Owner Scorecard


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An industry chapter · Drug & Medical Distributors

Drug & Medical Distributors

5 members, CAH to NUS, A to Z by ticker.

Gross profitability
median 19% — gross profit as a share of total assets, each member's median across its readable years; read on 4 of 5 members
Capital intensity
median 0.2% — capital expenditure as a share of revenue, each member's median across its readable years; read on 5 of 5 members
Net cash
1 of the 5 members with a readable debt line hold more cash and short-term investments than total debt

Figures describe the list as a group, from each member's own filed record; they name no member and form no rank. A member missing an input is absent from that median, never counted against the others.

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CAH Cardinal Health Inc.

Cardinal Health is a wholesale distributor of pharmaceuticals and medical products. It buys drugs and supplies from manufacturers in bulk and delivers them to the pharmacies, hospitals, and other providers that dispense them, taking a small cut on each item that passes through. It is a middleman of enormous volume: it earns pennies on the dollar but moves a great many dollars.

Owner earnings 2016–2025 $2.5B$797M$2.4B$2.4B$1.6B$2.0B$2.8B$2.4B$3.3B$1.9B

Retained capital Paid out $9.9B more than it earned over 2016–2025; annual owner earnings grew $592M.

Balance sheet Modest net debt, $4.5B · dividend paid 10 of 10 yrs, never cut

COR Cencora Inc.

Cencora is a wholesale distributor of prescription drugs. It buys pharmaceuticals and related healthcare products from manufacturers and delivers them to the pharmacies, hospitals, and other providers that dispense them, taking a small cut on each dollar of product that moves through. Most customers buy on credit, so the business is part logistics network and part lender, financing the inventory that sits between maker and dispenser.

Owner earnings 2016–2025 $2.8B$1.0B$1.1B$2.0B$1.8B$2.2B$2.2B$3.5B$3.0B$3.2B

Retained capital Paid out $2.7B more than it earned over 2016–2025; annual owner earnings grew $1.6B.

Balance sheet Modest net debt, $3.3B · dividend paid 10 of 10 yrs, never cut

HSIC Henry Schein Inc.

Henry Schein, Inc. is a solutions company for health care professionals powered by a network of people and technology.

Owner earnings 2016–2025 $572M$483M$613M$578M$550M$631M$506M$353M$700M$573M

Retained capital Retained $751M of earnings over 2016–2025; annual owner earnings fell $14M, $-0.02 per $1 retained.

Balance sheet Meaningful net debt, $2.2B

MCK McKesson Corporation

McKesson is a wholesale distributor that sits between drug makers and the places that dispense medicine. It buys branded and generic pharmaceuticals, plus medical-surgical supplies and laboratory equipment, in bulk and delivers them to retail, hospital, and alternate-site pharmacies and to non-acute care settings in the United States. It earns a thin spread on enormous volume, and sells the customers it supplies a layer of software, purchasing programs, and consulting on top of the goods.

Owner earnings 2017–2026 $4.3B$3.9B$3.7B$4.0B$4.2B$4.0B$4.9B$4.0B$5.8B$5.9B

Retained capital Paid out $12.1B more than it earned over 2017–2026; annual owner earnings grew $1.2B.

Balance sheet Modest net debt, $3.1B · buybacks at an average near $142 · dividend paid 10 of 10 yrs, never cut

NUS Nu Skin

Skin Enterprises, Inc. develops and distributes a comprehensive line of premium-quality beauty and wellness solutions in nearly 50 markets worldwide.

Owner earnings 2016–2025 $225M$242M$132M$112M$315M$73M$49M$60M$70M$46M

Retained capital Paid out $334M more than it earned over 2016–2025; annual owner earnings fell $141M.

Balance sheet Net cash, +$16M · dividend paid 10 of 10 yrs, cut at least once

The same four lines for every member, in strict ticker order; a figure that could not be read renders as "not read," never as a mark against the record beside it. The header describes the list and names no member; the entries carry no ranking and form no score. What a chapter cannot carry — understanding of the business, and a price — is yours.