DUBLIN, Ohio, Jan. 29 /PRNewswire-FirstCall/ -- Cardinal Health , a global
provider of products and services that improve the safety and productivity of
health care, today reported a revenue increase of 7 percent to
The company also announced a revision to its full year EPS outlook based
on several factors affecting its largest operating segment in the second half
of the year. Cardinal Health now expects non-GAAP EPS to be in a range of
"We have three of our four operating segments performing on track, showing favorable revenue growth, expanding margins and segment profit that is at or above our guidance for the current year," said R. Kerry Clark , chairman and chief executive officer of Cardinal Health . "Within our supply chain pharmaceutical segment, we have revised our forecast to account for the impact of anti-diversion measures for controlled substances, changes in our expectations for branded price increases and the generics market, and the effect of contract repricings. We still expect double-digit EPS growth for the year and are resolved to strengthen the business as we fix the issues that have hampered our performance.
"We continue to engage in discussions with the DEA to resolve matters
affecting three of our pharmaceutical distribution centers regarding the
diversion of controlled substances," Clark added. "More broadly, in the past
45 days we have been working to put in place an enhanced system of controls
across our network to address the security threat that diversion poses to the
pharmaceutical supply chain. The impact of these issues may cost more than
Healthcare Supply Chain Services Sector
Revenue in the Healthcare Supply Chain Services-Pharmaceutical segment
grew 6 percent during the quarter to
The Healthcare Supply Chain Services-Medical segment saw revenue growth of
8 percent to
Clinical and Medical Products Sector
"This quarter, the Clinical and Medical Products (CMP) sector was again an exceptional value driver by accounting for 36 percent of our total segment profit," Clark said. "CMP continues to play a substantial role in our overall results with leading products in the areas of patient safety and infection prevention, both essential and rapidly growing segments of health care."
Revenue for the Medical Products and Technology segment grew 47 percent to
The Clinical Technologies and Services segment grew revenue 8 percent to
million charge for the Alaris(R) Pump module voluntary recall, bringing the
total charges associated with the recall to
Cardinal Health lowered and narrowed the range it expects for fiscal 2008
non-GAAP diluted EPS to
Cardinal Health will host a conference call and webcast at 8:30 a.m. EST to discuss the results. To access the call and corresponding slide presentation, go to the Investor page at www.cardinalhealth.com. The conference call may also be accessed by calling 617-213-4852, passcode 75450455. An audio replay will be available until 11:30 p.m. EST on Jan. 31 at 617-801-6888, passcode 63030220. A transcript and audio replay will also be available at www.cardinalhealth.com.
About Cardinal Health
Headquartered in Dublin, Ohio, Cardinal Health , Inc. (NYSE: CAH) is an
A reconciliation of the differences between these non-GAAP financial measures and their most directly comparable GAAP financial measures is provided in the attached tables and at http://www.cardinalhealth.com.
This news release contains forward-looking statements addressing expectations, prospects, estimates and other matters that are dependent upon future events or developments. These matters are subject to risks and uncertainties that could cause actual results to differ materially from those projected, anticipated or implied. The most significant of these uncertainties are described in Cardinal Health 's Form 10-K, Form 10-Q and Form 8-K reports (including all amendments to those reports) and exhibits to those reports, and include (but are not limited to) the following: competitive pressures in its various lines of business; the loss of one or more key customer or supplier relationships or changes to the terms of those relationships; uncertainties relating to timing of generic introductions and the frequency or rate of branded pharmaceutical price appreciation or generic pharmaceutical price deflation; changes in the distribution patterns or reimbursement rates for health-care products and/or services; the results, consequences, effects or timing of any inquiry or investigation by any regulatory authority or any legal or administrative proceedings; future actions of regulatory bodies or government authorities relating to our manufacturing or sale of products and other costs or claims that could arise from our manufacturing, compounding or repackaging operations or from other services; the costs, difficulties and uncertainties related to the integration of acquired businesses; and general economic and market conditions. This news release reflects management's views as of Jan. 29, 2008 . Except to the extent required by applicable law, Cardinal Health undertakes no obligation to update or revise any forward-looking statement.
SOURCE Cardinal Health , Inc.