Cencora (COR) Wells Fargo 21st Annual Healthcare Conference summary

Business performance and strategic focus

• Fiscal 2026 is progressing strongly, with continued growth in specialty pharmaceuticals and health systems, supported by favorable demographics and pharmaceutical innovation.

• Opportunistic $1 billion share repurchase completed, with performance in line with guidance.

• Specialty and oncology segments are key growth drivers, with OneOncology acquisition contributing positively.

• International business, especially World Courier and 3PL, is showing improved performance due to market rebound and operational changes.

• Long-term strategic relationships with major customers, such as Walgreens, remain strong and foundational.

Customer and contract dynamics

• Recent volume shifts from Walgreens outside the prime vendor contract were minor and already factored into guidance.

• Most business with Walgreens remains under the core contract, and the relationship is expected to continue long-term.

• Revenue guidance for Q4 reflects only a small top-line impact from these changes.

Growth trends and market factors

• Organic growth in U.S. healthcare has shown variability, with utilization trends in specialty as a key driver.

• Generic market remains positive but less volatile and less of a profit driver than in the past.

• Biosimilars, especially in Part B, are a tailwind, with strong adoption supported by wraparound services.

• GLP-1s have driven significant top-line growth, but profitability remains modest and is not expected to change soon.