Health Care Distributors

Cencora is using artificial intelligence to roughly halve the time it takes to make some medical treatment decisions, according to the company's global chief data and information officer, Pawan Verma. Speaking with WSJ Leadership Institute President Alan Murray at the WSJLI Technology Council Summit, Verma described a retinal oncology use case in which doctors analyze large volumes of imaging data to determine treatment. He said Cencora is helping cut a decision process that can take 30 to 90 days roughly in half, speeding access to treatment.

Alluvium Asset Management raised its stake in McKesson Corporation to 6.8% of the Conventum – Alluvium Global Fund, according to the fund's second-quarter 2026 investor letter. The fund said McKesson, the Irving, Texas-based drug distributor, fell 12.6% in the quarter even though its full-year results came in perfectly in line with expectations, and management gave strong guidance for next year's earnings while reiterating 13%-16% long-term growth expectations. After feeding those numbers through its model, Alluvium said its valuation rose 18%, and with the share price trading below that level it bought a little more. McKesson closed at $899.56 per share on September 15, 2026, returning 5.37% over the past month and 29.95% over the past 52 weeks, with a market capitalization of $106.21 billion and a trading range of $687.68 to $999.00. The fund itself declined 1.4% in EUR terms, 2.2% in USD terms and 3.9% in AUD terms in the quarter, a period it described as a sharp shift from geopolitical uncertainty and oil market volatility to an equity rally led by semiconductor companies.

McKesson raised its full-year EPS guidance, projecting approximately 13%–15% growth, or 15%–17% excluding certain prior-year items. The company also outlined plans to rebrand its Medical-Surgical unit as Wellverse, with a potential IPO targeted for the second half of 2027. Alongside that, McKesson has a pending acquisition of Precision Medicine Group to expand oncology and biopharma-services capabilities, subject to regulatory approval. The combination of upgraded earnings expectations, portfolio reshaping around higher-value oncology and biopharma services, and the potential separation of Wellverse marks a meaningful shift in how McKesson positions its future business mix and profit drivers.

McKesson raised its full-year earnings-per-share guidance by $0.40 to a range of $44.20 to $45.00, implying growth of roughly 13% to 15%, or 15% to 17% after adjusting for the company's Norway exit and a prior-year gain on the sale of U.S. Oncology. Speaking at the Morgan Stanley Global Healthcare Conference, Chief Financial Officer Kenny Cheung said three of the company's four reportable segments posted double-digit growth in the first quarter, led by Oncology & Multispecialty, which generated 33% reported revenue growth and approximately 41% adjusted operating profit growth, and Prescription Technology Solutions, which recorded approximately 9% revenue growth and 13% adjusted operating profit growth. Chief Executive Officer Brian Tyler said McKesson's pending acquisition of Precision Medicine Group fits its longstanding strategy of expanding oncology and biopharma-services capabilities, complementing the Sarah Cannon Research Institute, the Ontada data and analytics business and the U.S. Oncology Network, which now has roughly 3,400 providers; the deal remains subject to regulatory approvals and is expected to be accretive both strategically and financially. In North American Pharmaceutical, first-quarter revenue rose 5% and adjusted operating profit increased 19%, while the Medical-Surgical business, to be named Wellverse, reported 4% revenue growth and an approximately 20% year-over-year decline in adjusted operating profit, with McKesson still targeting an initial public offering exit in the second half of 2027 subject to market conditions. Tyler also said the company's distribution relationship with CVS has extended for more than 20 years, with the current contract running through June 2027, and that roughly one-third of McKesson's contracts typically come up for renewal each year.

Cardinal Health reported fourth-quarter fiscal 2026 adjusted earnings per share of $2.91, beating the Zacks Consensus Estimate by 20.3% and up 40% year over year, while quarterly revenues rose 6% to $63.67 billion but missed the consensus estimate by 2.9%. GAAP earnings per share in the quarter was $1.70 compared with $1.00 a year earlier, and full-year fiscal 2026 adjusted EPS was $11.26, up 37% from fiscal 2025, with full-year revenues of $254.25 billion, up 14%. Within the quarter, Pharmaceutical and Specialty Solutions revenues rose 6% to $58.85 billion with segment profit of $645 million, up 21%, while Global Medical Products and Distribution revenues fell 2% to $3.13 billion even as segment profit rose to $150 million from $70 million, and the Other segment, comprising Nuclear and Precision Health Solutions, at-Home Solutions and OptiFreight Logistics, posted revenues of $1.72 billion, up 7%, with profit of $183 million, up 14%. Cardinal Health raised its fiscal 2027 earnings guidance to adjusted earnings per share of $12.40 to $12.60, implying growth of 13% to 15% from adjusted fiscal 2026 results excluding the IEEPA tariff refund benefit, and guided Pharmaceutical and Specialty Solutions revenue growth of 3% to 5% with segment profit up 8% to 11%, Global Medical Products and Distribution revenue growth of 2% to 4% with segment profit of $200 million to $220 million, and Other segment revenue growth of 11% to 13% with segment profit up 15% to 18%.

McKesson is moving forward with its planned $2.25 billion acquisition of Precision Medicine Group, a deal that would expand its oncology and biopharma services. The company discussed the transaction during a presentation with Wells Fargo analyst Stephen Baxter, saying it would add clinical-trial capabilities, including biomarker-focused trials, and complement its existing assets like Sarah Cannon, Ontada, and the U.S. Oncology Network. Precision Medicine Group also brings a more established contract research organization, or CRO, capability focused on oncology, rare disease, immunology, and cell and gene therapy. McKesson's CFO, Kenny Cheung, said the company expects the deal to create incremental value for biopharma partners and will provide more details on earnings accretion as the transaction progresses. In the first quarter, McKesson's Oncology and Multi-Specialty segment saw revenue grow about 33% and adjusted operating profit rise about 41%, while the company reiterated plans to return roughly $5 billion to shareholders this year.

Healthlead Public Company Limited, or HL, is preparing to launch its Telepharmacy platform through an application operated by iCare Health Company Limited, aiming to elevate pharmacies into the digital era. Patients will be able to consult pharmacists remotely and receive medications delivered to their homes, in accordance with regulations permitted by the Food and Drug Administration (FDA). Additionally, HL has partnered with pharmaceutical delivery service CERO Win to support logistics, enhancing service standards. This development marks a significant step in integrating technology into the Health & Wellness business, with expectations for it to serve as a growth engine driving revenue in 2026 to a new record high, in line with targets.

Healthlead (HL) is set to launch its application service platform operated by iCare Health Company in the near future, in response to the Telepharmacy trend, following FDA approval for patients to legally consult pharmacists and receive medications at home. With logistics partner CERO Win enhancing delivery standards, this marks a significant step in integrating technology with the Health & Wellness business, increasing access to pharmaceutical services, and opening doors to new business opportunities in the future. The platform is expected to serve as a growth engine, supporting long-term expansion and driving this year's revenue to a new record high as planned.

Cencora reported third-quarter fiscal 2026 adjusted earnings per share of $4.48, beating the Zacks Consensus Estimate of $4.37 by 2.5%, and raised its full-year adjusted EPS guidance to $17.75-$17.95 from $17.70-$17.90. Revenues rose 5.1% year over year to $84.76 billion, slightly missing the consensus estimate of $84.89 billion, with growth driven by its U.S. Healthcare Solutions segment, which saw revenues increase 4.9% to $74.9 billion, and International Healthcare Solutions, which grew 5.9% to $7.7 billion. Adjusted operating income advanced 17% to $1.24 billion, and the company now projects adjusted operating income growth of 13-14% for the fiscal year. Since the earnings release, estimates have trended downward, and Cencora holds a Zacks Rank #3 (Hold).

Cencora raised its fiscal 2026 adjusted earnings outlook after third-quarter results showed faster profit growth across both healthcare solutions segments. Adjusted earnings per share rose 12% year over year to $4.48, topping the Zacks Consensus Estimate by 2.5%. Third-quarter revenues increased 5.1% to $84.76 billion, while adjusted operating income advanced 17% to $1.24 billion. Cencora lifted fiscal 2026 adjusted earnings guidance to $17.75-$17.95 per share from $17.70-$17.90, and narrowed adjusted operating income growth expectations upward to 13%-14% from 12%-14%, while maintaining consolidated revenue growth guidance of 4%-6%. U.S. Healthcare Solutions revenues rose 4.9% to $74.9 billion, with segment operating income up 15.9% to $966.2 million, driven by OneOncology and GLP-1 demand. International Healthcare Solutions revenues increased 5.9% to $7.7 billion, with operating income up 20.8% to $165.9 million. However, GLP-1 sales carry lower margins, and net interest expense increased 72% to $140.7 million due to debt from the OneOncology acquisition.

Jointown Pharmaceutical announced a preliminary plan for a 2026 private placement of preferred shares. The company intends to issue no more than 28 million preferred shares, raising total proceeds of up to 2.8 billion yuan. After deducting issuance expenses, the funds will be used to repay bank loans and other interest-bearing liabilities, as well as to supplement working capital. The placement will target no more than 200 qualified investors, with no preferential allotment to existing shareholders.

Jointown announced on August 31 that it plans to issue preferred shares to raise total proceeds of no more than 2.8 billion yuan. The funds raised will be used to repay bank loans and other interest-bearing liabilities, and to replenish working capital.

Shanghai Pharmaceuticals announced that its subsidiary Changzhou Pharmaceutical Factory has received a drug registration certificate for Ruxolitinib Phosphate Tablets from the National Medical Products Administration, with specifications of 5 mg, 15 mg, and 20 mg, classified as a Category 4 chemical drug. The drug is used to treat adult patients with intermediate or high-risk primary myelofibrosis and other myelofibrosis conditions, as well as graft-versus-host disease in patients aged 12 and older. It was jointly developed by Incyte and Novartis and launched in the United States in 2011. Changzhou Pharmaceutical Factory submitted its registration and marketing application in December 2024, with cumulative research and development investment of approximately 24.81 million yuan.

McKesson Corporation has agreed to acquire privately held Precision Medicine Group for approximately $2.25 billion, as the healthcare company continues shifting its portfolio toward higher-growth businesses. Precision Medicine provides clinical research, laboratory testing, and commercialization services to biotechnology and pharmaceutical companies developing and launching new medicines. McKesson plans to integrate the company into its Oncology & Multispecialty segment, which generated $14.2 billion in revenue in fiscal 2026's first quarter, a 33% year-over-year increase. The acquisition represents just over 2% of McKesson's market capitalization, according to an analyst cited by Reuters, making it meaningful but not large enough to fundamentally alter the company's financial profile. The deal strengthens McKesson's exposure to clinical research, oncology, specialty care, and biopharma services, though execution risks remain in integrating the business and realizing synergies.

Nanjing Pharmaceutical released its 2026 interim report. Total operating revenue was 27.823 billion yuan, and net profit attributable to the parent company was 294 million yuan, an increase of 3.1945 million yuan from the same period last year, up 1.10% year on year. Net cash flow from operating activities was negative 5.160 billion yuan. The asset-liability ratio was 77.14%, and the gross margin was 6.03%, up 0.11 percentage points from the same period last year. Diluted earnings per share were 0.23 yuan, up 3.15% year on year. The number of shareholders was 53,000, and the top ten shareholders held 61.46% of the total share capital.

McKesson has announced an agreement to acquire Precision Medicine Group for $2.25 billion, aiming to expand its oncology and clinical research services. The deal is part of McKesson's broader strategy to shift from low-margin distribution to higher-value specialty care, personalized medicine, and biopharma clinical trial support. The acquisition is expected to deepen McKesson's role in trial design, commercialization support, and data-driven oncology services, while also adding operational and regulatory complexity in a competitive segment where rivals like AmerisourceBergen and Cardinal Health are also investing. McKesson, a large US healthcare services provider with a market value of about $105.5 billion, has been improving its revenue mix through recent acquisitions such as Core Ventures and PRISM Vision, positioning itself for higher operating margins and earnings growth.

McKesson Corporation has announced a definitive agreement to acquire Precision Medicine Group, a global provider of clinical research and biopharma commercialization services, for approximately $2.25 billion. The acquisition is expected to strengthen McKesson's oncology and multispecialty strategy by enhancing its clinical research and commercialization capabilities. Precision Medicine Group's offerings include biomarker intelligence, laboratory services, global clinical research, market access consulting, and commercialization support. The transaction is subject to customary closing conditions, including regulatory clearances, and once closed, Precision Medicine Group will become part of McKesson's Oncology & Multispecialty segment. McKesson's stock has lost 0.9% since the announcement, but is up 9.3% year to date.

McKesson has agreed to acquire Precision Medicine Group for $2.25 billion, a deal that will bolster its clinical research and biopharmaceutical commercialization services. Precision Medicine Group will operate under McKesson's oncology and multi-specialty segment, subject to customary closing conditions and regulatory approvals. The company provides integrated services and technology-based products, including biomarker intelligence, laboratory services, a global clinical research organization, market access consulting, and commercialization support for biotech and pharma firms. McKesson CEO Brian Tyler said the acquisition advances their oncology strategy and enhances clinical trial execution, while Precision Medicine Group CEO Margaret Keegan expressed excitement about extending their impact through McKesson's broader capabilities.

Huadong Medicine announced on August 26 that it plans to distribute a cash dividend of 3.5 yuan, tax included, for every 10 shares held by all shareholders, with an estimated total payout of 614 million yuan. In the first half of 2026, the company achieved revenue of 22.067 billion yuan and net profit attributable to the parent company of 1.861 billion yuan.

Huadong Medicine announced that its wholly-owned subsidiary Hangzhou Zhongmei Huadong Pharmaceutical Co., Ltd. has received Fast Track designation from the U.S. FDA for its self-developed injectable HDM2005, intended for the treatment of relapsed or refractory mantle cell lymphoma. This drug is the first ROR1-targeting antibody-drug conjugate in development in China to receive this designation, and clinical development is currently underway across multiple indications for malignant tumors.

Huadong Medicine released its semi-annual report for 2026, achieving operating revenue of 22.067 billion yuan, up 1.81% year on year; net profit attributable to shareholders of the listed company was 1.861 billion yuan, up 2.53% year on year. The company plans to distribute a cash dividend of 3.5 yuan per 10 shares, tax included. According to the financial report, the company's net profit for the second quarter was 859 million yuan, compared with 1.002 billion yuan in the first quarter, a quarter-on-quarter decline of 14%.

McKesson Corporation announced an agreement to acquire Precision Medicine Group for approximately $2.25 billion. The deal expands McKesson's clinical research and commercialization services, with Precision Medicine Group reporting within McKesson's Oncology & Multispecialty segment, which had first-quarter sales of $14.2 billion. Precision Medicine provides biomarker intelligence, lab services, a global clinical research organization, market access consulting, and commercialization support to biotechnology and pharmaceutical companies. McKesson ended the first quarter with cash and equivalents of $5.20 billion. McKesson shares were up 1.22% at $873.29 at the time of publication on Tuesday.

McKesson Corporation opened fiscal 2027 with an earnings beat, double-digit adjusted operating profit growth and higher full-year earnings guidance. First-quarter adjusted earnings rose 20% to $9.93 per share, topping the Zacks Consensus Estimate of $9.44 by 5.2%, while revenues increased 8% to $105.38 billion. Adjusted operating profit advanced 16% to $1.65 billion, driven by growth in North American Pharmaceutical, Oncology & Multispecialty and Prescription Technology Solutions. Oncology & Multispecialty revenues climbed 33% to $14.22 billion and adjusted operating profit increased 41% to $405 million, with the U.S. Oncology Network reaching approximately 3,400 providers treating more than 2 million patients annually. GLP-1 distribution revenue reached $15 billion in the quarter, up 24% year over year and 13% sequentially. McKesson raised fiscal 2027 adjusted earnings guidance to $44.20-$45.00 per share from $43.80-$44.60, implying 13%-15% growth, and maintained free cash flow guidance of $4.5-$4.9 billion with about $5 billion of share repurchases expected for the year.

Cardinal Health enters fiscal 2027 with strong momentum across pharmaceutical distribution, specialty solutions and growth businesses. The company reported fourth-quarter fiscal 2026 pharmaceutical and specialty solutions revenue of $58.8 billion, up 6%, with segment profit rising 21% to $645 million. Management expects fiscal 2027 pharma revenue growth of 3-5% and segment profit growth of 8-11%, while specialty revenues are projected to grow double digits. The company also secured two additional gene-therapy commercialization agreements, bringing its exclusive coverage to nearly half of the cell-and-gene market. However, Inflation Reduction Act pricing changes, low growth in Global Medical Products and Distribution, and heavy capital expenditures are expected to constrain performance.

Adicet Bio is advancing its lead candidate prula-cel in autoimmune diseases and expects to report updated phase I data in the third quarter of 2026. The company plans to begin a pivotal study in lupus nephritis in the second half of 2026, subject to regulatory clearance, and will provide additional clinical updates for systemic sclerosis and rheumatoid arthritis later that year. Adicet also expects to submit a regulatory filing for ADI-212, a gene-edited cell therapy for metastatic castration-resistant prostate cancer, in the third quarter of 2026 and begin phase I enrollment in the fourth quarter. Over the past 30 days, analysts have narrowed the 2026 loss per share estimate for Adicet from $8.61 to $6.76, while widening the 2027 loss estimate from $3.71 to $5.64. The stock has risen 9.2% year to date, compared with an 11.1% gain for the industry.

Picard Medical Inc. shares surged nearly 43.9% in pre-market trading after the company reported second-quarter 2026 revenue significantly ahead of Wall Street expectations. Revenue for the quarter reached approximately $2.95 million, almost twice the analyst consensus estimate of around $1.55 million. The company reported a quarterly loss of $3.05 per share, compared with analysts' expectations for a loss of approximately $1.50 per share. The exchange accepted the company's compliance plan in late July, providing investors with additional clarity over its efforts to address outstanding listing requirements. The S&P 500 was down 0.1%, while the Nasdaq declined 0.6% and the Dow was broadly unchanged.