MCKMcKesson Corporation
Is the business good?
The checks split: nothing decisive, though earnings fully cash-backed (1.3×).
Operating profit is fully backed by cash. Conversion is worsening vs a year ago.
Positive operating leverage, operating profit is growing faster than sales, so margins widen as the business scales.
Where this answer is blind. The F-score rewards improvement, so an already-elite company can score mid-pack.
How good a business is MCK?
McKesson Corporation keeps 1.6% of every revenue dollar as operating profit, against 0.97% for the median Healthcare name.
Operating margin · Healthcare median 0.97% · 12 months to Q1 2027
- Cash conversion
- 1.29×
Cash conversion · 1.91× a year ago · operating cash flow covers the operating profit after tax
- Share count, year on year
- −5.0%
Share count, year on year · bought back, each share owns more of the company
- Gross margin
- 3.6%
Gross margin
| Year | Operating margin |
|---|---|
| FY2021 | −2.1% |
| FY2022 | 0.77% |
| FY2023 | 1.6% |
| FY2024 | 1.3% |
| FY2025 | 1.2% |
| FY2026 | 1.5% |
Details›
- Gross margin12 months to Q1 2027
- 3.6%
- Operating margin12 months to Q1 2027
- 1.6%
- Net margin12 months to Q1 2027
- 1.1%
- Free cash flow margin
- 1.6%
- Revenue, trailing twelve months
- $411.0B
- Free cash flow, trailing twelve months
- $6.42B
- Net income, trailing twelve months
- $4.59B
Margins, capital and share counts from the statements as filed with the SEC; cash conversion is operating cash flow over operating profit after tax.
Customers and suppliers
Who buys from MCK and who it buys from, as the companies report it.
- CVSCVS Health24%
Share of revenue · FY2026 10-K
- Second largest customer11%
Share of revenue · FY2026 10-K
- Third largest customer10%
Share of revenue · FY2026 10-K
- Ten largest customers73%
Combined share of revenue · FY2026 10-K
- RIGLRigel Pharmaceuticals Inc42%
MCK is 42% of its revenue · FY2025 10-K
- ALKSAlkermes plc31%
MCK is 31% of its revenue · FY2025 10-K
- PCRXPacira BioSciences, Inc.31%
MCK is 31% of its revenue · FY2025 10-K
- PFEPfizer25%
MCK is 25% of its revenue · FY2025 10-K
- AMPHAmphastar Pharmaceuticals, Inc.24%
MCK is 24% of its revenue · FY2025 10-K
- EXELExelixis, Inc.19%
MCK is 19% of its revenue · FY2025 10-K
A company has to disclose every customer behind 10% or more of its revenue. Each share comes from the latest annual report of the company that states it and shows on both companies’ pages; MCK’s own figures are from its FY2026 10-K. Smaller customers and suppliers go unreported. A link without a share is named in one of the two companies’ annual reports, without a figure.