The Dublin, Ohio-based company posted profits of $656 million, or $2.23 per share, on sales of $36.7 billion for the three months ended June 30, 2020, more than doubling its bottom line despite a sales decline of -1.9%.
Adjusted to exclude one-time items, earnings per share were $1.04, 12¢ ahead of Wall Street projections. However, the company’s revenues missed the consensus forecast by about 1%.
Cardinal Health estimates that the COVID-19 pandemic and the resulting decline in elective procedures and physician office visits negatively impacted the company’s earnings, both in the quarter and for the full year.
“In fiscal 2020, we delivered on our commitments, grew operating earnings and exceeded our EPS guidance, despite the unprecedented global environment,” Cardinal Health CEO Mike Kaufmann said in a news release. “We play an essential role in healthcare, and I’d like to thank our employees, especially our frontline teams, for their dedication under the challenging circumstances of the past several months.
“Our strong performance in fiscal 20 and the unwavering commitment of our employees will enable us to manage the complexities ahead, serve our customers and their patients, and continue our growth.”
Cardinal Health said it expects to log adjusted EPS of between $5.25 and $5.65 for the 2021 fiscal year.
CAH shares were down -2.5% at $51.78 per share in midday trading today. MassDevice’s MedTech 100 Index — which includes stocks of the world’s largest medical device companies — was up 0.6%.