MCK · 8-K · 20260805PR000232

Operating Margin Drivers

MCKESSON CORP · 2026-08-05 · Importance 41 · Surprise 48 · From source text

GAAP operating income increased 27% year over year to $1.319 billion from $1.036 billion, while gross profit rose 12% to $3.685 billion. Adjusted segment operating profit increased 19% in North American Pharmaceutical to $894 million and 41% in Oncology & Multispecialty to $405 million, driven by specialty distribution, provider solutions, strategic accounts, and new product launches. Medical-Surgical Solutions adjusted operating profit declined 20% to $195 million because of product mix and one-time administrative expenses, while Prescription Technology Solutions adjusted operating profit increased 13% to $303 million.

Key facts

• Schedule 1: Net income attributable to noncontrolling interests for the quarter: $(418) million versus $(47) million prior year (change 789%). source
• Three months ended June 30, 2026: gross profit (GAAP) $3,685 million, up 12% versus prior year. source
• Medical-Surgical Solutions Segment Operating Profit: $122 million; Adjusted Segment Operating Profit: $195 million, a decrease of 20%, driven by product mix and one-time administrative expenses. source
• Operating income for the quarter: $1,319 million, increased 27% versus prior year. source
• North American Pharmaceutical Segment Operating Profit: $903 million; Adjusted Segment Operating Profit: $894 million, an increase of 19%. source
• First quarter earnings per diluted share decreased primarily due to a redemption value adjustment of $293 million related to redeemable non-controlling interests for the Medical-Surgical Solutions segment. source
• Prior year included a pre-tax increase to the provision for bad debts of $189 million within the North American Pharmaceutical segment related to the Rite Aid bankruptcy. source
• Other adjustments in three months ended June 30, 2025 included a pre-tax provision for bad debts of $189 million ($140 million after-tax) within North American Pharmaceutical related to the bankruptcy of Rite Aid. source

Impact estimates