Medline earnings include double-digit decrease in net income

NORTHFIELD, Ill. – Medline reported net sales of $7.7 billion, an 11.6% increase, for the second quarter this year compared to the prior-year period. Net income was $139 million, a 58.3% decrease; and adjusted EBITDA was $1.1 billion, a 13.4% increase.

“Our second quarter results reflect strong execution of our growth strategy, and the operational resilience of our team,” said Jim Boyle, CEO. “We delivered robust top-line growth in the quarter, secured over 65% of our annual goal in total new customer signings during the first half of 2026, and moved swiftly to minimize disruption from the fire at our Tracy, Calif., distribution center, demonstrating an unwavering commitment to our customers. At the same time, we are effectively managing a dynamic external environment while investing in strategic initiatives to strengthen our market position and support long-term shareholder value creation.”

Results for the first six months were:

• Net sales of $15.0 billion, an increase of 11.1%
• Net income of $378 million, a decrease of 42.3%
• Adjusted EBITDA1 of $1.8 billion, an increase of 1.9%

Second quarter and first six month net sales included $89 million of IEEPA tariff customer payments, and adjusted EBITDA included $243 million of net IEEPA tariff refund benefits.

Medline has updated its full-year 2026 outlook to:

• Organic sales growth to 9% to 10%, compared to its previous outlook of 8.5% to 9.5%, reflecting strong existing and new customer demand
• Adjusted EBITDA of $3.3 billion to $3.4 billion, compared to its previous outlook of $3.5 to $3.6 billion, primarily reflecting higher than expected inflationary pressure from the Middle East conflict, increased operational investments to support customer demand, quality remediation efforts, and retail channel softness

Related: Medline announces new 1 million-square-foot facility in California.