Cencora, Inc. Wells Fargo 21st Annual Healthcare Conference
Review the key takeaways and the transcript of this earnings call.
Transcript
Preview the first fifteen paragraphs, organized by speaker.
Okay. Hi, everyone. Thanks again for joining us. We are really pleased to have Cencora for our next fireside chat. Cencora is a drug distributor and provider of pharma-focused services. With us from the company are Bob Mock, the President and CEO, and Eva Boratto, EVP and CFO. We also have Ben with us in the audience. First, wanted to see if you wanted to make any kind of introductory comments or whether we should just really hop right into Q&A.
Yeah, maybe just a quick word.
Yeah. Hi, everyone. Thank you very much for being here.
We are in the midst of an excellent fiscal 2026. We reported last month our third-quarter earnings, which demonstrate a continued growth in our areas of focus, which really are the specialty pharmaceutical areas, both in the physician part of our business as well as in health systems. We also had the opportunity to opportunistically repurchase $1 billion in shares, and expect a strong year in line with our guidance. We are very excited about the future in terms of our pharmaceutical-centric strategy, and the way that we are continuing to focus the company on areas of growth in the market where the specialty area, in particular, where demographics are strong and there is tremendous pharmaceutical innovation.
Okay. Thank you. Great. Of course.
Yeah, maybe we will just clear through this bit off the top. I think the most recent disclosure piece of news from the company was that certain volumes related to your customer, Walgreens, that were outside of the prime vendor agreement or outside of the PV contract, started to move away from the company. Would love to just little additional context on the nature of these volumes, why they are outside of the PV contract and anything to characterize how typical this is or is not as part of your business.
Yeah, sure. Happy to. Yeah.
I will start and then I will- Okay I will hand it to Eva.
Also should have noted in the introduction that this is the first investor conference for Eva and I to do this together- Yeah which has been fun so far, and she's been an amazing addition to the Cencora team.
Look forward to hearing more from Eva. That's a part of the industry that doesn't get talked about very much. But the idea that a very large purchaser would take a small portion and have that with another distributor, it's not uncommon. What is uncommon is the fact that that would be something that would have to be discussed.
Sure. Our team did a great job upon realizing that we wanted to make sure that people didn't misunderstand- Yeah the size of that relative to the overall relationship, the very small size relative to the overall relationship.
We did do the 8-K and made sure that we provided the right level of clarity. As I said in the beginning, it is something that happens within the industry.
It's not part of our core contract, as you said, and I'll let Eva take it from there.
Yeah, okay. Yeah. I think, Bob, the only thing I would add is we wanted to provide to the investor community the full factual context around that, and a couple of things.
One, the business began moving in July, so at the start of the fiscal fourth quarter. Two, it was contemplated in our guidance, which shows the acceleration in Q4, the guidance we provided back in August. Finally, three, as Bob said, the vast majority of our business with Walgreens is in the prime contract, not outside.
FULL TRANSCRIPT
Continue the full translated transcript in StockNow.
Access every statement, the English original, and speaker-by-speaker history with StockNow Pro.
View the full transcript with ProCall participants
3 people spoke on this call — only 2 are shown here.
PARTICIPANT LIST
View participant details in StockNow.
Log in to see executives and analysts, their roles, and complete speaking history.
Log in to view all participantsKeep exploring