Accounting Changes and Error Corrections

12 Months Ended

Jun. 30, 2024

Accounting Changes and Error Corrections [Abstract]

16. Revision of Previously Issued Financial Statements (Unaudited)

The amounts below reflect the unaudited interim periods within fiscal 2024 and include the revisions to previously filed unaudited interim condensed consolidated financial data to correct immaterial prior period errors as discussed in Note 1. We intend to reflect these revisions in our Quarterly Reports to be filed on Form 10-Q in fiscal 2025.

The following tables set forth our revisions to the condensed consolidated statements of earnings/(loss) for each of the first three quarters in fiscal 2024 and fiscal 2023.


	Three Months Ended September 30, 2023						Three Months Ended December 31, 2023						Three Months Ended March 31, 2024
(in millions, except per common share amounts)	As Reported		Adjustment		As Revised		As Reported		Adjustment		As Revised		As Reported		Adjustment		As Revised
Revenue	$	54,763	$	(113)	$	54,650	$	57,445	$	(3)	$	57,442	$	54,911	$	(43)	$	54,868
Cost of products sold	52,995		(88)		52,907		55,599		(11)		55,588		52,964		(31)		52,933
Gross margin	1,768		(25)		1,743		1,846		8		1,854		1,947		(12)		1,935


Distribution, selling, general and administrative expenses	1,197		(11)		1,186		1,283		(15)		1,268		1,282		(13)		1,269


Impairments and (gain)/loss on disposal of assets, net	537		4		541		1		—		1		84		—		84
Litigation (recoveries)/charges, net	(41)		—		(41)		(11)		—		(11)		81		(1)		80
Operating earnings/(loss)	(14)		(18)		(32)		482		23		505		367		2		369

Other (income)/expense, net	(2)		3		1		(16)		6		(10)		(7)		6		(1)
Interest expense, net	14		(3)		11		8		(5)		3		33		(5)		28


Earnings/(loss) before income taxes	(26)		(18)		(44)		490		22		512		341		1		342

Provision for/(benefit from) income taxes	(32)		(1)		(33)		136		7		143		82		(2)		80
Net earnings/(loss)	6		(17)		(11)		354		15		369		259		3		262


Net earnings/(loss) attributable to Cardinal Health, Inc.	5		(17)		(12)		353		15		368		258		3		261

Earnings/(loss) per common share attributable to Cardinal Health, Inc.
Basic	$	0.02	$	(0.07)	$	(0.05)	$	1.44	$	0.06	$	1.50	$	1.06	$	0.01	$	1.07
Diluted	0.02		(0.07)		(0.05)		1.43		0.07		1.50		1.05		0.02		1.07


	Three Months Ended September 30, 2022						Three Months Ended December 31, 2022						Three Months Ended March 31, 2023
(in millions, except per common share amounts)	As Reported		Adjustment		As Revised		As Reported		Adjustment		As Revised		As Reported		Adjustment		As Revised
Revenue	$	49,603	$	(11)	$	49,592	$	51,469	$	(1)	$	51,468	$	50,487	$	11	$	50,498
Cost of products sold	47,989		7		47,996		49,806		(22)		49,784		48,702		(14)		48,688
Gross margin	1,614		(18)		1,596		1,663		21		1,684		1,785		25		1,810


Distribution, selling, general and administrative expenses	1,197		(2)		1,195		1,191		(12)		1,179		1,179		(7)		1,172



Litigation (recoveries)/charges, net	27		(2)		25		(207)		—		(207)		(76)		—		(76)
Operating earnings/(loss)	137		(14)		123		(119)		33		(86)		572		32		604

Other (income)/expense, net	2		1		3		(7)		1		(6)		—		2		2
Interest expense, net	25		(1)		24		25		(1)		24		28		(2)		26


Earnings/(loss) before income taxes	110		(14)		96		(137)		33		(104)		544		32		576

Provision for/(benefit from) income taxes	(1)		(2)		(3)		(7)		(20)		(27)		197		12		209
Net earnings/(loss)	111		(12)		99		(130)		53		(77)		347		20		367


Net earnings/(loss) attributable to Cardinal Health, Inc.	110		(12)		98		(130)		53		(77)		345		20		365

Earnings/(loss) per common share attributable to Cardinal Health, Inc.
Basic	$	0.41	$	(0.05)	$	0.36	$	(0.50)	$	0.20	$	(0.30)	$	1.35	$	0.08	$	1.43
Diluted	0.40		(0.04)		0.36		(0.50)		0.20		(0.30)		1.34		0.07		1.41

The following tables set forth our revisions to the condensed consolidated statements of comprehensive income/(loss) for each of the first three quarters in fiscal 2024 and fiscal 2023.


	Three Months Ended September 30, 2023						Three Months Ended December 31, 2023						Three Months Ended March 31, 2024
(in millions)	As Reported		Adjustment		As Revised		As Reported		Adjustment		As Revised		As Reported		Adjustment		As Revised
Net earnings/(loss)	$	6	$	(17)	$	(11)	$	354	$	15	$	369	$	259	$	3	$	262





Total comprehensive income/(loss), net of tax	(8)		(17)		(25)		364		15		379		254		3		257

Total comprehensive income/(loss) attributable to Cardinal Health, Inc.	(9)		(17)		(26)		363		15		378		253		3		256


	Three Months Ended September 30, 2022						Three Months Ended December 31, 2022						Three Months Ended March 31, 2023
(in millions)	As Reported		Adjustment		As Revised		As Reported		Adjustment		As Revised		As Reported		Adjustment		As Revised
Net earnings/(loss)	$	111	$	(12)	$	99	$	(130)	$	53	$	(77)	$	347	$	20	$	367





Total comprehensive income/(loss), net of tax	49		(12)		37		(100)		53		(47)		351		20		371

Total comprehensive income/(loss) attributable to Cardinal Health, Inc.	48		(12)		36		(100)		53		(47)		349		20		369