McKesson (MCK) Q4 Earnings: How Key Metrics Compare to Wall Street Estimates

For the quarter ended March 2023, McKesson (MCK) reported revenue of $68.91 billion, up 4.3% over the same period last year. EPS came in at $7.19, compared to $5.83 in the year-ago quarter.

The reported revenue represents a surprise of +1.08% over the Zacks Consensus Estimate of $68.18 billion. With the consensus EPS estimate being $7.16, the EPS surprise was +0.42%.

While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.

Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.

Here is how McKesson performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

• Revenue- U.S. Pharmaceutical: $61.68 billion versus the three-analyst average estimate of $60.65 billion. The reported number represents a year-over-year change of +14.9%.

• Revenue- Prescription Technology Solutions: $1.18 billion compared to the $1.12 billion average estimate based on three analysts. The reported number represents a change of +15.9% year over year.

• Revenue- International: $3.36 billion versus $3.11 billion estimated by three analysts on average. Compared to the year-ago quarter, this number represents a -60.6% change.

• Revenue- Medical-Surgical Solutions: $2.69 billion compared to the $2.82 billion average estimate based on three analysts. The reported number represents a change of -6.4% year over year.

• Adjusted Operating Profit- U.S. Pharmaceutical: $861 million compared to the $866.01 million average estimate based on three analysts.

• Adjusted Operating Profit- International: $80 million versus $92.51 million estimated by three analysts on average.

• Adjusted Operating Profit- Corporate: -$149 million versus -$113.90 million estimated by three analysts on average.

• Adjusted Operating Profit- Prescription Technology Solutions: $218 million versus $216.27 million estimated by three analysts on average.

• Adjusted Operating Profit- Medical-Surgical Solutions: $248 million compared to the $266.59 million average estimate based on three analysts.

View all Key Company Metrics for McKesson here>>>

Shares of McKesson have returned -1.1% over the past month versus the Zacks S&P 500 composite's +1.2% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

McKesson Corporation (MCK) : Free Stock Analysis Report

To read this article on Zacks.com click here.

Zacks Investment Research