Glenn Santangelo

Scott affirmed China durability into 2027; Paul said Nashik impact peaks in Q3, moderates in Q4, and is short-term; direct.

Scott cited strongest China market he has seen since the late 1990s. Paul noted China outlook raised from low single digits to mid-to-high single digits but acknowledged dynamic policy risk. Corinne highlighted e-commerce doubling and business transitioning from hospitals to retail/e-commerce for policy resilience.

Philippe confirmed US priorities: XULANE LO (PDUFA July), meloxicam (PDUFA TBD). Japan: pitolisant approval and Nefecon data. Longer term: cenerimod data late 2026/early 2027, selatogrel first half 2027.

Doretta provided 30/30/40 phasing over 2026-2028 with full run rate benefits in 2029. Sequencing reflects timing of workforce actions and efficiencies. Savings expected to support EBITDA growth and margin expansion.

Scott laid out the path: growing base business at low single digits, plus 2026 launches (EFFEXOR, Quinlo, Ryzumvi, potentially meloxicam), plus 2027+ data readouts (selatogrel, cenerimod), plus BD growth assets. All together supports mid-single-digit trajectory.

Bob framed biosimilars as good for Cencora overall: Part D is only incrementally positive (revenue pressure when brands convert, limited profit), while Part B buy-and-bill is the larger profit opportunity through distribution, GPO, and MSO wraparound services. Eva added utilization rebounded sequentially.

Bob separated Part D (biosimilar bypasses wholesaler like oral generics, revenue hit but not meaningful profit hit) from Part B (biosimilar conversion incrementally beneficial to practices and Cencora). Both dynamics contemplated in planning.

Jim explained Q1 US OI of 21% growth, ex-RCA still at high end of 7-10% LRP despite oncology customer headwind. Core drivers unchanged: utilization trends, specialty performance, health systems strength. FY26 ex-RCA/OneOncology still within LRP range.

CEO emphasized that distribution fee-for-service economics should not change as Cardinal is the lowest-paid component of the supply chain. MSO drug spend exposure is diversified with only about 1/3 being drug spend.

Jason attributed generics strength to utilization/volume rather than spread or new item launches. Consistent market dynamics maintained. Good service levels supportive of volume trends. Aaron noted business managed to average margin per unit, with new customer onboarding also contributing to volume.

Yemi put Eucalyptus at breakeven to moderate losses and said international would be near or at breakeven, but declined to speak to 2027 margins specifically.

Yemi acknowledged a shift to lower revenue per order and larger GLP-1 ticket sizes but did not quantify the compounded GLP-1 contribution.

Fred cited own-brand outgrowth, DSO strength, episodic-to-active customer conversion and exclusive products; Ron said the quarter was steady April to June.

Fred confirmed sequential improvement through Q1 with March stronger than February, driven mainly by flu season softness rather than weather. April continues to be strong.

Brian explained biosimilar economics sit between generics and brands. Network effects in U.S. Oncology enable uniform rapid adoption, creating manufacturer value that compensates GPO and distribution.

Britt pushed back on deceleration concern, emphasizing the NAP OP guidance raise from 5-9% to 8-12% reflects strong specialty distribution growth, operational excellence, and stable utilization. Width of range unchanged.