Cardinal Health Reports Strong Q4 Fiscal 2026 Results and Boosts FY27 Guidance After Home Care Acquisitions

Cardinal Health Reports Strong Q4 Fiscal 2026 Results and Boosts FY27 Guidance After Home Care Acquisitions

Wed, August 26, 2026

Cardinal Health (NYSE: CAH) reported a robust close to fiscal year 2026, with fourth-quarter revenue rising 6% to $63.7 billion and GAAP diluted earnings per share leaping 70% to $1.70. Non‑GAAP diluted EPS, excluding a one‑time tariff refund, climbed 25% to $2.60, while reported non‑GAAP EPS increased 40% to $2.91 thanks to a net benefit from IEEPA tariff refunds of approximately $0.31 per share. For the full fiscal year, excluding the tariff impact, non‑GAAP EPS rose 33% to $10.95, with reported non‑GAAP EPS up 37% to $11.26. Operating cash flow for the year reached $5.2 billion, and adjusted free cash flow totaled $5.0 billion. The company completed an incremental $350 million share repurchase, raising the total to $1.4 billion, while shareholders approved a new $5.0 billion repurchase authorization.

Looking ahead, Cardinal Health offered fiscal year 2027 non‑GAAP EPS guidance targeting 13% to 15% growth, implying a range of $12.40 to $12.60, notably surpassing its long‑term EPS growth target.

Management attributed part of the anticipated fiscal 2027 growth to recent tuck‑in acquisitions: the Diabetes Health business of AdaptHealth and Strive Medical. These strategic moves, completed in July, are expected to expand the company’s home‑care offering and support the updated guidance.

These results and projections were disclosed on August 11, 2026, as part of the company’s fiscal fourth‑quarter report and FY27 outlook announcement.

Why it matters:

  • The strong fourth‑quarter EPS growth underscores the effectiveness of Cardinal Health’s profit levers, including tariff recoveries and operational performance across segments.
  • The elevated FY27 guidance, exceeding long‑term targets, signals continued confidence in the company’s growth trajectory.
  • The acquisition of AdaptHealth’s Diabetes Health unit and Strive Medical—which contributed to the guidance—marks strategic expansion in the at‑Home Solutions segment, aligning with healthcare’s ongoing shift toward home‑based care.
  • The substantial $5 billion share buyback authorization reinforces the company’s commitment to returning capital to shareholders.

Investors and analysts may now monitor integration progress of the two acquisitions, execution against the elevated FY27 EPS outlook, and how the broader healthcare sector’s shift toward home‑based services influences Cardinal Health’s strategy and performance.