Cencora Sets Fiscal 2027 Adjusted EPS Outlook

The Tip Desk · November 4, 2026 · 4 min read

The pharmaceutical solutions company expects fiscal 2027 adjusted diluted EPS of $19.40 to $19.75 after fourth-quarter revenue of $88.4 billion.

Cencora, Inc. (COR) reported fiscal 2026 fourth-quarter revenue of $88.4 billion, up 5.5% from a year earlier, a faster pace than the 5.1% increase in the third quarter. Adjusted diluted earnings per share rose 21.4% to $4.66 from $3.84 a year earlier, after 12.0% growth to $4.48 in the prior quarter.

GAAP diluted EPS was $2.71, compared with a $1.75 loss a year earlier. The year-ago quarter included a $723.9 million PharmaLex goodwill impairment that increased operating expenses and reduced earnings.

Gross profit was $3.6 billion, up 21.9%, with the margin at 4.08%, up 55 basis points. Adjusted gross profit rose 23.0% and the adjusted gross margin was 4.04%, up 57 basis points. The company said the margin lift came primarily from U.S. Healthcare Solutions after the February 2026 OneOncology acquisition, offset in part by higher sales of GLP-1 products with lower gross profit margins.

GAAP operating income was $906.8 million, up $888.3 million from $18.5 million a year earlier, lifting the operating margin to 1.03% from 0.02%. Adjusted operating income was $1.2 billion, up 22.1%, with the adjusted operating margin at 1.41%, up 19 basis points. Adjusted operating expenses were $2.3 billion, up 23.5%, which the company attributed primarily to OneOncology.

U.S. Healthcare Solutions revenue was $78.3 billion, up 5.4%, after 4.9% growth in the third quarter. Segment operating income was $997.6 million, up 22.0%. The company said the revenue increase reflected unit volume growth, including specialty products to health systems and physician practices and GLP-1 sales, offset in part by lower manufacturer prices on certain brand products and lower sales to a large mail-order customer.

International Healthcare Solutions revenue was $7.8 billion, up 5.1%, or 7.8% in constant currency, after 5.9% growth in the third quarter. Segment operating income was $152.1 million, up 16.4%, primarily at Canadian and global specialty logistics businesses. Other revenue was $2.3 billion, up 10.1%, and Other operating income was $101.1 million, up 35.8%.

Net interest expense was $136.3 million, up $58.5 million from the year-ago quarter, which the company tied to senior notes and variable-rate term loans used to finance part of OneOncology and to lower interest income. Diluted shares outstanding were 191.7 million, down 1.1% on share repurchases.

For the full fiscal year ended September 30, 2026, revenue was $337.4 billion, up 5.0%. GAAP diluted EPS was $17.95 versus $7.96 a year earlier; adjusted diluted EPS was $17.97 versus $16.00. GAAP operating income was $3.9 billion, up 49.5%, with the operating margin at 1.16%, up 34 basis points. Adjusted operating income was $4.8 billion, up 14.0%, with the adjusted operating margin at 1.43%, up 12 basis points. Full-year net interest expense was $490 million, up 68.0% from $291.5 million.

Cencora said fiscal 2027 adjusted diluted EPS is expected at $19.40 to $19.75, reflecting 8% to 10% growth from $17.97. Revenue is expected to grow 3% to 5%. Under the new reporting structure, Pharmaceutical Distribution and Services revenue is expected to grow 4% to 6% and Specialty Pharmaceutical and Provider Services 9% to 14%. Adjusted operating income is expected to grow 4% to 6%, with Pharmaceutical Distribution and Services at 2% to 4% and Specialty Pharmaceutical and Provider Services at 18% to 21%. Adjusted free cash flow is expected at about $3.5 billion.

Beginning in the first quarter of fiscal 2027, the company will report Pharmaceutical Distribution and Services, Specialty Pharmaceutical and Provider Services, and Other. It reaffirmed long-term targets of 7% to 10% adjusted operating income growth and 10% to 14% adjusted diluted EPS growth. On November 3, 2026, it declared a quarterly dividend of $0.66 a share, a 10% increase from $0.60.

Cencora also signed a definitive agreement to acquire American Oncology Network at a $2.4 billion enterprise value and to sell its stake in Profarma, expected to close in the first quarter of fiscal 2027.