McKesson Q4 2025 Earnings Report
Key Takeaways
McKesson delivered a robust Q4 FY25 performance, driven by growth in U.S. pharmaceutical and specialty product volumes, particularly in oncology. The company posted a solid rise in EPS and operating income, and announced plans to separate its Medical-Surgical Solutions segment.
Q4 revenue increased 19% year-over-year, driven by strength in U.S. Pharmaceutical.
Adjusted EPS rose to $10.12, reflecting strong operational performance and a favorable tax rate.
Net income reached $1.26 billion, up 59% from the prior year.
Announced intent to spin off Medical-Surgical Solutions segment to unlock shareholder value.
McKesson
McKesson
McKesson Revenue by Segment
McKesson Revenue by Geographic Location
Forward Guidance
McKesson forecasts FY26 Adjusted EPS of $36.75 to $37.55, implying continued double-digit growth fueled by core pharma strength and strategic investments.
Positive Outlook
- FY26 Adj. EPS guidance implies 11–14% growth over FY25.
- Core pharma distribution business remains strong.
- Continued expansion of oncology platform.
- Positive contribution from recent acquisitions like PRISM Vision Holdings.
- Targeted investments in high-growth, high-margin segments.
Challenges Ahead
- Impact of divested Canadian businesses could limit international growth.
- Uncertainty around execution and timing of the Medical-Surgical Solutions spin-off.
- Litigation risks, including opioid-related liabilities, remain a factor.
- Fluctuations in tax rates could impact EPS predictability.
- Macroeconomic headwinds may affect prescription volumes or healthcare spending.
Revenue & Expenses
Visualization of income flow from segment revenue to net income