak only as of the date hereof. These statements are not guarantees of future performance and are based on assumptions and estimates that could prove incorrect or could cause actual results to vary materially from those indicated. A more detailed discussion of the risks and uncertainties that could cause our actual results to differ materially from those indicated is included (i) in the "Risk Factors" and "Management's Discussion and Analysis" sections in the Company’s Annual Report on Form 10-K for the fiscal year ended September 30, 2025 and elsewhere in that report and (ii) in other reports filed by the Company pursuant to the Securities Exchange Act. The Company undertakes no obligation to publicly update or revise any forward-looking statements, except as required by the federal securities laws.

CENCORA, INC.

FINANCIAL SUMMARY

(in thousands, except per share data)

(unaudited)

Three Months Ended March 31, 2026

% of Revenue

Three Months Ended March 31, 2025

% of Revenue

% Change

Revenue

78,355,916

75,453,673

3.8%

Cost of goods sold 1

74,767,577

72,393,864

3.3%

Gross profit

3,588,339

4.58%

3,059,809

4.06%

17.3%

Operating expenses:

Distribution, selling, and administrative

1,977,559

2.52%

1,600,040

2.12%

23.6%

Depreciation and amortization

249,292

0.32%

259,818

0.34%

(4.1)%

Litigation and opioid-related expenses

13,858

11,524

Acquisition and divestiture-related deal and integration expenses

164,164

99,380

Restructuring and other expenses

40,873

52,857

Total operating expenses

2,445,746

3.12%

2,023,619

2.68%

20.9%

Operating income

1,142,593

1.46%

1,036,190

1.37%

10.3%

Other (income) loss, net 2

(1,086,439

)

3,546

Interest expense, net

140,460

103,988

35.1%

Income before income taxes

2,088,572

2.67%

928,656

1.23%

124.9%

Income tax expense

459,044

211,239

Net income

1,629,528

2.08%

717,417

0.95%

127.1%

Net loss attributable to noncontrolling interests

11,804

454

Net income attributable to Cencora, Inc.

1,641,332

2.09%

717,871

0.95%

128.6%

Earnings per share:

Basic

8.44

3.70

128.1%

Diluted

8.40

3.68

128.3%

Weighted average common shares outstanding:

Basic

194,545

193,796

0.4%

Diluted

195,383

195,094

0.1%

________________________

Includes a $16.5 million gain from antitrust litigation settlements, a $210.0 million LIFO credit, and Türkiye foreign currency remeasurement expense of $12.2 million in the three months ended March 31, 2026. Includes a $198.6 million gain from antitrust litigation settlements, a $39.5 million LIFO expense, and Türkiye foreign currency remeasurement expense of $14.5 million in the three months ended March 31, 2025.

In connection with the acquisition of OneOncology, the Company recorded a $1.1 billion gain on the remeasurement of its equity method investment and the extinguishment of the put option liability related to its previously held investment in OneOncology in the three months ended March 31, 2026.

CENCORA, INC.

FINANCIAL SUMMARY

(in thousands, except per share data)

(unaudited)

Six Months Ended March 31, 2026

% of Revenue

Six Months Ended March 31, 2025

% of Revenue

% Change

Revenue

164,287,932

156,940,733

4.7%

Cost of goods sold 1

157,627,522

151,322,886

4.2%

Gross profit

6,660,410

4.05%

5,617,847

3.58%

18.6%

Operating expenses:

Distribution, selling, and administrative

3,772,848

2.30%

3,072,095

1.96%

22.8%

Depreciation and amortization

509,693

0.31%

538,310

0.34%

(5.3)%

Litigation and opioid-related (credit) expenses, net 2

(72,293

)

28,289

Acquisition and divestiture-related deal and integration expenses

242,583

138,092

Restructuring and other expenses, net

55,039

98,617

Impairment of assets, including goodwill 3

249,498

—

Total operating expenses

4,757,368

2.90%

3,875,403

2.47%

22.8%

Operating income

1,903,042

1.16%

1,742,444

1.11%

9.2%

Other (income) loss, net 4

(1,107,039

)

61,420

Interest expense, net

212,869

131,921

61.4%

Income before income taxes

2,797,212

1.70%

1,549,103

0.99%

80.6%

Income tax expense

601,558

337,967

Net income

2,195,654

1.34%

1,211,136

0.77%

81.3%

Net loss (income) attributable to noncontrolling interests

5,325

(4,665

)

Net income attributable to Cencora, Inc.

2,200,979

1.34%

1,206,471

0.77%

82.4%

Earnings per share:

Basic

11.32

6.23

81.7%

Diluted

11.27

6.18

82.4%

Weighted average common shares outstanding:

Basic

194,383

193,780

0.3%

Diluted

195,352

195,144

0.1%

________________________

Includes a $28.7 million gain from antitrust litigation settlements, a $287.6 million LIFO credit, and Türkiye foreign currency remeasurement expense of $23.0 million in the six months ended March 31, 2026. Includes a $221.5 million gain from antitrust litigation settlements, a $32.1 million LIFO expense, and Türkiye foreign currency remeasurement expense of $21.6 million in the six months ended March 31, 2025.

Includes an $86.8 million credit related to a derivative lawsuit settlement in the six months ended March 31, 2026.

Impairment of assets held for sale, including goodwill, related to our U.S. Consulting Services business.

CENCORA, INC.

GAAP TO NON-GAAP RECONCILIATIONS

(in thousands, except per share data)

(unaudited)

Three Months Ended March 31, 2026

Gross Profit

Operating Expenses

Operating Income

Income Before Income Taxes

Income Tax Expense

Net Income Attributable to Cencora

Diluted Earnings Per Share

GAAP

3,588,339

2,445,746

1,142,593

2,088,572

459,044

1,641,332

8.40

Gains from antitrust litigation settlements

(16,538

)

—

(16,538

)

(16,538

)

(2,346

)

(14,192

)

(0.07

)

LIFO credit

(210,030

)

—

(210,030

)

(210,030

)

(35,761

)

(174,269

)

(0.89

)

Türkiye highly inflationary impact

12,153

—

12,153

10,474

—

10,474

0.05

Acquisition-related intangibles amortization

—

(116,276

)

116,276

13,407

102,211

0.52

Litigation and opioid-related expenses

—

(13,858

)

13,858

9,454

4,404

0.02

Acquisition and divestiture-related deal and integration expenses

—

(164,164

)

164,164

32,393

131,771

0.67

Restructuring and other expenses

—

(40,873

)

40,873

4,265

36,608

0.19

Remeasurement gain related to OneOncology acquisition 1

—

(1,086,612

)

(252,460

)

(834,152

)

(4.27

)

Other, net

—

7,691

(1,833

)

9,524

0.05

Tax reform 2

—

1,880

(12,482

)

14,362

0.07

Adjusted Non-GAAP

3,373,924

2,110,575

1,263,349

1,130,608

213,681

928,073

4.75

Adjusted Non-GAAP % change vs. prior year

15.7

22.5

6.0

3.8

(5.7

7.6

7.5

Percentages of Revenue:

GAAP

Adjusted Non-GAAP

Gross profit

4.58%

4.31%

Operating expenses

3.12%

2.69%

Operating income

1.46%

1.61%

________________________

In connection with the acquisition of OneOncology, the Company recorded a gain on the remeasurement of its equity method investment and the extinguishment of the put option liability related to its previously held investment in OneOncology.

Tax reform includes the foreign currency remeasurement of Swiss deferred tax assets arising from 2020 Swiss tax reform and the amortization of those deferred tax assets.

The sum of the components does not equal the total due to rounding.

CENCORA, INC.

GAAP TO NON-GAAP RECONCILIATIONS

(in thousands, except per share data)

(unaudited)

Three Months Ended March 31, 2025

Gross Profit

Operating Expenses

Operating Income

Income Before Income Taxes

Income Tax Expense

Net Income Attributable to Cencora

Diluted Earnings Per Share

GAAP

3,059,809

2,023,619

1,036,190

928,656

211,239

717,871

3.68

Gains from antitrust litigation settlements

(198,646

)

—

(198,646

)

(198,646

)

(54,162

)

(144,484

)

(0.74

)

LIFO expense

39,469

—

39,469

10,899

28,570

0.15

Türkiye highly inflationary impact

14,479

—

14,479

18,394

—

18,394

0.09

Acquisition-related intangibles amortization

—

(137,011

)

137,011

35,632

100,628

0.52

Litigation and opioid-related expenses

—

(11,524

)

11,524

2,964

8,560

0.04

Acquisition and divestiture-related deal and integration expenses

—

(99,380

)

99,380

16,517

82,863

0.42

Restructuring and other expenses

—

(52,857

)

52,857

13,953

38,904

0.20

Other, net

—

5,763

952

4,811

0.02

Tax reform 1

—

(4,855

)

(11,367

)

6,512

0.03

Adjusted Non-GAAP

2,915,111

1,722,847

1,192,264

1,089,553

226,627

862,629

4.42

Percentages of Revenue:

GAAP

Adjusted Non-GAAP

Gross profit

4.06%

3.86%

Operating expenses

2.68%

2.28%

Operating income

1.37%

1.58%

________________________

Tax reform includes the foreign currency remeasurement of Swiss deferred tax assets arising from 2020 Swiss tax reform and the amortization of those deferred tax assets.

The sum of the components does not equal the total due to rounding.

Note: For more information related to non-GAAP financial measures, refer to the section titled “Supplemental Information Regarding Non-GAAP Financial Measures” of this release.

CENCORA, INC.

GAAP TO NON-GAAP RECONCILIATIONS

(in thousands, except per share data)

(unaudited)

Six Months Ended March 31, 2026

Gross Profit

Operating Expenses

Operating Income

Income Before Income Taxes

Income Tax Expense

Net Income Attributable to Cencora

Diluted Earnings Per Share

GAAP

6,660,410

4,757,368

1,903,042

2,797,212

601,558

2,200,979

11.27

Gains from antitrust litigation settlements

(28,690

)

—

(28,690

)

(28,690

)

(5,708

)

(22,982

)

(0.12

)

LIFO credit

(287,592

)

—

(287,592

)

(287,592

)

(57,222

)

(230,370

)

(1.18

)

Türkiye highly inflationary impact

23,042

—

23,042

19,197

—

19,197

0.10

Acquisition-related intangibles amortization

—

(241,434

)

241,434

48,038

191,905

0.98

Litigation and opioid-related credit, net 1

—

72,293

(72,293

)

(72,293

)

(14,384

)

(57,909

)

(0.30

)

Acquisition and divestiture-related deal and integration expenses

—

(242,583

)

242,583

42,432

200,151

1.02

Restructuring and other expenses, net

—

(55,039

)

55,039

11,546

43,493

0.22

Impairment of assets, including goodwill 2

—

(249,498

)

249,498

54,381

195,117

1.00

Remeasurement gain related to OneOncology acquisition 3

—

(1,086,612

)

(252,460

)

(834,152

)

(4.27

)

Other, net

—

6,817

)

6,825

0.03

Tax reform 4

—

(12,472

)

(25,725

)

13,253

0.07

Adjusted Non-GAAP

6,367,170

4,041,107

2,326,063

2,124,121

402,448

1,725,507

8.83

Adjusted Non-GAAP % change vs. prior year

16.8

22.1

8.6

5.9

(1.8

8.5

8.3

Percentages of Revenue:

GAAP

Adjusted Non-GAAP

Gross profit

4.05%

3.88%

Operating expenses

2.90%

2.46%

Operating income

1.16%

1.42%

________________________

Includes an $86.8 million credit related to a derivative lawsuit settlement.

Impairment of assets held for sale, including goodwill, related to our U.S. Consulting Services business.

Tax reform includes the foreign currency remeasurement of Swiss deferred tax assets arising from 2020 Swiss tax reform and the amortization of those deferred tax assets.

The sum of the components does not equal the total due to rounding.

Note: For more information related to non-GAAP financial measures, refer to the section titled “Supplemental Information Regarding Non-GAAP Financial Measures” of this release.

CENCORA, INC.

GAAP TO NON-GAAP RECONCILIATIONS

(in thousands, except per share data)

(unaudited)

Six Months Ended March 31, 2025

Gross Profit

Operating Expenses

Operating Income

Income Before Income Taxes

Income Tax Expense

Net Income Attributable

to Cencora

Diluted Earnings

Per Share

GAAP

5,617,847

3,875,403

1,742,444

1,549,103

337,967

1,206,471

6.18

Gains from antitrust litigation settlements

(221,516

)

—

(221,516

)

(221,516

)

(60,692

)

(160,824

)

(0.82

)

LIFO expense

32,145

—

32,145

8,807

23,338

0.12

Türkiye highly inflationary impact

21,634

—

21,634

26,060

—

26,060

0.13

Acquisition-related intangibles amortization

—

(301,867

)

301,867

82,707

217,975

1.12

Litigation and opioid-related expenses

—

(28,289

)

28,289

7,751

20,538

0.11

Acquisition and divestiture-related deal and integration expenses

—

(138,092

)

138,092

27,571

110,521

0.57

Restructuring and other expenses

—

(98,617

)

98,617

27,020

71,597

0.37

Loss on divestiture of non-core businesses

—

35,539

—

35,539

0.18

Other, net

—

7,694

1,875

5,819

0.03

Tax reform 1

—

10,349

(23,042

)

33,391

0.17

Adjusted Non-GAAP

5,450,110

3,308,538

2,141,572

2,006,239

409,964

1,590,425

8.15

Percentages of Revenue:

GAAP

Adjusted

Non-GAAP

Gross profit

3.58%

3.47%

Operating expenses

2.47%

2.11%

Operating income

1.11%

1.36%

________________________

Tax reform includes the foreign currency remeasurement of Swiss deferred tax assets arising from 2020 Swiss tax reform and the amortization of those deferred tax assets.

The sum of the components does not equal the total due to rounding.

Note: For more information related to non-GAAP financial measures, refer to the section titled “Supplemental Information Regarding Non-GAAP Financial Measures” of this release.

CENCORA, INC.

SUMMARY SEGMENT INFORMATION

(in thousands)

(unaudited)

Three Months Ended March 31,

Revenue

2026

2025

% Change

U.S. Healthcare Solutions

68,765,078

66,819,265

2.9%

International Healthcare Solutions

7,565,749

6,696,779

13.0%

Other

2,055,571

1,956,407

5.1%

Intersegment eliminations

(30,482

)

(18,778

)

Revenue

78,355,916

75,453,673

3.8%

Three Months Ended March 31,

Operating income

2026

2025

% Change

U.S. Healthcare Solutions

998,300

944,969

5.6%

International Healthcare Solutions

175,797

154,598

13.7%

Other

91,633

92,851

(1.3)%

Intersegment eliminations

(2,381

)

(154

)

Total segment operating income

1,263,349

1,192,264

6.0%

Gains from antitrust litigation settlements

16,538

198,646

LIFO credit (expense)

210,030

(39,469

)

Türkiye highly inflationary impact

(12,153

)

(14,479

)

Acquisition-related intangibles amortization

(116,276

)

(137,011

)

Litigation and opioid-related expenses

(13,858

)

(11,524

)

Acquisition and divestiture-related deal and integration expenses

(164,164

)

(99,380

)

Restructuring and other expenses

(40,873

)

(52,857

)

Operating income

1,142,593

1,036,190

10.3%

Percentages of Revenue:

U.S. Healthcare Solutions

Gross profit

3.28

2.82

Operating expenses

1.82

1.40

Operating income

1.45

1.41

International Healthcare Solutions

Gross profit

10.76

10.70

Operating expenses

8.44

8.39

Operating income

2.32

2.31

Other

Gross profit

15.16

16.27

Operating expenses

10.70

11.53

Operating income

4.46

4.75

Cencora, Inc. (GAAP)

Gross profit

4.58

4.06

Operating expenses

3.12

2.68

Operating income

1.46

1.37

Cencora, Inc. (Non-GAAP)

Adjusted gross profit

4.31

3.86

Adjusted operating expenses

2.69

2.28

Adjusted operating income

1.61

1.58

Note: For more information related to non-GAAP financial measures, refer to the section titled “Supplemental Information Regarding Non-GAAP Financial Measures” of this release.

CENCORA, INC.

SUMMARY SEGMENT INFORMATION

(in thousands)

(unaudited)

Six Months Ended March 31,

Revenue

2026

2025

% Change

U.S. Healthcare Solutions

144,976,903

139,374,559

4.0%

International Healthcare Solutions

15,189,722

13,655,674

11.2%

Other

4,184,518

3,958,862

5.7%

Intersegment eliminations

(63,211

)

(48,362

)

Revenue

164,287,932

156,940,733

4.7%

Six Months Ended March 31,

Operating income

2026

2025

% Change

U.S. Healthcare Solutions

1,829,630

1,631,894

12.1%

International Healthcare Solutions

317,953

319,778

(0.6)%

Other

183,050

190,180

(3.7)%

Intersegment eliminations

(4,570

)

(280

)

Total segment operating income

2,326,063

2,141,572

8.6%

Gains from antitrust litigation settlements

28,690

221,516

LIFO credit (expense)

287,592

(32,145

)

Türkiye highly inflationary impact

(23,042

)

(21,634

)

Acquisition-related intangibles amortization

(241,434

)

(301,867

)

Litigation and opioid-related credit (expenses), net

72,293

(28,289

)

Acquisition and divestiture-related deal and integration expenses

(242,583

)

(138,092

)

Restructuring and other expenses, net

(55,039

)

(98,617

)

Impairment of assets, including goodwill

(249,498

)

—

Operating income

1,903,042

1,742,444

9.2%

Percentages of Revenue:

U.S. Healthcare Solutions

Gross profit

2.85

2.39

Operating expenses

1.59

1.22

Operating income

1.26

1.17

International Healthcare Solutions

Gross profit

10.56

10.84

Operating expenses

8.46

8.50

Operating income

2.09

2.34

Other

Gross profit

15.20

16.07

Operating expenses

10.83

11.26

Operating income

4.37

4.80

Cencora, Inc. (GAAP)

Gross profit

4.05

3.58

Operating expenses

2.90

2.47

Operating income

1.16

1.11

Cencora, Inc. (Non-GAAP)

Adjusted gross profit

3.88

3.47

Adjusted operating expenses

2.46

2.11

Adjusted operating income

1.42

1.36

Note: For more information related to non-GAAP financial measures, refer to the section titled “Supplemental Information Regarding Non-GAAP Financial Measures” of this release.

CENCORA, INC.

CONDENSED CONSOLIDATED BALANCE SHEETS

(in thousands)

(unaudited)

March 31,

September 30,

2026

2025

ASSETS

Current assets:

Cash and cash equivalents

2,176,496

4,356,138

Accounts receivable, net

24,893,220

25,225,299

Inventories

20,010,006

20,492,480

Right to recover assets

1,574,708

1,625,817

Prepaid expenses and other

636,815

539,339

Assets held for sale

3,849,666

—

Total current assets

53,140,911

52,239,073

Property and equipment, net

2,805,419

2,539,076

Goodwill and other intangible assets

22,507,385

17,450,701

Deferred income taxes

192,825

208,810

Other long-term assets

3,005,560

4,152,452

Total assets

81,652,100

76,590,112

LIABILITIES AND STOCKHOLDERS’ EQUITY

Current liabilities:

Accounts payable

51,881,816

54,719,761

Accrued expenses and other

3,195,861

2,982,993

Short-term debt

202,660

117,785

Liabilities held for sale

851,949

—

Total current liabilities

56,132,286

57,820,539

Long-term debt

12,182,860

7,542,988

Accrued income taxes

352,768

337,631

Deferred income taxes

1,748,178

1,620,724

Accrued litigation liability

3,856,483

3,881,283

Other liabilities

3,794,575

3,639,862

Total stockholders’ equity

3,584,950

1,747,085

Total liabilities and stockholders’ equity

81,652,100

76,590,112

CENCORA, INC.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(in thousands)

(unaudited)

Six Months Ended March 31,

2026

2025

Operating Activities:

Net income

2,195,654

1,211,136

Adjustments to reconcile net income to net cash (used in) provided by operating activities

(244,232

)

815,487

Changes in operating assets and liabilities, excluding the effects of acquisitions and divestitures:

Accounts receivable

(308,675

)

(218,043

)

Inventories

(120,202

)

34,252

Accounts payable

(2,193,885

)

(669,479

)

Other, net

(295,190

)

(540,897

)

Net cash (used in) provided by operating activities

(966,530

)

632,456

Investing Activities:

Capital expenditures

(284,994

)

(234,953

)

Cost of acquired companies, net of cash acquired

(4,932,036

)

(3,947,761

)

Cost of equity investments

(19,210

)

(192,576

)

Other, net

62,024

(45,372

)

Net cash used in investing activities

(5,174,216

)

(4,420,662

)

Financing Activities:

Net debt borrowings 1

4,377,761

3,455,501

Purchases of common stock

—

(435,471

)

Cash dividends on common stock

(243,972

)

(222,076

)

Employee tax withholdings related to restricted share vesting

(105,186

)

(77,558

)

Other, net

(6,832

)

(2,984

)

Net cash provided by financing activities

4,021,771

2,717,412

Effect of exchange rate changes on cash, cash equivalents, and restricted cash

(14,825

)

(48,520

)

Decrease in cash, cash equivalents, and restricted cash, including cash classified within assets held for sale

(2,133,800

)

(1,119,314

)

Less: Increase in cash classified within assets held for sale

(24,487

)

—

Decrease in cash, cash equivalents, and restricted cash

(2,158,287

)

(1,119,314

)

Cash, cash equivalents, and restricted cash at beginning of period 2

4,394,549

3,297,880

Cash, cash equivalents, and restricted cash at end of period 2

2,236,262

2,178,566

________________________

Includes the issuance of $3.0 billion of senior notes and $1.5 billion of term loans to finance a portion of the February 2, 2026 acquisition of OneOncology in the six months ended March 31, 2026. Includes the issuance of $1.8 billion of senior notes and a $1.5 billion term loan to finance a portion of the January 2, 2025 acquisition of Retina Consultants of America in the six months ended March 31, 2025.

The following represents a reconciliation of cash and cash equivalents in the Condensed Consolidated Balance Sheets to cash, cash equivalents, and restricted cash in the Condensed Consolidated Statements of Cash Flows:

March 31, 2026

September 30, 2025

March 31, 2025

September 30, 2024

Cash and cash equivalents

2,176,496

4,356,138

1,978,061

3,132,648

Restricted cash (included in Prepaid Expenses and Other)

59,766

38,411

132,298

98,596

Restricted cash (included in Other Long-Term Assets)

—

68,207

66,636

Cash, cash equivalents, and restricted cash

2,236,262

4,394,549

2,178,566

3,297,880

SUPPLEMENTAL INFORMATION REGARDING NON-GAAP FINANCIAL MEASURES

To supplement the financial measures prepared in accordance with U.S. generally accepted accounting principles (GAAP), the Company uses the non-GAAP financial measures described below. The non-GAAP financial measures should be viewed in addition to, and not in lieu of, financial measures calculated in accordance with GAAP. These supplemental measures may vary from, and may not be comparable to, similarly titled measures by other companies.

The non-GAAP financial measures are presented because management uses non-GAAP financial measures to evaluate the Company’s operating performance, to perform financial planning, and to determine incentive compensation. Therefore, the Company believes that the presentation of non-GAAP financial measures provides useful supplementary information to, and facilitates additional analysis by, investors. The presented non-GAAP financial measures exclude items that management does not believe reflect the Company’s core operating performance because such items are outside the control of the Company or are inherently unusual, non-operating, unpredictable, non-recurring, or non-cash. We have included the following non-GAAP earnings-related financial measures in this release:

Reconciliation of adjusted free cash flows

Operating cash flows

$(966.5)M

Capital expenditures

$(285.0)M

Free cash flows

$(1,251.5)M

Less gains from antitrust litigation settlements

$(28.7)M

Adjusted free cash flows

$(1,280.2)M

The Company also presents certain information related to current period operating results in “constant currency,” which is a non-GAAP financial measure. These amounts are calculated by translating current period results at the foreign currency exchange rates used in the comparable period in the prior year. The Company presents such constant currency financial information because it has significant operations outside of the United States reporting in currencies other than the U.S. dollar and this presentation provides a framework to assess how its business performed excluding the impact of foreign currency exchange rate fluctuations. Below is a summary of revenue and adjusted operating income on an as-reported basis and on a constant currency basis for the three months ended March 31, 2026:

Revenue

Adjusted Operating income

Consolidated

As reported

$78.4B

$1,263M

Impact of foreign currency translation

$(0.4)B

$(1)M

Constant currency

$78.0B

$1,262M

International Healthcare Solutions segment

As reported

$7.6B

$176M

Impact of foreign currency translation

$(0.4)B

$(1)M

Constant currency

$7.2B

$175M

In addition, the Company has provided non-GAAP fiscal year 2026 guidance for diluted earnings per share, operating income, effective income tax rate, and free cash flow that excludes the same or similar items as those that are excluded from the historical non-GAAP financial measures, as well as significant items that are outside the control of the Company or inherently unusual, non-operating, unpredictable, non-recurring or non-cash in nature. The Company does not provide forward looking guidance on a GAAP basis for such metrics because certain financial information, the probable significance of which cannot be determined, is not available and cannot be reasonably estimated. For example, LIFO expense (credit) is largely dependent upon the future inflation or deflation of brand and generic pharmaceuticals, which is out of the Company’s control, and acquisition-related intangibles amortization depends on the timing and amount of future acquisitions, which cannot be reasonably estimated. Similarly, the timing and amount of favorable and unfavorable settlements, the probable significance of which cannot be determined, are unavailable and cannot be reasonably estimated.

View source version on businesswire.com: https://www.businesswire.com/news/home/20260505677153/en/