In brief: ACU-Serve’s executive boost, CMS’s next prior auth move, McKesson’s & Medline’s results

AKRON, Ohio – ACU-Serve has appointed Natasha Baria Mehta as president, a strategic leadership addition that the company says reflects its continued investment in growth, operational excellence and innovation across the health care revenue cycle management (RCM) industry.

In this role, Mehta will oversee operational strategy, organizational performance and long-term growth initiatives across ACU-Serve’s HME, infusion and home health divisions. She will focus on strengthening operational alignment, enhancing client outcomes, advancing scalable technology solutions and supporting health care providers in navigating increasingly complex reimbursement and compliance environments.

“Natasha is stepping in this role at a pivotal time for ACU-Serve, as we continue to build for the future,” said Jim Knight, CEO of ACU-Serve. “As part of our long-term growth and succession strategy, we were focused on finding a leader who not only brings deep operational expertise but also understands how to help scale a company while maintaining strong client relationships and measurable performance. Natasha’s experience leading complex health care revenue cycle organizations, combined with her strategic mindset and disciplined execution, makes her the right person to help lead ACU-Serve into its next phase of growth.”

Mehta brings more than 25 years of health care RCM experience to the role. She most recently served as president and CEO at GetixHealth, where she led a global workforce of nearly 2,000 employees across 10 locations, supporting some of the national’s largest health care organizations and health systems while managing more than $12 billion in revenue.

Prior to GetixHealth, Mehta held senior leadership positions at HCA Healthcare/Parallon, McKesson Specialty Health, Deloitte Consulting and St. Luke’s Episcopal Health System.

“What drew me to ACU-Serve was the people and the culture,” Mehta said. “Revenue cycle management can be done anywhere, but organizations built on integrity, transparency, collaboration and respect stand apart. ACU-Serve has built a strong foundation inn highlight specialized markets, and I’m excited to work alongside this team as we continue to growth both deeper within our industries and broader in the solutions we provider to clients.”

CMS takes next step to improve prior authorizations

WASHINGTON – The Centers for Medicare & Medicaid Services has added electronic prior authorization to its Health Tech Ecosystem. The agency says health systems, hospitals, physician practices, electronic health record (EHR) vendors and digital health developers are now joining payers as a unified coalition aligned around improving electronic prior authorization.

Working groups have been formed, vendors work to streamline process

• Committed working groups across these stakeholders will align on Interoperability and Prior Authorization Final Rule deadlines, addressing workflow gaps and technical handoffs.
• The agency has also been working with EHR vendors to streamline and digitize the prior authorization process for medical items and services. As of Jan. 1, 2026, impacted payers across Medicare Advantage, CHIP and Marketplace plans are required to send prior authorization decisions for medical items and services within 72 hours for expedited requests and seven calendar days for standard requests. Electronic prior authorization interfaces from these payers will go live Jan. 1, 2027.

Commentary from CMS Administrator Dr. Mehmet Oz

“CMS has engaged extensively with the health tech community, working with vendors to embed electronic prior authorization directly into EHRs, and with health IT developers to ensure that implementation guides reflect real-world workflows. This ecosystem-wide coordination is what separates this effort from previous attempts at prior authorization reform. When data flows seamlessly -- between a provider’s EHR, the payer’s electronic prior authorization interfaces, and a patient’s health record -- the entire system becomes more responsive, more accountable, and more focused on what matters most: getting patients the care they need without unnecessary delays or burdens.”

Early results on reduced prior authorizations

Last year, the U.S. Department of Health and Human Services and CMS announced a pledge with major health plans from across the country to streamline and improve the prior authorization process across the entire health care industry.

Since then, CMS says, the health care industry has already begun delivering results. For example:

• Leading health plans announced in April that they eliminated 11% of prior authorizations across a range of medical services, representing 6.5 million fewer prior authorizations for patients.
• One large national plan is eliminating authorization requirements for 30% of health care services and has committed to reviewing and removing additional requirements.

Additional information

• Health care providers can visit CMS’s Electronic Prior Authorization webpage to learn more and get started.
• View a video message from Oz and a timeline highlighting CMS’s progress in improving prior authorization.

McKesson says it is well-positioned going into 2027

IRVING, Texas – McKesson Corp. has reported consolidated revenues of $96.3 billion for the fourth quarter of fiscal year 2026, a 6% increase. It reported revenues of $403.4 billion for the full year, a 12% increase.

Fourth quarter highlights:

• Earnings per diluted share of $13.71 increased $3.70.
• Adjusted Earnings per diluted share of $11.69 increased 16%.
• McKesson entered into a $2.25 billion accelerated share repurchase program.
• McKesson’s board of directors approved a $5 billion increase to the share repurchase program, bringing the total share repurchase authorization to $7.7 billion as of April 2026.

Full year highlights:

• Earnings per diluted share of $38.38 increased $12.66.
• Adjusted earnings per diluted share of $39.11 increased 18%, above previously communicated long-range growth targets.
• Cash flow from operations of $6.2 billion and free cash flow of $5.4 billion

For the Medical-Surgical Solutions Segment

Fourth quarter highlights:

• Revenues were $2.9 billion, an increase of 1%, driven by specialty pharmaceutical volumes, offset by lower contributions from the ambulatory care channel.
• Segment operating profit was $232 million. Adjusted segment operating profit was $271 million, a decrease of 5%, driven by lower contributions from the ambulatory care channel.

Full year highlights:

• Revenues were $11.5 billion, an increase of 1%, driven by specialty pharmaceutical volumes, offset by lower contributions from the ambulatory care channel.
• Segment operating profit was $938 million. Adjusted segment operating profit was $1 billion, an increase of 1%, driven by cost optimization, offset by lower contributions from the ambulatory care channel.

CEO commentary

“Looking ahead to fiscal 2027, we are well-positioned to build upon this momentum,” said CEO Brian Tyler. “We remain committed to executing with discipline across the portfolio, investing in high-growth and high-margin areas in Oncology and Biopharma Services. By combining our operating execution with a more focused and optimized portfolio, we will continue to deliver sustainable growth and create long-term value for our shareholders.”

• Related: McKesson sells stake in Medical-Surgical Solutions.

Medline positions for sustained growth

NORTHFIELD, Ill. – Medline reported net sales of $7.4 billion for the first quarter of 2026, a 10.7% increase. Net income was $239 million, a 25.8% decrease.

Other financial results:

• Adjusted EBITDA of $776 million, a decrease of 10.6%.
• Diluted earnings per share and adjusted diluted EPS were $0.16 and $0.33, respectively.
• Net cash provided by operating activities in the first quarter 2026 was $412 million, driven by net income, excluding the impact of non-cash items, partially offset by changes in working capital primarily due to increased trade accounts receivable related to sales growth and increased inventories.
• Free cash flow in the first quarter 2026 was $316 million, driven by net cash provided by operating activities, partially offset by capital expenditures, primarily related to continued enhancements and automation in the company’s distribution centers and investments in its kitting manufacturing facilities.
• Raising full year 2026 organic sales guidance range to 8.5% to 9.5%.

CEO commentary

“We started 2026 with strong momentum—growing with our existing customers, executing implementations at scale and winning new customers,” said Jim Boyle, CEO of Medline. “This performance gives us confidence to raise our full year organic sales guidance while continuing disciplined investments in our people, infrastructure and capabilities to support our strong customer demand and position Medline for sustained growth.”

Medline is increasing its full year 2026 outlook for organic sales growth to 8.5% to 9.5%, compared to its previous outlook of 8% to 9%, and is maintaining its adjusted EBITDA outlook of $3.5 to $3.6 billion.

• Related: Medline provides value, stability amid ‘health care crisis.’

New study: Nationwide telemedicine adoption was not significantly associated with changes in visits or spending

YARMOUTH, Maine – Telemedicine adoption is not significantly associated with changes in visits or spending – overall or across major payer groups – easing concerns about large spending increases, according to a recent article published in JAMA. In this cohort study using difference-in-differences analysis of more than 3 million U.S. adults during 2019-23, point estimates suggested that high-telemedicine-adopting areas had 2.4% fewer visits and 0.5% lower spending. Researchers found utilization and spending changes were consistently null across Medicare fee-for-service, Medicare Advantage, Medicaid and dually eligible and commercially insured populations. Their conclusion:

“Telemedicine is now widely used, stimulated by pandemic-era expansion rules and payment parity to in-person visits. Lawmakers continue to consider how to revise existing policies because of uncertainty about the potential for telemedicine to increase utilization and spending…Nationwide telemedicine adoption was not significantly associated with changes in visits or spending, either overall or when stratified by urbanicity, payer type or area-level social vulnerability, thus easing concerns about large utilization and spending increases from telemedicine expansion.”

Dig into the article here.

Researchers to compare three most common treatments for sleep apnea for effectiveness

TUCSON, Az. – University of Arizona researchers will use a five-year, nearly $14 million award from the Patient-Centered Outcomes Research Institute (PCORI) to support a clinical trial comparing three common treatments for obstructive sleep apnea (OSA) for effectiveness. The three treatments: CPAP therapy, dental devices and oral medication. "Sleep apnea can significantly affect quality of life and is costly to the workforce through lost productivity," said Dr. Sairam Parthasarathy, director of the Center for Sleep, Circadian & Neuroscience Research and professor of medicine in the College of Medicine – Tucson. "Each of the three available therapies has benefits and downsides. Our goal is to understand which treatment works best for an individual patient." Parthasarathy and his team have previously received PCORI funding to study CPAP adherence and other strategies to improve sleep apnea treatment. PCORI is a nonprofit organization with a mission to fund patient-centered comparative clinical effectiveness research designed to provide patients and those who care for them with evidence to make better-informed health care decisions. For more information, visit the University of Arizona’s website.

• Related: Funding expands ‘peer buddy’ program for sleep apnea patients.

VGM advises providers on how to build a smarter, stronger business

WATERLOO, Iowa – VGM & Associates has released “VGM Playbook: Building a Smarter, Stronger Business” to help home-based care providers optimize operations, leverage technology and position their organizations for long-term success in an increasingly complex environment. “Our industry is being asked to do more with fewer resources while navigating constant change,” said Lindy Tentinger, president of VGM & Associates. “This playbook is about helping providers step back, evaluate how their business truly operates, and identify smarter, stronger ways to move forward. It’s all about building a business that can adapt, scale, and thrive long term.” Key areas explored in the playbook include:

• Strategic operations and scalable growth, including how data, marketplace insights, and revenue optimization can strengthen core service lines and support sustainable expansion.
• Technology and digital transformation, with actionable guidance on AI, automation, SEO, and digital decision‑making that supports business performance.
• Education, payer relations, and risk management, highlighting how ongoing education, proactive strategies, and operational safeguards build resilience in a changing regulatory landscape.

Members can download their copy at vgm.com/playbook or by logging in to the VGM members-only portal and downloading it from the Playbook tab.

Aurie announces authorization, appointments

SYRACUSE, N.Y. – Aurie has announced that the Aurie Reusable No-Touch Intermittent Catheter System has been granted marketing authorization from the U.S. Food and Drug Administration (FDA) through the Class II De Novo pathway. The company says the authorization establishes the product as the first ever reusable intermittent urinary catheter system and creates a new device classification in an industry that has exclusively relied on single-use catheters for decades. The Aurie System is slated to launch into the Veterans Health Administration spinal cord injury hospitals later this year. “Aurie is addressing the industry’s biggest challenge by combining sustainability and user-centered design to define a new standard of care,” said Manu Varma, who is joining the company as an independent board director. “The De Novo clearance is a major milestone, and I’m excited to work with this team as they take the business to the next level.” Varma brings more than two decades of chronic care leadership, most recently as president of North America at Coloplast, where he oversaw several business lines, including its largest market for intermittent catheters. Aurie has also announced that:

• Dr. Christopher Elliott, a clinical associate professor of urology at Stanford University, has joined the company’s Scientific Advisory Board; and
• Sergey Grigoryants has been promoted from vice president of engineering to chief technology officer to oversee the company’s technology roadmap, including infection-detecting, sensor-enabled catheters.

Philips re-appoints Jakobs as president/CEO

AMSTERDAM – Royal Philips has announced that its shareholders have approved all proposals at the recent Annual General Meeting of Shareholders, including the re-appointment of Roy Jakobs as president/CEO and chairman and member of the board effective May 8. Other approvals:

• Appointment of John DeFord (American, 1962) as new member of the Supervisory Board, with effect from May 8, 2026.
• Re-appointment of Paul Stoffels (Belgian, 1962), Herna Verhagen (Dutch, 1966) and Sanjay Poonen (American, 1969) as members of the Supervisory Board, with effect from May 8, 2026.
• Discharge of the members of the Board of Management, and of the members of the Supervisory Board.

“I appreciate the continued trust and support of our shareholders and Supervisory Board,” Jakobs said. “I would like to thank John DeFord for joining. Together with other Supervisory Board members, he brings valuable expertise to support management with strong oversight and guidance. I look forward to our continued close collaboration and am excited to deliver sustainable value for Philips and all its stakeholders as we drive profitable growth.”

• Related: Philips continues to lean on international sleep growth, as FDA path continues.

Will-Call expands distribution with Crest Healthcare

DALLAS – Will-Call, a Texas-built voice-activated nurse call accessory, has been added to Crest Healthcare’s distribution platform, marking an important step in the company’s broader channel expansion strategy, it says. By joining Crest Healthcare’s platform, Will-Call is now accessible to a larger network of health care providers and purchasing teams through an established health care products channel. “Will-Call was built to solve a very specific problem: helping people call for assistance when they cannot physically press the button,” said Dr. Robert Kaiser, founder of Will-Call. “Our goal now is to make this solution easier for facilities to find and adopt through the distribution channels they already trust. Crest Healthcare is an important step in that direction.” As part of its next phase of growth, Will-Call is actively expanding relationships with health care distributors, nurse call integrators, HME providers and care equipment suppliers who serve long-term care, skilled nursing, hospice, home care, and other patient care environments. The company also recently placed second in the UT Dallas Draper Pitch Competition, receiving $30,000 in prize funding to support growth and distribution.

Former NFL player sentenced to prison, ordered to pay $111 million in restitution in brace scheme

WASHINGTON – A former NFL player who owned a marketing company and was the beneficial owner of eight durable medical equipment (DME) companies has been sentenced to 196 months in prison for his role in a yearslong scheme to bilk Medicare and the Civilian Health and Medical Program of the Department of Veterans Affairs (CHAMPVA) out of nearly $200 million by allegedly selling patient information and sham doctor orders for orthotic braces that patients did not want or need. In addition to the prison sentence, the defendant, Joel Rufus French, 47, of Armory, Miss., was ordered to pay nearly $111 million in restitution and to forfeit approximately $17 million that the government seized from bank accounts and other assets. According to court documents and evidence presented at trial:

• French worked with overseas telemarketing call centers that pressured elderly Americans to provide their personal and health insurance information and agree to accept medically unnecessary orthotic braces. In certain instances, the call centers altered call recordings to make it seem like Medicare patients agreed to the braces when they did not.
• French paid sham telemedicine companies kickbacks to obtain signed doctor orders from doctors and nurse practitioners who never examined, and often never even spoke to, the patients. He sold the orders to marketers and medical supply companies, which then submitted claims to Medicare.
• French also defrauded Medicare and CHAMPVA, the health care program for spouses and children of veterans who have or had a permanent and total service-connected disability or who died from a service-connected condition, by billing the programs for orthotic braces through eight DME supply companies that he owned and managed, using straw owners and false documents to hide his connection to the companies from Medicare.
• French also laundered approximately $225,000 in cash from a bank in Mississippi, over $10,000 of which was placed in a bag and driven to Orlando to pay accomplices who sold him beneficiaries’ personal and insurance information.

After a six-day jury trial ending in February, French was convicted of conspiracy to commit health care fraud and wire fraud, conspiracy to commit money laundering, and conspiracy to offer, pay, solicit and receive kickbacks. HHS-OIG, FBI, and VA OIG investigated the case.