10-KPeriod: FY2025

Cencora, Inc. Annual Report, Year Ended Sep 30, 2025

Filed November 25, 2025For Securities:COR

Summary

Cencora, Inc. (COR) reported strong revenue growth of 9.3% for fiscal year 2025, reaching $321.3 billion, driven by its U.S. Healthcare Solutions segment. This growth was significantly boosted by increased sales of specialty products and a substantial $7.7 billion in sales for GLP-1 class diabetes and weight loss medications. The company also saw a healthy increase in gross profit of 15.8%, primarily attributed to the U.S. segment's performance, including the recent acquisition of RCA, and higher gains from antitrust litigation settlements. Despite overall positive financial trends, Cencora recorded a significant goodwill impairment of $723.9 million related to its PharmaLex reporting unit, impacting operating expenses. The company's debt also increased significantly due to financing activities for the RCA acquisition, leading to a substantial rise in interest expenses. Looking ahead, Cencora continues to focus on optimizing its U.S. and international healthcare solutions, exploring strategic acquisitions, and managing its diversified business segments.

Financial Highlights

56 data points
Beta

Revenue

$321.33B

3.6% Gross Margin

Net Income

$1.55B

0.5% Net Margin

EPS (Diluted)

$7.96

Total Assets

$76.59B

Cash & Equivalents

$4.36B

Free Cash Flow

$3.21B

Financial Statements
Beta
Revenue$321.33B
Cost of Revenue$309.85B
Gross Profit$11.48B
SG&A Expenses$6.49B
Operating Expenses$6.99B
Operating Income$2.63B
Net Income$1.55B
EPS (Basic)$8.02
EPS (Diluted)$7.96
Shares Outstanding (Basic)193.82M
Shares Outstanding (Diluted)195.21M

Key Highlights

  • 1Revenue increased by 9.3% to $321.3 billion in fiscal year 2025, with the U.S. Healthcare Solutions segment driving growth.
  • 2Sales of GLP-1 class diabetes and weight loss products reached $7.7 billion, representing a 26.9% increase.
  • 3Gross profit rose by 15.8% to $11.5 billion, benefiting from increased sales and antitrust litigation settlements.
  • 4The company completed the acquisition of Retina Consultants of America (RCA) for approximately $5.7 billion, expanding its specialty pharmaceutical offerings.
  • 5Operating expenses increased by 14.4%, largely due to acquisition costs, goodwill impairment, and integration expenses.
  • 6Total debt increased significantly, reflecting borrowings for the RCA acquisition, leading to a 85.7% increase in net interest expense.
  • 7Cencora announced a 9% increase in its quarterly dividend to $0.60 per share, signaling confidence in its financial performance.

Frequently Asked Questions

Cencora's revenue growth in fiscal year 2025 was primarily driven by its U.S. Healthcare Solutions segment, which experienced increased sales of specialty products to health systems and physician practices, and notably, a significant uplift from sales of GLP-1 class diabetes and weight loss medications, totaling $7.7 billion.

The acquisition of RCA, completed in January 2025 for approximately $5.7 billion, contributed to increased revenue and gross profit in the U.S. Healthcare Solutions segment. However, it also led to higher operating expenses due to acquisition-related costs and integration efforts, as well as increased debt and interest expenses.

Cencora highlights several risks, including potential loss of key customers (with Walgreens and Boots accounting for 25% of fiscal 2025 revenue), cybersecurity threats, regulatory changes impacting the pharmaceutical supply chain, geopolitical risks associated with international operations, and the ongoing opioid litigation, for which the company has accrued a significant liability.

Cencora's debt increased substantially in fiscal 2025 due to financing the RCA acquisition, involving new senior notes and term loan borrowings. The company has a diversified debt structure including fixed-rate and variable-rate debt. It also has significant availability under its revolving credit facilities and maintains a share repurchase program and pays quarterly dividends, indicating active capital management.