2/5/2026

speaker
Operator
Conference Operator

If you require assistance at any point, please press star zero, and you will be connected to an operator. I will now hand you over to your host, Matt Seams, Vice President, Investor Relations, to begin today's conference. Thank you.

speaker
Matt Seams
Vice President, Investor Relations

Good morning, and welcome to Cardinal Health's second quarter fiscal 26 earnings conference call, and thank you for joining us. With me today are Cardinal Health CEO, Jason Holler, and our CFO, Aaron Allup. You can find this morning's earnings press release and investor presentation on the investor relations section of our website at ir.cardinalhealth.com. Since we will be making forward-looking statements today, let me remind you that the matters addressed in these statements are subject to risks and uncertainties that could cause our actual results to differ materially from those projected or implied. Please refer to our SEC filings and the forward-looking statement slide at the beginning of our presentation for a description of these risks and uncertainties. Please note that during our discussion today, the comments will be on a non-GAAP basis, unless specifically called out as GAAP. GAAP to non-GAAP reconciliations for all relevant periods can be found in the supporting schedules attached to our press release. For the Q&A portion of today's call, we kindly ask that you limit questions to one per participant so that we can try and give everyone an opportunity. With that, I will now turn the call over to Jason.

speaker
Jason Holler
Chief Executive Officer

Thanks, Matt. Good morning, everyone. We are pleased to report that the Cardinal Health team has delivered another excellent quarter, driven by broad-based performance across the enterprise. I am encouraged by our results, which are a direct reflection of our continued operating momentum and relentless commitment to serving our customers and driving our strategy forward. We have continued to prioritize strengthening our core and expanding in specialty, accelerating our other growth businesses, and executing our GMPD turnaround. What stands out to me most in this quarter's performance is the balance of results across our portfolio as we achieve strong profit growth of at least double digits from all five of our operating segments. Our performance was again led by strength in our pharmaceutical and specialty solution segment, where we continue to see a robots demand environment coupled with strong operational execution. Our strategic focus on specialty is delivering tangible results. As we shared at a recent industry conference, we expect our specialty revenues will surpass $50 billion in fiscal 26, a testament to our progress in this high growth, higher margin space. Our MSO platforms continue to be a meaningful driver of our growth, in particular led by the Specialty Alliance's leading multispecialty platform. With the acquisition of the country's leading urology MSO, Solaris Health, officially completed in early November, we are positioned to further expand as we add additional practices and capabilities to our platform. Turning to our GMPD segment, we are pleased to report continued progress against our improvement plan initiatives. The team remains focused on driving Cardinal Health brand growth where we continue to see positive results and simplification, which is driving improved operational health. Arthur Growth Businesses, At-Home Solutions, Nuclear Precision Health Solutions, and Optifreight Logistics also again delivered a strong quarter. The performance of these businesses is driven by secular tailwinds, the strength of their value propositions, and our focused long-term investments. Our second quarter performance gives us confidence as we move forward, and as a result, I'm pleased to share that we are again raising our outlook. With that, I'll turn it over to Aaron to go through the financials.

Disclaimer

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Investor presentation