Cencora, Inc.'s Stock Analysis

Cencora Amends Term Loan and Money Market Facility Agreements

Cencora, Inc. has amended its Term Credit Agreement, changing the maturity date of its senior unsecured term loan from January 2, 2028, to October 1, 2027. The amendment also modifies the interest rate structure, which is now based on either an adjusted Term SOFR rate or an alternate base rate, with applicable margins determined by the company's public debt ratings.

Additionally, Cencora amended its Money Market Facility Agreement, allowing for short-term, unsecured revolving credit loans. The amendment permits borrowings of up to $500 million from April 1 to December 1 and up to $750 million from December 1 to March 31. The facility can be decreased or terminated at any time by either the bank or the company without prior notice.

Sep 09, 2025 17:00:34

Cencora Reaches $111.3 Million Settlement in Derivative Action

Cencora, Inc. announced an agreement to settle a stockholder derivative action related to allegations of breach of fiduciary duty concerning the company's oversight of controlled substance distribution programs. The settlement, subject to court approval, would result in a payment of $111.3 million to Cencora from insurance carriers, with no admission of liability from the defendants. The settlement follows a mediation process and aims to resolve all claims against certain officers and board members of the company.

The derivative action was initiated by the Lebanon County Employees' Retirement Fund and Teamsters Local 443 Health Services & Insurance Plan, alleging that the company's leadership failed to implement adequate controls against unlawful opioid distribution. The settlement agreement is intended to provide a financial benefit to the company while avoiding the risks and costs associated with prolonged litigation. The court has been notified of the settlement and will review the stipulation for approval.

Sep 03, 2025 16:43:27

Cencora Appoints New Chairman Amid Board Changes

Cencora, Inc. has announced the appointment of D. Mark Durcan as the new Chairman of the Board, effective October 1, 2025. Durcan, who has been with the company since 2015 and served as Lead Independent Director since 2023, will succeed Steven H. Collis, who is retiring from the Board at the end of the fiscal year on September 30, 2025. The Board will decrease in size from 11 to 10 directors following Collis' departure, which was confirmed to be unrelated to any disagreements regarding company operations or policies.

Durcan brings extensive experience to his new role, having previously served as CEO of Micron Technology, Inc. from 2012 to 2017. Under his leadership, Cencora aims to maintain its position in the healthcare industry, focusing on sustainable growth and enhanced market access for pharmaceutical solutions. The company is recognized as a significant player in the global pharmaceutical sector, ranking #10 on the Fortune 500 with over $290 billion in annual revenue.

Aug 27, 2025 17:00:50

Cencora Reports Third Quarter Earnings and Revenue Growth

Cencora, Inc. announced its financial results for the third quarter of fiscal year 2025, reporting revenue of $80.7 billion, reflecting an 8.7% increase compared to the same quarter last year. The company achieved a GAAP diluted earnings per share (EPS) of $3.52, up from $2.42 in the prior year, while adjusted diluted EPS rose 19.8% to $4.00. The increase in revenue was driven by growth in both the U.S. and International Healthcare Solutions segments, with notable contributions from products related to diabetes and weight loss.

The company also raised its adjusted diluted EPS guidance for fiscal year 2025 to a range of $15.85 to $16.00, up from the previous range of $15.70 to $15.95. Cencora's operating income for the quarter was reported at $0.9 billion, a 29.0% increase year-over-year, despite a rise in operating expenses due to the January 2025 acquisition of Retina Consultants of America. Additionally, the company declared a quarterly cash dividend of $0.55 per common share, payable on September 3, 2025.

Aug 06, 2025 06:34:52

Cencora Expands Securitization Facility to $1.5 Billion

Cencora, Inc.'s subsidiaries have entered into a significant amendment to their receivables purchase agreement, increasing the securitization facility from $1.45 billion to $1.5 billion. This amendment includes the addition of a new uncommitted purchaser and enhances the company's ability to increase commitments from participating banks by an additional $500 million, up from $250 million, with availability throughout the fiscal year.

The receivables securitization facility is designed to provide liquidity and funding for Cencora's business operations, relying on accounts receivable generated from the sale of pharmaceuticals and related products. The company acts as the performance guarantor for associated obligations under this facility, which involves selling accounts receivable to AmeriSource Receivables Financial Corporation, allowing for the potential sale of interests in these receivables to various purchaser groups.

Jul 03, 2025 16:01:37