CAH · 10-Q · 2026Q3 · Full report

Gross Margin Drivers

CARDINAL HEALTH INC · 2026-11-05 · Importance 42 · Surprise 40

Gross margin increased 12% year over year to $2.596 billion in the three months ended September 30, 2026. The increase was primarily driven by the acquisition of MSO platforms, contributions from branded and specialty pharmaceutical products, and the performance of the generics program. Gross margin rate increased 23 basis points, primarily due to the MSO platform acquisitions and generics program performance.

Key facts

• Cardinal Health gross margin increased 12% year over year to $2.6 billion, primarily due to MSO platform acquisitions, branded and specialty pharmaceutical contributions, and generics program performance. source
• SG&A expenses increased 9% year over year to $1.6 billion, primarily due to MSO platform acquisitions and higher costs supporting sales growth from existing customers. source
• Cardinal Health gross margin rate increased 23 basis points year over year, primarily due to MSO platform acquisitions and generics program performance. source