McKesson Corp. posted double-digit revenue gains in its third fiscal quarter, ending Dec. 31, 2003.
Revenues increased 22 percent to $18.2 billion, compared with $14.9 billion in the third quarter of FY03. Net income slipped to $120.2 million, down 10 percent from $134.3 million in the year-ago quarter.
McKesson said its third-quarter results were impacted by a number of factors, including an estimated $25 million pre-tax reduction to Pharmaceutical Solutions operating profit resulting from shifts a number of pharmaceutical price increases anticipated for the third quarter.
Revenues in McKesson's Information Solutions business segment remained flat in the third quarter at $294.3 million, compared with $295.3 million in the year-ago quarter. The segment's operating profit increased 36 percent to $20.6 million, compared with $15.1 million in the third quarter of FY03.
Within Information Solutions, software revenues were down 9 percent to $56.2 million, primarily due to decreases in non-clinical software. Services revenues gained 3 percent to $211.6 million. Hardware revenues declined 3 percent to $26.5 million.
For the nine-month period, Information Solutions revenues rose 4 percent to $856.4 million, compared with $825.2 million in the same period of FY03.