McKesson said it announced an agreement on September 5, 2024 to sell its Rexall and Well.ca Canadian retail disposal group, with an adjusted purchase price of about $148 million. The company said it recorded a remeasurement charge of $643 million in total operating expenses for the quarter and 6 months.

10-QQuarterly reportFiled Nov 7, 2024Period of report Sep 30, 2024Summary published (UTC) Oct 23, 2026

Key points

AI summary

McKesson said it announced an agreement on September 5, 2024 to sell its Rexall and Well.ca Canadian retail disposal group, with an adjusted purchase price of about $148 million. The company said it recorded a remeasurement charge of $643 million in total operating expenses for the quarter and 6 months.
The company said revenues for the quarter ended September 30, 2024 rose 21% from the year-earlier period, and total operating expenses rose 26%. Diluted earnings per common share attributable to McKesson decreased from $4.92 to $1.87.
The company said it approved enterprise-wide restructuring to modernize its technology service operating model in the second quarter of fiscal 2025 on Q2, and recorded $227 million of charges for the quarter and 6 months. It said it expects total charges of $650 million to $700 million and that the programs are expected to be substantially complete in fiscal 2028.
The company said its income tax expense for the quarter was $247 million and its reported income tax rate was 46.3%, and it explained that no net tax benefit was recognized for the remeasurement charges on the Canadian disposal group. The company also said it priced a public offering of 4.25% Notes due 2029 in a principal amount of $500 million on September 10, 2024.

Key figures

Quarter ended September 30, 2024

Revenue: $93.7B
Operating income: $578M
Net income: $241M
EPS: $1.87
Gross profit: $3.2B

From the XBRL financial data filed with the SEC · not processed by AI.

Summary

AI-written

Analysis scope · Management's discussion (MD&A)We analyzed excerpts of the Management's Discussion and Analysis (MD&A) section (with omissions). Other sections of the report, such as the notes to the financial statements and risk factors, were not reviewed.

Canadian Retail Disposal Group Sale and $643 million Remeasurement Charge

McKesson said it announced an agreement on September 5, 2024 to sell its Rexall and Well.ca Canadian retail disposal group, with an adjusted purchase price of about $148 million. The company said it recorded a remeasurement charge of $643 million in total operating expenses for the quarter and 6 months.

Source · Based on the MD&A text of the filing

Quarterly Revenue Up 21%, Diluted EPS $1.87

The company said revenues for the quarter ended September 30, 2024 rose 21% from the year-earlier period, and total operating expenses rose 26%. Diluted earnings per common share attributable to McKesson decreased from $4.92 to $1.87.

Source · Based on the MD&A text of the filing

$227 million Restructuring Charges and $650 million to $700 million Total Expected

The company said it approved enterprise-wide restructuring to modernize its technology service operating model in the second quarter of fiscal 2025 on Q2, and recorded $227 million of charges for the quarter and 6 months. It said it expects total charges of $650 million to $700 million and that the programs are expected to be substantially complete in fiscal 2028.

Source · Based on the MD&A text of the filing

Quarterly Tax Rate 46.3% and $500 million 2029 Notes Issued

The company said its income tax expense for the quarter was $247 million and its reported income tax rate was 46.3%, and it explained that no net tax benefit was recognized for the remeasurement charges on the Canadian disposal group. The company also said it priced a public offering of 4.25% Notes due 2029 in a principal amount of $500 million on September 10, 2024.

Source · Based on the MD&A text of the filing

AI summarized the filing and translated the summary into English; it may differ from the original. For reference only, not investment advice. AI translated the published Korean report into English. Figures are copied as filed, not recalculated.

Original filing

The filing as submitted to SEC EDGAR. You can check the figures and statements of this summary against it.

View the original filing on SEC EDGAR ↗

Unauthorized scraping, data storage and database creation prohibited

Without prior written consent, you must not crawl or scrape data compiled and organized by Chickstock or its analysis and summaries, or collect them repeatedly or in bulk for storage, ingestion or database creation. Repurposing, redistribution, sale and use to build other services are also prohibited.

Unauthorized use may result in access restrictions, demands to stop infringement and delete copies, and claims for damages. Violations of applicable law may also give rise to criminal liability.

Uses permitted by law, the Terms of Service or a separate agreement remain subject to their respective scope. Rights in individual source materials, including original filings, remain with their respective rights holders.