Cencora announced a $1 billion investment to modernize its U.S. distribution network, a move that will support the company’s expanding specialty‑pharmaceutical business and the growing demand for GLP‑1 and other temperature‑sensitive products.
The investment will create a second national distribution center in Harrison, Ohio, a 530,000‑square‑foot facility that will be fully operational by spring 2027. The Ohio hub will feature advanced automation, including robotic handling systems, AI‑driven inventory management, and autonomous mobile robots, positioning Cencora to handle higher volumes of specialty drugs with greater speed and accuracy.
In California, a new 430,000‑square‑foot center in Fontana will open by fall 2026, nearly double the size of the existing facility and heavily automated. The company will also expand cold‑chain capacity at its Dothan, Alabama site, boosting refrigerated storage by 500 % and frozen storage by 200 % to meet the rising demand for temperature‑sensitive therapies.
Cencora’s Q3 2025 earnings, released on August 6, 2025, showed an adjusted diluted EPS of $4.00, beating analyst expectations of $3.79 by $0.21 (a 5.5 % beat). Revenue reached $80.7 billion, surpassing estimates of $80.33 billion and marking an 8.7 % year‑over‑year increase. The company raised its fiscal‑year 2025 adjusted diluted EPS guidance to $15.85–$16.00, up from $15.70–$15.95, signaling confidence in continued growth.
The earnings beat was driven by strong demand in the U.S. Healthcare Solutions segment, which grew 8.5 % in revenue, and by the acquisition of Retina Consultants of America (RCA) in January 2025, which added high‑margin specialty services. Adjusted gross profit margin rose 36 basis points to 3.55 %, while adjusted operating income margin increased 13 basis points to 1.31 %, reflecting effective cost control and a favorable product mix.
Investors responded positively to the earnings and the $1 billion investment announcement, viewing the expansion as a strategic investment in the growing specialty‑pharmaceutical market and a reinforcement of Cencora’s leadership in U.S. pharmaceutical distribution.
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