McKesson Corporation
MCK
$808.62 -0.68%
Exchange: NYSE | Sector: Healthcare | Industry: Medical Distribution
Q1 2025
Published: Aug 7, 2024

Earnings Highlights

  • Revenue of $79.28B up 6.4% year-over-year
  • EPS of $7.00 decreased by 0.3% from previous year
  • Gross margin of 3.7%
  • Net income of 915.00M
  • "Earlier today, we reported first quarter company revenues of $79.3 billion, reflecting 6% growth year-over-year. Adjusted earnings per diluted share increased 8% to $7.88 above our original expectation. As a result of our performance in the first quarter, we're raising our guidance for full year adjusted earnings per diluted share from $31.25 to $32.05 to a new range of $31.75 to $32.55." - Brian Tyler
MCK
McKesson Corporation

Executive Summary

McKesson reported QQ1 2025 results with consolidated revenue of $79.3 billion, up 6% year-over-year, and adjusted diluted EPS of $7.88, up 8% vs. prior year. Management raised full-year adjusted EPS guidance to $31.75–$32.55, reflecting confidence in continued performance across core platforms and ongoing optimization initiatives. The quarter showcased a differentiated mix: robust US Pharmaceutical growth driven by specialty and GLP-1 medications, steady progress in international pharma distribution led by Canada, and notable strength in the oncology ecosystem (US Oncology Network, Ontada, SCRI). These positives were tempered by softer Medical-Surgical demand in core primary care channels and near-term headwinds in Prescription Technology Solutions (RxTS) from product-launch delays and service mix shifts. The board-approved capital allocation actions—15% dividend increase to $0.71 and an additional $4 billion in share repurchases—underscore the visibility McKesson sees in its long-term growth trajectory and cash-generative profile. Management reiterated a disciplined investment plan focused on people, sustainable core growth, oncology/biopharma services, and technology-enabled efficiency. The outlook implies 2025 revenue growth of roughly mid-teens for the company, with second-half earnings contributions expected to be meaningfully stronger as on-ramp costs unwind and efficiency improvements mature.

Key Performance Indicators

Revenue
Increasing
79.28B
QoQ: 3.83% | YoY: 6.44%
Gross Profit
Decreasing
2.96B
3.73% margin
QoQ: -14.64% | YoY: -2.18%
Operating Income
Decreasing
1.06B
QoQ: -22.67% | YoY: -3.55%
Net Income
Decreasing
915.00M
QoQ: 15.68% | YoY: -4.49%
EPS
Decreasing
7.05
QoQ: 16.53% | YoY: -0.28%

Revenue Trend

Margin Analysis

Historical Earnings Comparison

PeriodRevenue ($M)EPS ($)YoY GrowthReport
Q1 2026 97,827.00 6.25 +23.4% View
Q4 2025 90,823.00 10.01 +19.0% View
Q3 2025 95,294.00 6.94 +17.8% View
Q2 2025 93,651.00 1.86 +21.3% View
Q1 2025 79,283.00 7.00 +6.4% View