Strong 2024 fourth-quarter financial results have resulted in Cardinal Health (NYSE: CAH) raising its fiscal year 2025 guidance, the company said during its Aug. 14 earnings call.

“Fiscal 2024 marked a year of strong operational execution and record financial results, delivered in tandem with key strategic progress in the portfolio,” said Jason Hollar, Cardinal Health’s CEO. “We delivered robust cash-flow generation, continued profit growth in the Pharmaceutical and Specialty Solutions segment, and significant improvement driven by our GMPD [Global Medical Products and Distribution] improvement plan. We enter the new fiscal year with momentum and confidence, evidenced by our raised fiscal year 2025 guidance.”

Growth predicted in medical products, pharmaceuticals segments

During the earnings call, Cardinal Health reported Q4 revenue of $59.9 billion, a 12% increase compared to the prior year.

Cardinal Health further reported Generally Accepted Accounting Principles (GAAP) operating earnings of $401 million for the quarter. “Non-GAAP operating earnings increased 14% to $605 million, driven primarily by segment profit increases in Global Medical Products and Distribution and Pharmaceutical and Specialty Solutions,” the company said in a press release.

For the fiscal year 2024, Cardinal Health revenues were $226.8 billion, which was an 11% increase over the 2023 fiscal year.

A closer look at the GMPD segment showed $3.1 billion in Q4 fiscal year 2024 revenue, a 2.2% increase over the last fiscal year. The increase, Cardinal Health said, was “driven by volume growth from existing customers.”

Among company highlights was the opening of a South Carolina distribution center for Cardinal Health’s at-Home Solutions segment, as well as new GMPD distribution facilities in Massachusetts and Canada.

In its fiscal year 2025 outlook, Cardinal Health is expecting 3% to 5% growth in revenue for its GMPD segment, with a profit of approximately $175 million. The company updated its Pharmaceutical and Specialty Solutions segment profit growth outlook to 1% to 3% growth, from the previous outlook of “at least 1% growth.”

“The company also improved its fiscal year 2025 outlooks for interest and other, diluted weighted average shares outstanding and share repurchases,” the announcement said.