Home Article Cardinal Health raises profit growth for Other segment

Cardinal Health raises profit growth for Other segment

Cardinal Health raises profit growth for Other segment

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By HME News Staff

Updated 8:40 AM CDT, Thu April 30, 2026

Jason HollarDUBLIN, Ohio – Cardinal Health’s Other segment saw a 31% increase in revenue in the third quarter of fiscal year 2026 to $1.7 billion, driven by growth across the three operating segments, including at-Home Solutions. The company now expects the segment to see profit growth of 36% to 38% for the year.

Other financial results

  • Overall revenue increased 11% to $60.9 billion.
  • Third quarter GAAP operating earnings decreased 30% to $509 million and GAAP diluted earnings per share (EPS) decreased 20% to $1.69, reflecting a $184 million pre-tax goodwill impairment in the company’s Navista & ION reporting unit primarily due to changes in the risk profile of the business plans resulting in an increase in the discount rate. These changes reflect business model updates and base operational performance.
  • Third quarter non-GAAP operating earnings increased 18% to $956 million. Non-GAAP diluted EPS increased 35% to $3.17, reflecting the increase in non-GAAP operating earnings, a lower non-GAAP effective tax rate and a lower share count, partially offset by an increase in interest and other expense.

“An excellent third quarter extends our FY26 momentum, due to the durability and resilience of our business,” said Jason Hollar, CEO of Cardinal Health. “We were pleased to see strong operating performance led by Pharmaceutical and Specialty Solutions and our three growth businesses, positioning us for long-term value creation and giving us the confidence to again raise our fiscal 2026 outlook.”

Fiscal year 2026 outlook

Cardinal Health is raising and narrowing its fiscal year 2026 guidance for non-GAAP diluted EPS to a range of $10.70 to $10.80 (+30% to +31% growth). This updated guidance reflects: 

  • Pharmaceutical and Specialty Solutions segment profit growth of 22% to 23%, from the prior range of 20% to 22%. 
  • Other segment profit growth of 36% to 38%, from the prior range of 33% to 35%.

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