Pharmaceuticals distributor Cardinal Health reported its 2024 third quarter financial results on May 2, showing continued strong annual sales gains while its net profit saw a major decline largely due to a change in its reporting structure.

The Dublin, OH-based company posted total 3Q sales of $54.9 billion, up 9% year-over-year, following 2Q’s 12% gain.

Cardinal Health had a 3Q operating profit of $367 million that sunk 36% year-over-year, while net profit of $258 million likewise fell 25%. Those figures were skewed by a $90 million imaprtment charge related to the company’s Global Medical Products and Distribution segment resulting from the reallocation of goodwill related to a reporting structure update.

By Cardinal Health business segment in 3Q:

• Pharmaceutical and Specialty Solutions sales of $50.7 billion increased 9% year-over-year, while segment profit of $580 million increased 4%.
• Global Medical Products and Distribution sales of $3.1 billion increased 4% year-over-year, with segment profit of $20 million reversing a $46 million loss of a year earlier.

On April 2, Cardinal Health announced it began to build of a 350,000-square-foot logistics center in Columbus, OH, which will serve as a centralized replenishment center for the distribution of over-the-counter consumer health products in support of its core pharmaceutical business.