Summary
Cardinal Health, Inc. (CAH) filed a Current Report on Form 8-K on February 19, 2013, to disclose the retrospective adoption of amended accounting guidance from the FASB regarding the presentation of comprehensive income. This change affects how comprehensive income and its components are reported, requiring presentation in either a single or two separate consecutive statements. Cardinal Health elected to use two separate statements. Importantly, the company states that this accounting change is purely presentational and did not impact its financial position or results of operations. The report provides comparative data for comprehensive income for the fiscal years ended June 30, 2010, 2011, and 2012, illustrating the impact of other comprehensive income/(loss) items such as foreign currency translation adjustments and derivative instruments on total comprehensive income. Investors should note that this filing does not amend or restate prior financial statements and does not reflect any events after the fiscal year ended June 30, 2012.
Key Highlights
- 1Cardinal Health retrospectively adopted amended accounting guidance for the presentation of comprehensive income.
- 2The adoption of this guidance is a presentational change and does not affect the company's financial position or results of operations.
- 3The company will present comprehensive income and its components in a separate statement of comprehensive income.
- 4Consolidated Statements of Comprehensive Income for fiscal years 2010, 2011, and 2012 are provided.
- 5In fiscal year 2012, total comprehensive income was $1,029 million, compared to $966 million in 2011 and $630 million in 2010.
- 6Other comprehensive income/(loss) components include foreign currency translation adjustments and net unrealized gains/(losses) on derivative instruments.
- 7This 8-K filing does not amend or restate prior financial statements and does not reflect events occurring after June 30, 2012.