Cardinal Health Inc - CAH STOCK NEWS

Cardinal Health reported a 16% increase in fourth-quarter fiscal 2021 revenue to $42.6 billion, with full-year revenue at $162.5 billion, a 6% growth. However, operating earnings were adversely affected by a $197 million inventory reserve for PPE and $1.17 billion in opioid-related charges, leading to a 40% drop in GAAP operating earnings and diluted EPS of $0.40. Despite challenges, the company identified $250 million in cost savings and projects a non-GAAP EPS of $5.60 - $5.90 for fiscal 2022.

Cardinal Health has finalized the sale of its Cordis business to Hellman & Friedman for approximately $1 billion. This sale includes the assumption of certain liabilities and retention of specific working capital accounts. CEO Mike Kaufmann emphasized the company's strategic portfolio evaluation approach and commitment to growth, while H&F's CEO Shar Matin expressed excitement about Cordis's independent future and innovative product offerings. Cardinal Health will report its fiscal year 2021 results on August 5, prior to market opening.

AmerisourceBergen (ABC), Cardinal Health (CAH), and McKesson (MCK) announced a proposed settlement addressing the majority of opioid lawsuits from state and local entities. The settlement, contingent on participation from states and political subdivisions, could provide up to $21 billion over 18 years. Contributions include $6.4 billion from each AmerisourceBergen and Cardinal Health, and $7.9 billion from McKesson. The settlement is seen as a step towards resolving opioid claims, with strong legal defenses maintained in pending litigation if not finalized.

AmerisourceBergen, Cardinal Health, and McKesson have agreed to pay up to $1.179 billion to settle opioid-related claims with New York and its subdivisions, including Nassau and Suffolk Counties. This settlement is part of ongoing negotiations for a broader resolution concerning claims from various states. The distributors will receive claims dismissal in exchange for the settlement amount and associated legal fees. While disputing the allegations, the companies view this as a step toward focusing resources on safe medication delivery and supporting affected communities.

Cardinal Health (NYSE: CAH) has introduced two new solutions aimed at supporting independent pharmacies: NavixRx Compliance Packaging and an E-Commerce Storefront. The NavixRx solution enhances medication adherence by automating compliance packaging for patients taking multiple prescriptions. This service allows pharmacies to outsource packaging, saving time and costs associated with manual processes. The E-Commerce Storefront provides independent pharmacies with online shopping capabilities for over 11,000 products, meeting consumer demand for convenience while maintaining personal pharmacy relationships.

Cardinal Health (NYSE: CAH) will disclose its fourth-quarter and year-end financial results for fiscal year 2021 on August 5, ahead of market opening. A webcast discussing these results will start at 8:30 a.m. Eastern time. The company, which specializes in pharmaceutical distribution and medical products, operates over 40 countries with around 48,000 employees. The webcast and slide presentation will be accessible through the Investor Relations page on their website and available until August 4, 2022.

In a move to boost COVID-19 vaccination rates, four Ohio Managed Care Organizations (MCOs) have partnered with Outcomes, part of Cardinal Health (NYSE: CAH), to utilize local pharmacists for outreach to Medicaid members. The new Needs Immunization service aims to engage over 350,000 eligible participants through personalized consultations, addressing vaccine hesitancy. Pharmacists will connect with members to provide information and, if feasible, administer the vaccine. The initiative reflects the commitment of MCOs to enhance vaccination rates and combat hesitancy in underserved communities.

Cardinal Health (NYSE: CAH) announced the FDA's approval of LYMPHOSEEK® for pediatric use, enhancing lymphatic mapping and sentinel lymph node biopsies in children with solid tumors. This approval allows for improved disease staging in pediatric cancer patients, including those with melanoma and rhabdomyosarcoma. Clinical studies confirm LYMPHOSEEK® is safe for patients aged one month and older, with minimal adverse reactions. This development expands Cardinal Health's radiopharmaceutical offerings and strengthens its position in the precision healthcare market.

Cardinal Health's latest research reveals a growing comfort among oncologists with CAR-T cell therapy, with 60% finding costs reasonable, up from 39% in 2017. The report, based on surveys of 300+ U.S. oncologists, indicates a significant increase in referrals to CAR-T therapy, rising from 54% in 2019 to 91%. Despite these positive changes, challenges remain, including payer approvals and administrative hurdles. The research also highlights the ongoing impact of COVID-19 on cancer screening and the use of telemedicine in oncology.