Cardinal health

Cardinal Health, Inc. is a global, integrated healthcare services and products company, providing customized solutions for hospitals, health systems, pharmacies, ambulatory surgery centers, clinical laboratories, and physician offices worldwide. The company operates through two segments: Pharmaceutical and Medical. Cardinal Health was founded in 1971 as Cardinal Foods, a small food distributor in Columbus, Ohio. It has since grown into one of the largest healthcare supply chains in North America.

History

The origins of Cardinal Health trace back to 1971, when Robert D. Walter started Cardinal Foods, a small food distribution company. The company expanded into pharmaceutical distribution in 1979, marking the beginning of its transformation into a healthcare services company. In the 1980s and 1990s, Cardinal Health grew through numerous acquisitions, including nuclear pharmacy and medical products businesses, which helped diversify its offerings beyond pharmaceutical distribution.

In the early 2000s, Cardinal Health continued to expand its product and service portfolio through further acquisitions, including the purchase of Alaris Medical Systems, a manufacturer of intravenous medication safety and infusion therapy delivery systems. This period also saw the company facing regulatory challenges and legal issues related to its distribution practices, which it has since worked to resolve.

Operations

Cardinal Health operates through two main segments:

Pharmaceutical

This segment distributes branded and generic pharmaceutical, specialty pharmaceutical, and over-the-counter healthcare and consumer products. It also provides services to pharmaceutical manufacturers and healthcare providers for specialty drug distribution, medication therapy management, and patient support services.

Medical

The Medical segment manufactures, sources, and distributes a broad range of medical, surgical, and laboratory products. It also offers supply chain services to healthcare providers and laboratories. This segment focuses on improving the cost-effectiveness of healthcare and enhancing patient care.

Corporate Responsibility

Cardinal Health is committed to sustainability and ethical business practices. The company focuses on reducing its environmental footprint, supporting communities through philanthropy, and upholding high standards of corporate governance and ethics.

Challenges and Controversies

Like many companies in the pharmaceutical distribution industry, Cardinal Health has faced challenges related to the opioid crisis in the United States. It has been involved in litigation and settlements related to the distribution of opioid medications. The company has taken steps to enhance its opioid management policies and support national efforts to combat opioid misuse and addiction.

Financial Performance

As a publicly traded company on the New York Stock Exchange (NYSE: CAH), Cardinal Health reports its financial performance quarterly and annually. The company has shown resilience in the face of industry challenges, continuing to generate significant revenue and maintain a strong market position.

Future Outlook

Cardinal Health is focused on innovation and adapting to the changing healthcare landscape. This includes investing in technology and digital solutions to improve supply chain efficiency, expanding its product and service offerings, and pursuing strategic acquisitions to enhance its global reach and capabilities.