Cardinal Health sees more runway in fragmented at-home medical supplies market

DUBLIN, Ohio – Cardinal Health says its acquisitions of Strive Medical and AdaptHealth's diabetes business are expected to add about two percentage points of growth to its Other segment in fiscal year 2027.

Officials say the company recently completed its acquisition of Strive Medical and it expects to complete its acquisition of AdaptHealth’s diabetes business sometime in the second half of the year.

The deals strengthen Cardinal Health's position in the growing at-home medical supplies and diabetes supplies markets, company officials said during a recent conference call to discuss fourth-quarter and fiscal year 2026 financial results.

“This is a fast-growing part of the business, part of the market still,” said Jason Hollar, CEO. “Yet, it is quite fragmented, and that is where we saw the opportunities with Strive and the diabetes division within AdaptHealth. There is still a lot of opportunities to scale up there.”

Cardinal Health has baked in contributions from both acquisitions into its fiscal year 2027 guidance. The company projects 11% to 13% revenue growth and 15% to 18% profit growth for the Other segment, which includes at-Home Solutions.

The acquisitions of Strive Medical and AdaptHealth’s diabetes business follow Cardinal Health’s acquisition of Advanced Diabetes Supplies (ADS) in 2025. It also owns Edgepark, another provider of home-delivered medical supplies.

“These additions enhance the framework established by our ADS acquisition, where we are seeing greater than anticipated synergies,” Hollar said. “Our actions to date have focused on building the foundations of an at-Home operation that we can profitably scale in support of our customers, whether that be patients in the home or other at-home distributors.”

Hollar said the businesses provide an opportunity not only to scale but also to improve Cardinal Health’s offerings in the market.

“We are creating a much better service and capabilities on top of a very strong foundation that was already built by those that started those businesses,” he said.

Hollar said the company's recent acquisition strategy aligns with its multi-year investment plan focused on expanding in high-growth markets and leveraging efficiencies in those markets.

“We are sticking to our knitting and getting it done,” he said.