Cardinal Health, Inc. · NYSE:CAH
Cardinal Health — Q3 FY2022 Earnings Presentation
18 slides from Cardinal Health's earnings presentation, May 5, 2022
Slide 1: Q3 FY22 Cardinal Health, Inc. Earnings Call
Q3 FY22 CARDINAL HEALTH, INC. EARNINGS CALL MAY 5, 2022
Slide 2: Forward-looking statements and GAAP reconciliation
Forward-looking statements and GAAP reconciliation Cautions Concerning Forward-Looking Statements This presentation contains forward-looking statements addressing expectations, prospects, estimates and other matters that are dependent upon future events or developments. These statements may be ident
Slide 3: Q3 results
Q3 results 3
Slide 4: Q3 FY22 financial summary
Q3 FY22 financial summary GAAP Basis ($M) Non-GAAP Basis ($M) Q3 FY22 Q3 FY22 Revenue $44,836 N/A % change 14% Gross Margin $1,682 $1,683 % change (7)% (7)% SG&A $1,137 $1,138 % change 2% 2% Operating Earnings/(Loss) 1 $(97) $545 % change N.M. (21)% Interest and Other2 $41 % change 24% N/A Net Earni
Slide 5: Q3 FY22 Pharmaceutical segment results
Q3 FY22 Pharmaceutical segment results Q3 FY22 ($M) Q3 FY21 ($M) YoY change Revenue $40,957 $35,104 17% Segment profit $487 $511 -5% Segment profit margin 1.19% 1.46% -27 bps Drivers: Revenue + Pharmaceutical Distribution + Specialty Segment profit - Higher operations expenses and previously anticip
Slide 6: Q3 FY22 Medical segment results
Q3 FY22 Medical segment results Q3 FY22 ($M) Q3 FY21 ($M) YoY change Revenue $3,884 $4,174 -7% Segment profit $59 $174 -66% Segment profit margin 1.52% 4.18% -266 bps Drivers: Revenue - Divestiture of Cordis - Products and distribution volumes, including the impact of global supply chain constraints
Slide 7: FY22 outlook
FY22 outlook 7
Slide 8: FY22 financial expectations
FY22 financial expectations FY22 outlook FY21 actual Non-GAAP EPS $5.15 - $5.25 $5.57 Previously $5.15 - $5.50 Interest and other $140M - $160M $133M Non-GAAP ETR 22.0% - 23.0% 22.8% Previously 23.0% - 24.5% Diluted weighted average ~281M 294M shares outstanding Previously 280M – 282M Capital expend
Slide 9: FY22 segment outlook
FY22 segment outlook Segment Revenue Segment Profit Low-double digit percentage Mid-single digit percentage Pharmaceutical growth growth Mid-single digit percentage Forty-five to fifty-five percent Medical decline decline Previously low-single digit to mid-single digit Previously thirty to forty-fiv
Slide 10: FY22 strategic priorities
FY22 strategic priorities ▪ Focus on optimizing our global supply chain, prioritizing customer Optimize experience, and driving commercial excellence 1 core ▪ Maximize generics program performance businesses ▪ Deliver cost savings towards our 5-year, $750M goal ▪ Fuel growth and innovation in our fi
Slide 11: Long-term targets
Long-term targets Taking action to drive sustainable growth Pharma Low-single digit to mid-single digit segment profit growth Strengthening our core Pharmaceutical Distribution business 1. Y 2. yFueling our growth businesses: Specialty, Nuclear, Outcomes Medical Mid-single digit to high-single digit
Slide 12: Appendix
Appendix 12
Slide 13: GAAP / Non-GAAP Reconciliation
Cardinal Health, Inc. and Subsidiaries 1 GAAP / Non-GAAP Reconciliation Earnings/ Gross Operating (Loss) Provision for/ Net Diluted Margin SG&A2 Operating Earnings Before (Benefit from) Net Earnings3 Effective EPS 3 Gross Growth Growth Earnings/ Growth Income Income Earnings/ Growth Tax Diluted Grow
Slide 14: GAAP / Non-GAAP Reconciliation
Cardinal Health, Inc. and Subsidiaries GAAP / Non-GAAP Reconciliation1 Operating Earnings/ Net Gross Earnings/ (Loss) Provision for/ Earnings/ Diluted Margin SG&A2 Operating (Loss) Before (Benefit from) Net (Loss)3 Effective EPS 3 Gross Growth Growth Earnings/ Growth Income Income Earnings/ Growth T
Slide 15: Segment Information
Cardinal Health, Inc. and Subsidiaries Segment Information Third Quarter (in millions) 2022 2021 (in millions) 2022 2021 Pharmaceutical Medical Revenue Revenue Amount $ 40,957 $ 35,104 Amount $ 3,884 $ 4,174 Growth rate 17 % -% Growth rate (7)% 3% 1 Segment profit Segment profit Amount $ 487 $ 511 A
Slide 16: Forward Looking non-GAAP Measures
Cardinal Health, Inc. and Subsidiaries Forward Looking non-GAAP Measures In this document, the Company presents certain forward-looking non-GAAP metrics. The Company does not provide outlook on a GAAP basis because the items that the Company excludes from GAAP to calculate the comparable non-GAAP me
Slide 17: © 2022 Cardinal Health. All Rights Reserved.
17 © 2022 Cardinal Health. All Rights Reserved.
Slide 18: Definitions Continued
Cardinal Health, Inc. and Subsidiaries Definitions Continued 18 © 2022 Cardinal Health. All Rights Reserved.