MCK McKesson Corporation

By Allison Prang

McKesson Corp.'s (MCK) third-quarter profit fell, impacted by higher operating expenses.

The company on Tuesday reported earnings of $186 million, down 60% from a year prior. Earnings were $1.03 a share, down from $2.40 a share in the same period last year.

Adjusted earnings from continuing operations were $3.81 a share, up from $3.40 a share. According to FactSet, analysts were expecting $3.50 a share.

Revenue was $59.17 billion, up over 5%. Analysts were expecting $59.4 billion.

Total operating costs were $2.67 billion, up 17% from a year earlier. Operating expenses and restructuring, impairment and related charges increased.

The company said its earnings from continuing operations were hurt by a $282 million charge in its European Pharmaceutical Solutions division associated with the company's creating a joint venture with Walgreens Boots Alliance Inc. The company also reported restructuring, impairment and related charges before tax for its business in Europe and Canada, McKesson said. Those costs were also for corporate.

McKesson said it affirmed its adjusted earnings outlook for the year.

Write to Allison Prang at allison.prang@wsj.com

(END) Dow Jones Newswires

February 04, 2020 07:51 ET (12:51 GMT)

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