CARDINAL HEALTH INC, 10-Q filed on 2/1/2024
Quarterly Report
v3.24.0.1
Cover Page - shares
 6 Months Ended
Dec. 31, 2023
Jan. 26, 2024
Cover [Abstract]    
Document Type 10-Q  
Document Quarterly Report true  
Document Period End Date Dec. 31, 2023  
Document Transition Report false  
Entity File Number 1-11373  
Entity Registrant Name Cardinal Health, Inc.  
Entity Central Index Key 0000721371  
Current Fiscal Year End Date --06-30  
Document Fiscal Year Focus 2024  
Document Fiscal Period Focus Q2  
Amendment Flag false  
Entity Incorporation, State or Country Code OH  
Entity Tax Identification Number 31-0958666  
Entity Address, Address Line One 7000 Cardinal Place  
Entity Address, City or Town Dublin  
Entity Address, State or Province OH  
Entity Address, Postal Zip Code 43017  
City Area Code 614  
Local Phone Number 757-5000  
Title of 12(b) Security Common shares (without par value)  
Trading Symbol CAH  
Security Exchange Name NYSE  
Entity Current Reporting Status Yes  
Entity Interactive Data Current Yes  
Entity Filer Category Large Accelerated Filer  
Entity Small Business false  
Entity Emerging Growth Company false  
Entity Shell Company false  
Entity Common Stock, Shares Outstanding   243,233,153
v3.24.0.1
Condensed Consolidated Statements of Earnings - USD ($)
shares in Millions, $ in Millions
 3 Months Ended 6 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2023
Dec. 31, 2022
Income Statement [Abstract]        
Revenue $ 57,445 $ 51,469 $ 112,208 $ 101,072
Cost of products sold 55,599 49,806 108,594 97,795
Gross margin 1,846 1,663 3,614 3,277
Operating expenses:        
Distribution, selling, general and administrative expenses 1,283 1,191 2,480 2,388
Restructuring and employee severance 28 17 53 46
Amortization and other acquisition-related costs 63 71 127 142
Impairments and (gain)/loss on disposal of assets, net 1 710 538 863
Litigation (recoveries)/charges, net (11) (207) (52) (180)
Operating earnings/(loss) 482 (119) 468 18
Other (income)/expense, net (16) (7) (18) (5)
Interest expense, net 8 25 22 50
Earnings/(loss) before income taxes 490 (137) 464 (27)
Provision for/(benefit from) income taxes 136 (7) 104 (8)
Net earnings/(loss) 354 (130) 360 (19)
Less: Net earnings attributable to noncontrolling interests (1) 0 (2) (1)
Net earnings/(loss) attributable to Cardinal Health, Inc. $ 353 $ (130) $ 358 $ (20)
Earnings/(Loss) per common share attributable to Cardinal Health, Inc.:        
Basic (in shares) $ 1.44 $ (0.50) $ 1.45 $ (0.08)
Diluted (in shares) $ 1.43 $ (0.50) $ 1.44 $ (0.08)
Weighted-average number of common shares outstanding:        
Basic (in shares) 245 261 247 266
Diluted (in shares) 246 261 248 266
Cash dividends declared per common share $ 0.5006 $ 0.4957 $ 1.0012 $ 0.9914
v3.24.0.1
Condensed Consolidated Statements of Comprehensive Income - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2023
Dec. 31, 2022
Statement of Comprehensive Income [Abstract]        
Net earnings/(loss) $ 354 $ (130) $ 360 $ (19)
Other comprehensive income/(loss):        
Foreign currency translation adjustments and other 6 20 (5) (38)
Net unrealized gain on derivative instruments, net of tax 4 10 1 6
Total other comprehensive income/(loss), net of tax 10 30 (4) (32)
Total comprehensive income/(loss) 364 (100) 356 (51)
Less: Net earnings attributable to noncontrolling interests (1) 0 (2) (1)
Total comprehensive income attributable to Cardinal Health, Inc. $ 363 $ (100) $ 354 $ (52)
v3.24.0.1
Condensed Consolidated Balance Sheets - USD ($)
shares in Thousands, $ in Millions
Dec. 31, 2023
Jun. 30, 2023
Current assets:    
Cash and equivalents $ 4,591 $ 4,043
Trade receivables, net 11,788 11,344
Inventories, net 18,451 15,940
Prepaid expenses and other 2,816 2,362
Assets held for sale 12 144
Total current assets 37,658 33,833
Property and equipment, net 2,446 2,462
Goodwill and other intangibles, net 5,371 6,081
Other assets 1,098 1,041
Total assets 46,573 43,417
Current liabilities:    
Accounts payable 34,259 29,813
Current portion of long-term obligations and other short-term borrowings 1,188 792
Other accrued liabilities 2,839 3,059
Liabilities related to assets held for sale 0 42
Total current liabilities 38,286 33,706
Long-term obligations, less current portion 3,535 3,909
Deferred income taxes and other liabilities 8,199 8,653
Preferred shares, without par value:    
Authorized—500 thousand shares, Issued—none $ 0 $ 0
Preferred shares, authorized 500 500
Preferred shares, issued 0 0
Common shares, without par value:    
Authorized—755 million shares, Issued—327 million shares at December 31, 2023 and June 30, 2023 $ 2,855 $ 2,747
Common shares, authorized 755,000 755,000
Common shares, issued 327,000 327,000
Accumulated deficit $ (425) $ (534)
Common shares in treasury, at cost: 83 million shares and 76 million shares at December 31, 2023 and June 30, 2023, respectively $ (5,724) $ (4,914)
Common shares in treasury 83,000 76,000
Accumulated other comprehensive loss $ (155) $ (151)
Total Cardinal Health, Inc. shareholders' deficit (3,449) (2,852)
Noncontrolling interests 2 1
Total shareholders’ deficit (3,447) (2,851)
Total liabilities and shareholders’ deficit $ 46,573 $ 43,417
v3.24.0.1
Condensed Consolidated Balance Sheets (Parenthetical) - shares
shares in Thousands
Dec. 31, 2023
Jun. 30, 2023
Statement of Financial Position [Abstract]    
Preferred shares, authorized 500 500
Preferred shares, issued 0 0
Common shares, authorized 755,000 755,000
Common shares, issued 327,000 327,000
Common shares in treasury 83,000 76,000
v3.24.0.1
Condensed Consolidated Statements of Shareholders' Equity - USD ($)
shares in Thousands, $ in Millions
Total
Common Stock
Retained Earnings
Treasury Stock, Common
Accumulated Other Comprehensive Income/(Loss)
Noncontrolling Interest
Common shares in treasury       54,000    
Balance at beginning of period (in shares) at Jun. 30, 2022   327,000        
Balance at beginning of period at Jun. 30, 2022 $ (706) $ 2,813 $ (280)   $ (114) $ 3
Treasury, balance at beginning of period (in shares) at Jun. 30, 2022       (54,000)    
Treasury, balance at beginning of period at Jun. 30, 2022       $ (3,128)    
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest (19)         1
Net Income (Loss) Attributable to Parent (20)          
Other Comprehensive Income (Loss), Net of Tax (32)          
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent (32)       (32)  
Shares Issued, Shares, Share-based Payment Arrangement, after Forfeiture   0   2,000    
Shares Issued, Value, Share-based Payment Arrangement, after Forfeiture 58 $ (16)   $ 74    
Purchase of treasury shares (1,250) $ 50   $ (1,300)    
Treasury shares acquired (in shares)       (16,000)    
Dividends (260)   (260)      
Stockholders' Equity, Other Shares          
Other 1       1
Balance at end of period (in shares) at Dec. 31, 2022   327,000        
Balance at end of period at Dec. 31, 2022 (2,212) $ 2,747 (560)   (146) 1
Treasury, balance at end of period (in shares) at Dec. 31, 2022       (68,000)    
Treasury, balance at end of period at Dec. 31, 2022       $ (4,254)    
Treasury Stock, Value, Acquired, Cost Method (1,250)     $ (1,200)    
Purchase of noncontrolling interests 2         2
Common shares in treasury       65,000    
Balance at beginning of period (in shares) at Sep. 30, 2022   327,000        
Balance at beginning of period at Sep. 30, 2022 (1,780) $ 2,576 (301)   (176) 1
Treasury, balance at beginning of period (in shares) at Sep. 30, 2022       (65,000)    
Treasury, balance at beginning of period at Sep. 30, 2022       $ (3,880)    
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest (130)         0
Net Income (Loss) Attributable to Parent (130)          
Other Comprehensive Income (Loss), Net of Tax 30          
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent 30       30  
Shares Issued, Shares, Share-based Payment Arrangement, after Forfeiture   0   1,000    
Shares Issued, Value, Share-based Payment Arrangement, after Forfeiture 47 $ 21   $ 26    
Purchase of treasury shares   $ (150)        
Treasury shares acquired (in shares)       (4,000)    
Dividends (129)   (129)      
Balance at end of period (in shares) at Dec. 31, 2022   327,000        
Balance at end of period at Dec. 31, 2022 (2,212) $ 2,747 (560)   (146) 1
Treasury, balance at end of period (in shares) at Dec. 31, 2022       (68,000)    
Treasury, balance at end of period at Dec. 31, 2022       $ (4,254)    
Treasury Stock, Value, Acquired, Cost Method $ (250)     $ (400)    
Common shares in treasury       68,000    
Common shares in treasury 76,000     (76,000)    
Balance at beginning of period (in shares) at Jun. 30, 2023 327,000 327,000        
Balance at beginning of period at Jun. 30, 2023 $ (2,851) $ 2,747 (534)   (151) 1
Treasury, balance at beginning of period (in shares) at Jun. 30, 2023 (76,000)     76,000    
Treasury, balance at beginning of period at Jun. 30, 2023 $ (4,914)     $ 4,914    
Balance at end of period (in shares) at Sep. 30, 2023   327,000        
Balance at end of period at Sep. 30, 2023 $ (3,490) $ 2,728 (654)   (165) 1
Treasury, balance at end of period (in shares) at Sep. 30, 2023       80,000    
Treasury, balance at end of period at Sep. 30, 2023       $ 5,400    
Balance at beginning of period (in shares) at Jun. 30, 2023 327,000 327,000        
Balance at beginning of period at Jun. 30, 2023 $ (2,851) $ 2,747 (534)   (151) 1
Treasury, balance at beginning of period (in shares) at Jun. 30, 2023 (76,000)     76,000    
Treasury, balance at beginning of period at Jun. 30, 2023 $ (4,914)     $ 4,914    
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest 360         2
Net Income (Loss) Attributable to Parent 358          
Other Comprehensive Income (Loss), Net of Tax (4)          
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent $ (4)       (4)  
Shares Issued, Shares, Share-based Payment Arrangement, after Forfeiture 1,000        
Shares Issued, Value, Share-based Payment Arrangement, after Forfeiture $ 57 $ 8   49    
Purchase of treasury shares (750) $ (100)   $ (750)    
Treasury shares acquired (in shares)       (9,000)    
Dividends (249)   (249)      
Stockholders' Equity, Other Shares       (1,000)    
Other $ 1   0     1
Balance at end of period (in shares) at Dec. 31, 2023 327,000 327,000        
Balance at end of period at Dec. 31, 2023 $ (3,447) $ 2,855 (425)   (155) 2
Treasury, balance at end of period (in shares) at Dec. 31, 2023 (83,000)     (83,000)    
Treasury, balance at end of period at Dec. 31, 2023 $ (5,724)     $ (5,724)    
Treasury Stock, Value, Acquired, Cost Method (759)     $ (859)    
Common shares in treasury       (80,000)    
Balance at beginning of period (in shares) at Sep. 30, 2023   327,000        
Balance at beginning of period at Sep. 30, 2023 (3,490) $ 2,728 (654)   (165) 1
Treasury, balance at beginning of period (in shares) at Sep. 30, 2023       80,000    
Treasury, balance at beginning of period at Sep. 30, 2023       $ 5,400    
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest 354         1
Net Income (Loss) Attributable to Parent 353          
Other Comprehensive Income (Loss), Net of Tax 10          
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent 10          
Shares Issued, Shares, Share-based Payment Arrangement, after Forfeiture   0   0    
Shares Issued, Value, Share-based Payment Arrangement, after Forfeiture 57 $ 27   $ 30    
Purchase of treasury shares   (100)        
Treasury shares acquired (in shares)       (4,000)    
Dividends (123)   (123)      
Stockholders' Equity, Other Shares       (1,000)    
Other $ 1 (1)     0
Balance at end of period (in shares) at Dec. 31, 2023 327,000 327,000        
Balance at end of period at Dec. 31, 2023 $ (3,447) $ 2,855 $ (425)   $ (155) $ 2
Treasury, balance at end of period (in shares) at Dec. 31, 2023 (83,000)     (83,000)    
Treasury, balance at end of period at Dec. 31, 2023 $ (5,724)     $ (5,724)    
Treasury Stock, Value, Acquired, Cost Method $ (254)     $ (354)    
Common shares in treasury 83,000     83,000    
v3.24.0.1
Condensed Consolidated Statements of Cash Flows - USD ($)
$ in Millions
 6 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Cash flows from operating activities:    
Net earnings/(loss) $ 360 $ (19)
Adjustments to reconcile net earnings/(loss) to net cash provided by operating activities:    
Depreciation and amortization 347 341
Impairments and (gain)/loss on disposal of assets, net 538 863
Share-based compensation 57 48
Provision for bad debts 43 59
Change in operating assets and liabilities, net of effects from acquisitions and divestitures:    
Increase in trade receivables (487) (919)
Increase in inventories (2,536) (1,643)
Increase in accounts payable 4,446 2,954
Other accrued liabilities and operating items, net (1,034) (1,064)
Net cash provided by operating activities 1,734 620
Cash flows from investing activities:    
Proceeds from divestitures, net of cash sold 9 0
Additions to property and equipment (206) (155)
Proceeds from disposal of property and equipment 2 2
Purchases of investments (2) (5)
Proceeds from investments 1 1
Proceeds from net investment hedge terminations 28 0
Net cash used in investing activities (168) (157)
Cash flows from financing activities:    
Reduction of long-term obligations (15) (13)
Net tax proceeds from share-based compensation 1 9
Dividends on common shares (255) (271)
Purchase of treasury shares (750) (1,250)
Net cash used in financing activities (1,019) (1,525)
Effect of Exchange Rate on Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents, Continuing Operations 1 (1)
Net increase/(decrease) in cash and equivalents 548 (1,063)
Cash and equivalents at beginning of period 4,043 4,717
Cash and equivalents at end of period $ 4,591 $ 3,654
v3.24.0.1
Basis of Presentation and Summary of Significant Accounting Policies
 6 Months Ended
Dec. 31, 2023
Accounting Policies [Abstract]  
Basis of Presentation and Summary of Significant Accounting Policies
1. Basis of Presentation and Summary of Significant Accounting Policies
Basis of Presentation
Our condensed consolidated financial statements include the accounts of all majority-owned or consolidated subsidiaries, and all significant intercompany transactions and amounts have been eliminated. The results of businesses acquired or disposed of are included in the condensed consolidated financial statements from the date of the acquisition or up to the date of disposal, respectively.
References to "we," "our," and similar pronouns in this Quarterly Report on Form 10-Q for the quarter ended December 31, 2023 (this "Form 10-Q") are to Cardinal Health, Inc. and its majority-owned or consolidated subsidiaries unless the context requires otherwise.
Our fiscal year ends on June 30. References to fiscal 2024 and 2023 in these condensed consolidated financial statements are to the fiscal years ending or ended June 30, 2024 and June 30, 2023, respectively.
Our condensed consolidated financial statements have been prepared in accordance with the U.S. Securities and Exchange Commission ("SEC") instructions to Quarterly Reports on Form 10-Q and include the information and disclosures required by accounting principles generally accepted in the United States ("GAAP") for interim financial reporting. The preparation of financial statements in conformity with GAAP requires us to make estimates, judgments and assumptions that affect amounts reported in the condensed consolidated financial statements and accompanying notes. Actual amounts may differ from these estimated amounts.
In our opinion, all adjustments necessary for a fair presentation of the condensed consolidated financial statements have been included. Except as disclosed elsewhere in this Form 10-Q, all such adjustments are of a normal and recurring nature. In addition, financial results presented for this fiscal 2024 interim period are not necessarily indicative of the results that may be expected for the full fiscal year ending June 30, 2024. These condensed consolidated financial statements are unaudited and, accordingly, should be read in conjunction with the audited consolidated financial statements and related notes contained in our Annual Report on Form 10-K for the fiscal year ended June 30, 2023 (our "2023 Form 10-K").
Recently Issued Financial Accounting Standards
Not Yet Adopted
We assess the adoption impacts of recently issued accounting standards by the Financial Accounting Standards Board ("FASB") on our condensed consolidated financial statements as well as material updates to previous assessments, if any, from our fiscal 2023 Form 10-K.
Segment Reporting
In November 2023, the FASB issued Accounting Standards Update ("ASU") 2023-07 - Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures, which enhances reportable segment disclosure requirements, primarily through disclosures of significant segment expenses. This guidance will be effective for us in our fiscal 2025 Form 10-K and the guidance must be applied retrospectively to all prior periods presented. We are currently evaluating the impact of adoption of this guidance on our disclosures.
Income Tax Disclosure
In December 2023, the FASB issued ASU 2023-09 Income Taxes (Topic 740): Improvements to Income Tax Disclosures, which enhances income tax disclosures primarily related to the rate reconciliation and income taxes paid information. This guidance also includes certain other amendments to improve the effectiveness of income tax disclosures. This guidance will be effective for us in our fiscal 2026 Form 10-K and should be applied on a prospective basis, with retrospective application permitted. We are currently evaluating the impact of adoption of this guidance on our disclosures.
Recently Adopted Financial Accounting Standards
There were no new material accounting standards adopted in the six months ended December 31, 2023.
v3.24.0.1
Divestitures
 6 Months Ended
Dec. 31, 2023
Discontinued Operations and Disposal Groups [Abstract]  
Disposal Groups, Including Discontinued Operations, Disclosure
2. Divestitures
On June 5, 2023, we signed a definitive agreement to contribute the OutcomesTM business to Transaction Data Systems ("TDS"), a portfolio company of BlackRock Long Term Private Capital and GTCR, in exchange for a 16 percent equity interest in the combined entity. The transaction closed on July 10, 2023 and we recognized a pre-tax gain of $53 million during the six months ended December 31, 2023, which was included in impairments and (gain)/loss on disposal of assets, net in our condensed consolidated statements of earnings/(loss). This gain includes our initial recognition of an equity method investment in the combined entity for $147 million.
We determined that the divestiture of the OutcomesTM business does not meet the criteria to be classified as discontinued operations. The OutcomesTM business operated within our Pharmaceutical segment.
v3.24.0.1
Restructuring and Employee Severance
 6 Months Ended
Dec. 31, 2023
Restructuring Charges [Abstract]  
Restructuring and Employee Severance
3. Restructuring and Employee Severance
The following tables summarize restructuring and employee severance costs:
Three Months Ended December 31,
(in millions)20232022
Employee-related$8 $10 
Facility exit and other20 7 
Total restructuring and employee severance$28 $17 
Six Months Ended December 31,
(in millions)20232022
Employee-related$15 $29 
Facility exit and other38 17 
Total restructuring and employee severance$53 $46 

Employee-related costs primarily consist of termination benefits provided to employees who have been involuntarily terminated, duplicate payroll costs and retention bonuses incurred during transition periods. Facility exit and other costs primarily consist of project consulting fees, accelerated depreciation, professional, project management and other service fees to support divestitures, costs associated with vacant facilities, and certain other divestiture-related costs.
Restructuring and employee severance costs during the three and six months ended December 31, 2023 were primarily related to certain projects resulting from review of our strategy portfolio, capital-allocation framework and operation and the implementation of certain enterprise-wide cost-savings measures. During the three and six months ended December 31, 2022, restructuring and employee severance costs were primarily related to implementation of certain enterprise-wide cost-saving measures.
The following table summarizes activity related to liabilities associated with restructuring and employee severance:
(in millions)Employee-
Related Costs		Facility Exit
and Other Costs		Total
Balance at June 30, 2023$44 $2 $46 
Additions8 4 12 
Payments and other adjustments(18)(1)(19)
Balance at December 31, 2023$34 $5 $39 
v3.24.0.1
Goodwill and Other Intangible Assets
 6 Months Ended
Dec. 31, 2023
Goodwill and Intangible Assets Disclosure [Abstract]  
Goodwill and Other Intangible Assets
4. Goodwill and Other Intangible Assets
Goodwill
The following table summarizes the changes in the carrying amount of goodwill by segment and in total:
(in millions)PharmaceuticalMedical (1)Total
Balance at June 30, 2023$2,649 $1,960 $4,609 
Goodwill acquired, net of purchase price adjustments— (3)(3)
Foreign currency translation adjustments and other— (1)(1)
Goodwill impairment— (581)(581)
Balance at December 31, 2023$2,649 $1,375 $4,024 
(1) At December 31, 2023 and June 30, 2023, the Medical segment accumulated goodwill impairment loss was $5.3 billion and $4.7 billion, respectively.
We have not identified any indicators of impairment during the three months ended December 31, 2023 within our reporting units, including the Medical Unit.
During the three months ended September 30, 2023, we elected to bypass the qualitative assessment and perform quantitative goodwill impairment testing for the Medical Unit due to an increase in the risk-free interest rate used in the discount rate. Our determination of the estimated fair value of the Medical Unit is based on a combination of the income-based approach (using a discount rate of 11 percent and a terminal growth rate of 2 percent), and market-based approaches. Additionally, we assigned a weighting of 80 percent to the discounted cash flow method, 10 percent to the guideline public company method, and 10 percent to the guideline transaction method. The carrying amount exceeded the fair value, which resulted in a pre-tax impairment charge of $581 million for the Medical Unit, which was recognized during the six months ended December 31, 2023 and is included in impairments and (gain)/loss on disposal of assets, net in our condensed consolidated statements of earnings/(loss). This impairment charge was driven by an increase of 1 percent in the discount rate primarily due to an increase in the risk-free interest rate. The discount rate used for the interim goodwill impairment testing at June 30, 2023 was 10 percent.
During the three months ended December 31, 2022 and September 30, 2022, we performed quantitative goodwill impairment testing for the Medical Unit. This quantitative testing resulted in the carrying amount of the Medical Unit exceeding the fair value, resulting in pre-tax goodwill impairment charges of $709 million and $154 million recorded during the three months ended December 31, 2022 and September 30, 2022, respectively.

Other Intangible Assets
The following tables summarize other intangible assets by class at:
December 31, 2023
(in millions)Gross
Intangible		Accumulated
Amortization		Net
Intangible		Weighted- Average Remaining Amortization Period (Years)
Indefinite-life intangibles:
Trademarks and patents$12 $— $12 N/A
Total indefinite-life intangibles12 — 12 N/A
Definite-life intangibles:
Customer relationships3,175 2,357 818 9
Trademarks, trade names and patents546 394 152 7
Developed technology and other1,022 657 365 8
Total definite-life intangibles4,743 3,408 1,335 8
Total other intangible assets$4,755 $3,408 $1,347 N/A
June 30, 2023
(in millions)Gross
Intangible		Accumulated
Amortization		Net
Intangible
Indefinite-life intangibles:
Trademarks and patents$11 $— $11 
Total indefinite-life intangibles11 — 11 
Definite-life intangibles:
Customer relationships3,174 2,274 900 
Trademarks, trade names and patents546 380 166 
Developed technology and other1,021 626 395 
Total definite-life intangibles4,741 3,280 1,461 
Total other intangible assets$4,752 $3,280 $1,472 
Total amortization of intangible assets was $63 million and $71 million for the three months ended December 31, 2023 and 2022, respectively, and $127 million and $142 million for the six months ended December 31, 2023 and 2022, respectively. Estimated annual amortization of intangible assets for the remainder of fiscal 2024 through 2028 is as follows: $127 million, $226 million, $206 million, $174 million and $148 million.
v3.24.0.1
Long-Term Obligations and Other Short-Term Borrowings
 6 Months Ended
Dec. 31, 2023
Long-Term Obligations and Other Short-Term Borrowings [Abstract]  
Long-Term Obligations and Other Short-Term Borrowings
5. Long-Term Obligations and Other Short-Term Borrowings
Long-Term Debt
We had total long-term obligations, including the current portion and other short-term borrowings, of $4.7 billion at both December 31, 2023 and June 30, 2023. All the notes represent unsecured obligations of Cardinal Health, Inc. and rank equally in right of payment with all of our existing and future unsecured and unsubordinated indebtedness. Interest is paid pursuant to the terms of the obligations. These notes are effectively subordinated to the liabilities of our subsidiaries, including trade payables of $34.3 billion and $29.8 billion at December 31, 2023 and June 30, 2023, respectively.
Other Financing Arrangements
In addition to cash and equivalents and operating cash flow, other sources of liquidity include a $2.0 billion commercial paper program backed by a $2.0 billion revolving credit facility. We also have a $1.0 billion committed receivables sales facility. At December 31, 2023, we had no amounts outstanding under our commercial paper program, revolving credit facility or our committed receivables sales facility.
In February 2023, we extended our $2.0 billion revolving credit facility through February 25, 2028. In September 2022, we renewed our committed receivables sales facility program through Cardinal Health Funding, LLC (“CHF”) through September 30, 2025. In September 2023, Cardinal Health 23 Funding, LLC ("CH-23 Funding") was added as a seller under our committed receivables sales facility. Each of CHF and CH-23 Funding was organized for the sole purpose of buying receivables and selling undivided interests in those receivables to third-party purchasers. Although consolidated with Cardinal Health, Inc. in accordance with GAAP, each of CHF and CH-23 Funding is a separate legal entity from Cardinal Health, Inc. and from our respective subsidiary that sells receivables to CHF or CH-23 Funding, as applicable. Each of CHF and CH-23 Funding is designed to be a special purpose, bankruptcy-remote entity whose assets are available solely to satisfy the claims of its respective creditors.
Our revolving credit and committed receivables sales facilities require us to maintain a consolidated net leverage ratio of no more than 3.75-to-1. As of December 31, 2023, we were in compliance with this financial covenant.
v3.24.0.1
Commitments, Contingent Liabilities and Litigation
 6 Months Ended
Dec. 31, 2023
Commitments and Contingencies Disclosure [Abstract]  
Commitments, Contingent Liabilities and Litigation
6. Commitments, Contingent Liabilities and Litigation
Commitments
Generic Sourcing Venture with CVS Health
In July 2014, we established Red Oak Sourcing, LLC ("Red Oak Sourcing"), a U.S.-based generic pharmaceutical sourcing venture with CVS Health Corporation ("CVS Health") for an initial term of 10 years. Red Oak Sourcing negotiates generic pharmaceutical supply contracts on behalf of its participants. In August 2021, we amended our agreement to extend the term through June 2029. We are required to make quarterly payments to CVS Health for the term of the arrangement.
Contingencies
New York Opioid Stewardship Act
In April 2018, the State of New York passed a budget which included the Opioid Stewardship Act (the "OSA"). The OSA created an aggregate $100 million annual assessment on all manufacturers and distributors licensed to sell or distribute opioids in New York. Under the OSA, each licensed manufacturer and distributor would be required to pay a portion of the assessment based on its share of the total morphine milligram equivalents sold or distributed in New York during the applicable calendar year, beginning in 2017. Subsequently, New York passed a new statute that modified the assessment going forward and limited the OSA to two years (2017 and 2018).
We accrue contingencies if it is probable that a liability has been incurred and the amount can be estimated. During the fiscal year 2023, we recorded $6 million of income to reduce the previously estimated accrual to the invoiced amount for the calendar year 2018 assessment. At June 30, 2023, we had an outstanding liability of $3 million, which was paid in full during first quarter of fiscal year 2024.
Legal Proceedings
We become involved from time to time in disputes, litigation and regulatory matters.
From time to time, we determine that products we distribute, source, manufacture or market do not meet our specifications, regulatory requirements, or published standards. When we or a regulatory agency identify a potential quality or regulatory issue, we investigate and take appropriate corrective action. Such actions have led to product recalls, costs to repair or replace affected products, temporary interruptions in product sales, restrictions on importation, product liability claims and lawsuits and can lead to action by regulators. Even absent an identified regulatory or quality issue or product recall, we can become subject to product liability claims and lawsuits.
From time to time, we become aware through employees, internal audits or other parties of possible compliance matters, such as complaints or concerns relating to accounting, internal accounting controls, financial reporting, auditing, or other ethical matters or
relating to compliance with laws such as healthcare fraud and abuse, anti-corruption or anti-bribery laws. When we become aware of such possible compliance matters, we investigate internally and take appropriate corrective action. In addition, from time to time, we receive subpoenas or requests for information from various federal or state agencies relating to our business or to the business of a customer, supplier or other industry participants. Internal investigations, subpoenas or requests for information could directly or indirectly lead to the assertion of claims or the commencement of legal proceedings against us or result in sanctions.
We have been named from time to time in qui tam actions initiated by private third parties. In such actions, the private parties purport to act on behalf of federal or state governments, allege that false claims have been submitted for payment by the government and may receive an award if their claims are successful. After a private party has filed a qui tam action, the government must investigate the private party's claim and determine whether to intervene in and take control over the litigation. These actions may remain under seal while the government makes this determination. If the government declines to intervene, the private party may nonetheless continue to pursue the litigation on his or her own purporting to act on behalf of the government.
We accrue for contingencies related to disputes, litigation and regulatory matters if it is probable that a liability has been incurred and the amount of the loss can be reasonably estimated. Because these matters are inherently unpredictable and unfavorable developments or resolutions can occur, assessing contingencies is highly subjective and requires judgments about future events. We regularly review contingencies to determine whether our accruals and related disclosures are adequate. The amount of ultimate loss may differ from these estimates.
We recognize income from the favorable outcome of litigation when we receive the associated cash or assets.
We recognize estimated loss contingencies for certain litigation and regulatory matters and income from favorable resolution of litigation in litigation (recoveries)/charges, net in our condensed consolidated statements of earnings/(loss); however, losses and recoveries of lost profits from disputes that occur in the ordinary course of business are included within segment profit.
Opioid Lawsuits and Investigations
Cardinal Health, other Pharmaceutical wholesalers and other participants in the pharmaceutical supply chain have been named as a defendant in lawsuits related to the distribution of opioid pain medications. These lawsuits seek equitable relief and monetary damages based on a variety of legal theories, including various common law claims, such as public nuisance, negligence, unjust enrichment, personal injury, as well as violations of controlled substance laws, the Racketeer Influenced and Corrupt Organization Act and various other statutes. Plaintiffs in these lawsuits include governmental entities as well as private parties, such as unions and other health and welfare funds, hospital
system and other healthcare providers, businesses and Individuals.
We have also received federal grand jury subpoenas issued in connection with investigations being conducted by the U.S. Attorney's Office for the Eastern District of New York and the Fraud Section of the U.S. Department of Justice ("DOJ"). We have also received civil request for information, subpoenas and other request from other DOJ offices. These investigations concern operation of our anti-diversion program, our anti-diversion policies and procedures and distribution of certain controlled substances. We are cooperating with these investigations. We are unable to predict the outcomes of any of these investigations.
In total, as of December 31, 2023, we have $5.47 billion accrued for these matters, of which $420 million is included in other accrued liabilities and remainder is included in deferred income taxes and other liabilities in our condensed consolidated balance sheets.
Because loss contingencies are inherently unpredictable and unfavorable developments or resolutions can occur, the assessment is highly subjective and requires judgements about future events. We regularly review these opioid litigation matters to determine whether our accrual is adequate. The amount of ultimate loss may differ materially from this accrual, whether as a result of settlement discussions, a judicial decision or verdict or otherwise, but we are not able to estimate a range of reasonably possible additional losses for these matters. We continue to strongly dispute the allegations made in these lawsuits and none of these agreements is an admission of liability or wrong doing. Please see below for additional description of these matters.
States & Political Subdivisions
In February 2022, we along with two other national distributors (collectively, the "Distributors") independently approved a settlement agreement (the "National Opioid Settlement Agreement") to settle the vast majority of opioid lawsuits and claims brought by states and political subdivisions. This National Opioid Settlement Agreement became effective on April 2, 2022. In addition to the Distributors, parties to the National Opioid Settlement Agreement include 48 states, the District of Columbia and 5 U.S. territories. Over 99 percent of political subdivisions in settling states (by population as calculated under the National Opioid Settlement Agreement) that had brought opioid-related suits against us have chosen to join the National Opioid Settlement Agreement or have had their claims addressed by state legislation (together with settling states and territories, the "Settling Governmental Entities").
In November 2023, we reached an agreement in principle with the Alabama Attorney General, under which we would pay approximately $123 million to the State of Alabama over a period of ten years to resolve opioid-related claims brought by the State and its political subdivisions. This agreement is subject to certain contingencies, including subdivision participation. During the three and six months ended December 31, 2023, we recognized a
$22 million charge in litigation (recoveries)/charge, net in the condensed consolidated statements of earnings/(loss) related to this agreement.
Through January 2024, we have paid the Settling Governmental Entities approximately $1.5 billion, which includes the January 2024 prepayment of certain future payment amounts described below. We expect to pay Settling Governmental Entities additional amounts up to $4.9 billion through 2038. The National Opioid Settlement Agreement also includes injunctive relief terms related to Distributors' controlled substance anti-diversion programs. A monitor is overseeing compliance with these provisions until 2027. In addition, the Distributors are engaging a third-party vendor to act as clearinghouse for data aggregation and reporting, which Distributors will fund for 10 years. As a result of the National Opioid Settlement Agreement, the vast majority of lawsuits brought against us by State and other political subdivisions have been dismissed. We continue to engage in resolution discussions with certain nonparticipating political subdivisions and intend to defend ourselves vigorously against all remaining lawsuits.
Other Settlements
West Virginia subdivisions and Native American tribes were not a part of the National Opioid Settlement Agreement, and we had separate settlement negotiations with these groups. In July 2022, a judgment in favor of the Distributors was entered in bench trial before a federal judge in West Virginia in a case brought by Cabell County and City of Huntington. Plaintiffs have appealed this decision to the Fourth Circuit Court of Appeals. In July 2022, the Distributors reached an agreement to settle the opioid-related claims of the majority of the remaining West Virginia subdivisions. Under this agreement, we agreed to pay eligible West Virginia subdivisions up to approximately $124 million over an eleven-year period. This agreement became effective in October 2022 when all participating subdivisions dismissed their cases.
In October 2022, we executed a final settlement agreement with the Native American Tribes, pursuant to which we will pay up to approximately $136 million over five years. In connection with this settlement, the court entered dismissals for the Native American tribes' cases.
Prepayment of Future Payment Years
In January 2024, we made payments of approximately $238 million to prepay at a pre-negotiated discount certain future payment amounts totaling approximately $344 million owed under each of the National Opioid Settlement Agreement, West Virginia Subdivisions Settlement Agreement and settlement agreements with Native American tribes and Cherokee Nation. The majority of the prepayment relates to the seventh annual payment as due under the National Opioid Settlement Agreement. As a result of these prepayments, we expect to recognize income of approximately $100 million in litigation charges/(recoveries), net in our condensed consolidated statements of earnings/(loss) during the three months ended March 31, 2024.
Private Plaintiffs
The National Opioid Settlement Agreement does not address claims by private parties, which includes unions and other health and welfare funds, hospital systems and other healthcare providers, businesses and individuals alleging personal injury. Lawsuits brought by private plaintiffs that were pending as of January 26, 2023 were 395. Of these, 103 are purported class actions. The causes of action asserted by these plaintiffs are similar to those asserted by public plaintiffs. We are engaged in resolution discussions with certain private plaintiffs; however, we are vigorously defending ourselves in all these matters.
A trial in a case involving 21 plaintiffs began in state court in Georgia in January 2023 and concluded in March 2023 with a verdict for the company and other defendants on all claims. In July 2023, the judge denied the plaintiffs' motion for a new trial. Plaintiffs have filed a notice of appeal and defendants have filed a notice of cross-appeal. A trial involving eight hospital plaintiffs is scheduled to begin in Alabama in July 2024.
Insurance Litigation
We are involved in ongoing legal proceedings with insurers related their obligations to reimburse us for defense and indemnity costs in connection with the lawsuits described above. During fiscal year 2023, we received approximately $10 million in insurance recoveries related to these matters.
Cordis IVC Filter Matters
We have been named as a defendant in approximately 400 product liability lawsuits coordinated in Alameda County Superior Court in California involving claims by approximately 4,500 plaintiffs that allege personal injuries associated with the use of inferior vena cava ("IVC") filter products. These lawsuits sought a variety of remedies, including unspecified monetary damages. The divestiture of the Cordis business did not include product liability related to the IVC filters in the U.S. and Canada, which we retained.
In April 2023, we executed a settlement agreement that, if certain conditions are satisfied, will resolve 4,375 claims for $275 million. This settlement agreement is subject to certain conditions, including certain opt-in thresholds. Between May and September 2023, we made settlement payments totaling $275 million into a qualified settlement fund, which will be disbursed to the plaintiffs if required conditions are satisfied. Since July 2021, we have also entered into other agreements to settle 2,798 product liability claims. While these settlements will resolve the vast majority of IVC filter product liability claims, they will not resolve all of them, and we intend to continue to vigorously defend ourselves in the remaining lawsuits.
Additionally, in August 2021, the Attorney General for the State of New Mexico filed an action against certain IVC filter manufacturers, including us, alleging claims under New Mexico's Unfair Practices Act, Medicaid Fraud Act and Fraud Against Taxpayers Act. The allegations made are similar to those made in
the product liability lawsuits. We intend to vigorously defend ourselves against these claims.
We recognized income of $103 million during fiscal year 2023, primarily related to a reduction of the reserve for the estimated settlement and defense costs for these matters due to the execution of the settlements noted above. At December 31, 2023, we had a total of $300 million accrued for losses and legal defense costs, related to the IVC filter product liability lawsuits in our condensed consolidated balance sheets.
Other Civil Litigation
Generic Pharmaceutical Pricing Antitrust Litigation
In December 2019, pharmaceutical distributors including us were added as defendants in a civil class action lawsuit filed by indirect purchasers of generic drugs, such as hospitals and retail pharmacies. The indirect purchaser case is part of a multidistrict litigation consisting of multiple individual class action matters consolidated in the Eastern District of Pennsylvania. The indirect purchaser plaintiffs allege that pharmaceutical distributors encouraged manufacturers to increase prices, provided anti-competitive pricing information to manufacturers and improperly engaged in customer allocation. In May 2020, the court granted our motion to dismiss. In July 2022, the indirect purchasers filed an amended complaint and in August 2022, we filed a motion to dismiss the amended complaint. We are vigorously defending ourselves in this matter.
Antitrust Litigation Proceeds
We recognized income for net recoveries in class action antitrust lawsuits in which we were a class member or plaintiff of $31 million and $71 million during the three and six months ended December 31, 2023, respectively, and $66 million during the three and six months ended December 31, 2022.
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Income Taxes
 6 Months Ended
Dec. 31, 2023
Income Tax Disclosure [Abstract]  
Income Taxes
7. Income Taxes
Fluctuations in our provision for income taxes as a percentage of our pre-tax earnings (“effective tax rate”) are due to changes in international and U.S. state effective tax rates resulting from our business mix and discrete items.
Effective Tax Rate
During the three and six months ended December 31, 2023, the effective tax rate was 27.7 percent and 22.4 percent, respectively, and reflects any impact of the tax effects of the goodwill impairment charges recognized during the three and six months ended December 31, 2023.
During the three and six months ended December 31, 2022, the effective tax rate was 5.4 percent and 30.0 percent, respectively, and reflects the impact of the tax effects of the goodwill impairment charges recognized during the three and six months ended December 31, 2022.
Tax Effects of Goodwill Impairment Charge
During the six months ended December 31, 2023, we recognized a $581 million pre-tax charge for goodwill impairment related to the Medical Unit. The net tax benefit related to these charges is $45 million for fiscal 2024.
Unless an item is considered discrete because it is unusual or infrequent, the tax impact of the item is included in our estimated annual effective tax rate. When items are recognized through our estimated annual effective tax rate, we apply our estimated annual effective tax rate to the earnings before income taxes for the year-to-date period to compute our impact from income taxes for the current quarter and year-to-date period. The tax impacts of discrete items are recognized in their entirety in the period in which they occur.
The tax effect of the goodwill impairment charge during the six months ended December 31, 2023 was included in our estimated annual effective tax rate because it was not considered unusual or infrequent, given that we recorded goodwill impairments in prior fiscal years. The impact of the non-deductible goodwill increased the estimated annual effective tax rate for fiscal 2024. Applying the higher tax rate to the pre-tax income for the six months ended December 31, 2023 resulted in recognizing an incremental interim tax benefit of approximately $65 million, which impacted the benefit from income taxes in the condensed consolidated statements of earnings/(loss) during the three months ended December 31, 2023 and prepaid expenses and other assets in the condensed consolidated balance sheet at December 31, 2023. This interim tax benefit will reverse in future quarters of fiscal 2024.
Unrecognized Tax Benefits
We had $959 million and $1.0 billion of unrecognized tax benefits at December 31, 2023 and June 30, 2023, respectively. The December 31, 2023 and June 30, 2023 balances include $864 million and $873 million of unrecognized tax benefits, respectively, that if recognized, would have an impact on the effective tax rate.
At December 31, 2023 and June 30, 2023, we had $52 million and $65 million, respectively, accrued for the payment of interest and penalties related to unrecognized tax benefits, which we recognize in the benefit from income taxes in the condensed consolidated statements of earnings/(loss). These balances are gross amounts before any tax benefits and are included in deferred income taxes and other liabilities in the condensed consolidated balance sheets.
It is reasonably possible that there could be a change in the amount of unrecognized tax benefits within the next 12 months due to activities of the U.S. Internal Revenue Service ("IRS") or other taxing authorities, possible settlement of IRS and other audit issues, reassessment of existing unrecognized tax benefits or the expiration of statutes of limitations. We estimate that the range of the possible change in unrecognized tax benefits within the next 12 months is between zero and a net decrease of up to $30 million, exclusive of penalties and interest.
Other Tax Matters
We file income tax returns in the U.S. federal jurisdiction, various U.S. state jurisdictions, and various foreign jurisdictions. With few exceptions, we are subject to audit by taxing authorities for fiscal years 2015 through the current fiscal year.
We are a party to a tax matters agreement with CareFusion Corporation ("CareFusion"), a subsidiary of Becton, Dickinson and Company. Under the tax matters agreement, CareFusion is obligated to indemnify us for certain tax exposures and transaction taxes prior to our fiscal 2010 spin-off of CareFusion. In December 2023, the estimated tax exposure was updated to reflect adjustments based on settlement discussions with the IRS. Additionally, Cardinal received a partial payment from CareFusion to be applied towards the anticipated liability. As a result, the indemnification receivable was reduced. The indemnification receivable was $20 million and $82 million at December 31, 2023 and June 30, 2023, respectively, and is included in other assets in the condensed consolidated balance sheets.
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Fair Value Measurements
 6 Months Ended
Dec. 31, 2023
Fair Value Disclosures [Abstract]  
Fair Value Disclosures
8. Fair Value Measurements
Assets and Liabilities Measured on a Recurring Basis
The following tables present the fair values for assets and (liabilities) measured on a recurring basis at:
December 31, 2023
(in millions)Level 1Level 2Level 3Total
Assets:
Cash equivalents$1,708 $— $— $1,708 
Other investments (1)102 — — 102 
Liabilities:
Forward contracts (2)— (73)— (73)
June 30, 2023
(in millions)Level 1Level 2Level 3Total
Assets:
Cash equivalents$1,253 $— $— $1,253 
Other investments (1)101 — — 101 
Liabilities:
Forward contracts (2)— (73)— (73)
(1)The other investments balance includes investments in mutual funds, which offset fluctuations in deferred compensation liabilities. These mutual funds invest in the equity securities of companies with both large and small market capitalization and high quality fixed income debt securities. The fair value of these investments is determined using quoted market prices.
(2)The fair value of interest rate swaps, foreign currency contracts, and net investment hedges is determined based on the present value of expected future cash flows considering the risks involved, including non-performance risk, and using discount rates appropriate for the respective maturities. Observable Level 2 inputs are used to determine the present value of expected future cash flows. The fair value of these derivative contracts, which are subject to master netting arrangements under certain circumstances, is presented on a gross basis in prepaid expenses and other, other assets, other accrued liabilities, and deferred income taxes and other liabilities within the condensed consolidated balance sheets.
Assets Measured on a Nonrecurring Basis
As discussed further in Note 2, on July 10, 2023, we closed the transaction to contribute the Outcomes™ business to TDS, a portfolio company of BlackRock Long Term Private Capital and GTCR, in exchange for a 16 percent equity interest in the combined entity. We accounted for this investment initially at its fair value using Level 3 unobservable inputs under the discounted cash flow method. Accordingly, we recognized a $147 million equity method investment during the six months ended December 31, 2023.
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Financial Instruments
 6 Months Ended
Dec. 31, 2022
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Financial Instruments
9. Financial Instruments
We utilize derivative financial instruments to manage exposure to certain risks related to our ongoing operations. The primary risks managed through the use of derivative instruments include interest rate risk, currency exchange risk and commodity price risk. We do not use derivative instruments for trading or speculative purposes. While the majority of our derivative instruments are designated as hedging instruments, we also enter into derivative instruments that are designed to hedge a risk but are not designated as hedging instruments. These derivative instruments are adjusted to current fair value through earnings at the end of each period. We are exposed to counterparty credit risk on all of our derivative instruments. Accordingly, we have established and maintain strict counterparty credit guidelines and only enter into derivative instruments with major financial institutions that are rated investment grade or better. We do not have significant exposure to any one counterparty and we believe the risk of loss is remote. Additionally, we do not require collateral under these agreements.
Interest Rate Risk Management
We are exposed to the impact of interest rate changes. Our objective is to manage the impact of interest rate changes on cash flows and the market value of our borrowings. We utilize a mix of debt maturities on our fixed-rate debt to manage changes in interest rates. In addition, we enter into interest rate swaps to further manage our exposure to interest rate variations related to our borrowings and to lower our overall borrowing costs.
Currency Exchange Risk Management
We conduct business in several major international currencies and are subject to risks associated with changing foreign exchange rates. Our objective is to reduce earnings and cash flow volatility associated with foreign exchange rate changes to allow management to focus its attention on business operations. Accordingly, we enter into various contracts that change in value as foreign exchange rates change to protect the value of existing foreign currency assets and liabilities, commitments and anticipated foreign currency revenue and expenses.
Commodity Price Risk Management
We are exposed to changes in the price of certain commodities. Our objective is to reduce earnings and cash flow volatility associated with forecasted purchases of these commodities to allow management to focus its attention on business operations. Accordingly, we enter into derivative contracts when possible to manage the price risk associated with certain forecasted purchases.
Fair Value Hedges
We enter into pay-floating interest rate swaps to hedge the changes in the fair value of fixed-rate debt resulting from fluctuations in interest rates. These contracts are designated and qualify as fair value hedges. Accordingly, the gain or loss recorded on the pay-floating interest rate swaps is directly offset by the change in fair value of the underlying debt. Both the derivative
instrument and the underlying debt are adjusted to market value at the end of each period with any resulting gain or loss recorded in interest expense, net in the condensed consolidated statements of earnings/(loss). For the three and six months ended December 31, 2023 and 2022, there were no gains or losses recorded to interest expense as changes in the market value of our derivative instruments offset changes in the market value of the underlying debt.
During the six months ended December 31, 2023 and 2022, we entered into pay-floating interest rate swaps with total notional amounts of $200 million each. These swaps have been designated as fair value hedges of our fixed rate debt and are included in deferred income taxes and other liabilities in our condensed consolidated balance sheets.
Cash Flow Hedges
We enter into derivative instruments to hedge our exposure to changes in cash flows attributable to interest rate, foreign currency and commodity price fluctuations associated with certain forecasted transactions. These derivative instruments are designated and qualify as cash flow hedges. Accordingly, the gain or loss on the derivative instrument is reported as a component of accumulated other comprehensive loss and reclassified into earnings in the same line item associated with the forecasted transaction and in the same period during which the hedged transaction affects earnings.
Pre-tax gains and losses recognized in other comprehensive income/(loss) were immaterial and a $2 million loss for the three months ended December 31, 2023 and 2022, respectively, and a $1 million gain and a $2 million gain for the six months ended December 31, 2023 and 2022, respectively. Gains recognized in accumulated other comprehensive loss and reclassified into earnings were $1 million and immaterial for the three months ended December 31, 2023 and 2022, respectively, and $2 million and immaterial for the six months ended December 31, 2023 and 2022, respectively. Gains currently included within accumulated other comprehensive loss associated with our cash flow hedges to be reclassified into net earnings within the next 12 months are $3 million.
Net Investment Hedges
We hedge the foreign currency risk associated with certain net investment positions in foreign subsidiaries. To accomplish this, we enter into cross-currency swaps that are designated as hedges of net investments.
During the six months ended December 31, 2023, we entered into ¥18 billion ($120 million) cross-currency swaps maturing in September 2025 and ¥18 billion ($120 million) cross-currency swaps maturing in June 2027.
During the six months ended December 31, 2023, we terminated the ¥38 billion ($300 million) cross-currency swaps entered into in January 2023 and received net settlement in cash of $28 million, recorded in proceeds from net investment hedge terminations in our condensed consolidated statements of cash flows.
Cross-currency swaps designated as net investment hedges are marked to market using the current spot exchange rate as of the end of the period, with gains and losses included in the foreign currency translation component of accumulated other comprehensive loss until the sale or substantial liquidation of the underlying net investments. To the extent the cross-currency swaps designated as net investment hedges are not highly effective, changes in carrying value attributable to the change in spot rates are recorded in earnings.
Pre-tax losses from net investment hedges recorded in the foreign currency translation component of accumulated other comprehensive loss were $16 million and $43 million during the three months ended December 31, 2023 and 2022, respectively, and $5 million and $21 million during the six months ended December 31, 2023 and 2022, respectively. Gains recognized in interest expense, net in the condensed consolidated statements of earnings/(loss) for the portion of the net investment hedges excluded from the assessment of hedge effectiveness were $4 million during both the three months ended December 31, 2023 and 2022, and $7 million and $8 million during the six months ended December 31, 2023 and 2022, respectively.
Economic (Non-Designated) Hedges
We enter into foreign currency contracts to manage our foreign exchange exposure related to sales transactions, intercompany financing transactions and other balance sheet items subject to revaluation that do not meet the requirements for hedge accounting treatment. Accordingly, these derivative instruments are adjusted to current market value at the end of each period through earnings. The gain or loss recorded on these instruments is substantially offset by the remeasurement adjustment on the foreign currency denominated asset or liability. The settlement of the derivative instrument and the remeasurement adjustment on the foreign currency denominated asset or liability are both recorded in other (income)/expense, net. We recorded an immaterial loss and a $3 million gain during the three months ended December 31, 2023 and 2022, respectively, and an immaterial loss and a $3 million loss during the six months ended December 31, 2023 and 2022, respectively. The principal currencies managed through foreign currency contracts are the Chinese renminbi, Canadian dollar, Indian rupee, Euro and British pound.
Fair Value of Financial Instruments
The carrying amounts of cash and equivalents, trade receivables, accounts payable and other accrued liabilities at December 31, 2023 and June 30, 2023 approximate fair value due to their short-term maturities.
The following table summarizes the estimated fair value of our long-term obligations and other short-term borrowings compared to the respective carrying amounts at:
(in millions)December 31, 2023June 30, 2023
Estimated fair value$4,527 $4,417 
Carrying amount4,723 4,701 
The fair value of our long-term obligations and other short-term borrowings is estimated based on either the quoted market prices for the same or similar issues or other inputs derived from available market information, which represents a Level 2 measurement.
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Shareholders' Equity
 6 Months Ended
Dec. 31, 2023
Equity [Abstract]  
Shareholders' Equity
10. Shareholders' Deficit
We repurchased $750 million and $1.3 billion of our common shares, in the aggregate, through share repurchase programs during the six months ended December 31, 2023 and 2022, respectively. We funded the repurchases with available cash. The common shares repurchased are held in treasury to be used for general corporate purposes.
During the three months ended December 31, 2023, we entered into an accelerated share repurchase ("ASR") program to repurchase common shares for an aggregate purchase price of $250 million. We received an initial delivery of 2.0 million common shares using a reference price of $101.66. The program concluded on December 13, 2023 at a volume weighted average price per common share of $103.67 resulting in a final delivery of 0.4 million common shares.
During the three months ended September 30, 2023, we entered into an ASR program to repurchase common shares for an aggregate purchase price of $500 million. We received an initial delivery of 4.4 million common shares using a reference price of $90.57. The program concluded on October 31, 2023 at a volume weighted average price per common share of $88.22 resulting in a final delivery of 1.3 million common shares.
During the three months ended June 30, 2023, we entered into an ASR program to repurchase common shares for an aggregate purchase of $500 million. We received an initial delivery of 4.6 million common shares using a reference price of $87.18. The program concluded on August 16, 2023 at a volume weighted average price per common share of $91.15 resulting in a final delivery of 0.9 million common shares.
During the three months ended December 31, 2022, we entered into an ASR program to repurchase common shares for an aggregate purchase price of $250 million. We received an initial delivery of 2.6 million common shares using a reference price of $76.58. The program concluded on January 13, 2023 at a volume weighted average price per common share of $77.50 resulting in a final delivery of 0.6 million common shares.
During the three months ended September 30, 2022, we entered into an ASR program to repurchase common shares for an aggregate purchase price of $1.0 billion. We received an initial
delivery of 12.0 million common shares using a reference price of $66.74. The program concluded on December 23, 2022 at a volume weighted average price per common share of $73.36 resulting in a final delivery of 1.6 million common shares.
Accumulated Other Comprehensive Loss
The following tables summarize the changes in the balance of accumulated other comprehensive loss by component and in total:
(in millions)Foreign
Currency
Translation
Adjustments		Unrealized
Gain/(Loss) on
Derivatives,
net of tax		Accumulated Other
Comprehensive
Loss
Balance at June 30, 2023$(137)$(14)$(151)
Other comprehensive income/(loss), before reclassifications(5)5 — 
Amounts reclassified to earnings— (4)(4)
Total other comprehensive income/(loss) attributable to Cardinal Health, Inc., net of tax benefit of $1 million
(5)1 (4)
Balance at December 31, 2023$(142)$(13)$(155)
(in millions)Foreign
Currency
Translation
Adjustments		Unrealized
Gain/(Loss) on
Derivatives,
net of tax		Accumulated Other
Comprehensive
Loss
Balance at June 30, 2022$(102)$(12)$(114)
Other comprehensive income/(loss), before reclassifications(38)11 (27)
Amounts reclassified to earnings— (5)(5)
Total other comprehensive loss attributable to Cardinal Health, Inc., net of tax benefit of $5 million
(38)6 (32)
Balance at December 31, 2022$(140)$(6)$(146)
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Earnings Per Share Attributable to Cardinal Health, Inc.
 6 Months Ended
Dec. 31, 2023
Earnings Per Share [Abstract]  
Earnings Per Share [Text Block]
11. Earnings/(Loss) Per Share Attributable to Cardinal Health, Inc.
The following tables reconcile the number of common shares used to compute basic and diluted earnings/(loss) per share attributable to Cardinal Health, Inc.:
Three Months Ended December 31,
(in millions)20232022
Weighted-average common shares–basic245 261 
Effect of dilutive securities:
Employee stock options, restricted share units and performance share units1 — 
Weighted-average common shares–diluted246 261 
Six Months Ended December 31,
(in millions)20232022
Weighted-average common shares–basic247 266 
Effect of dilutive securities:
Employee stock options, restricted share units and performance share units1 — 
Weighted-average common shares–diluted248 266 
The potentially dilutive employee stock options, restricted share units and performance share units that were antidilutive were immaterial and 1 million for the three and six months ended December 31, 2023, respectively.
The potentially dilutive employee stock options, restricted share units and performance share units that were antidilutive were 3 million and 5 million for the three and six months ended December 31, 2022, respectively. For both the three and six months ended December 31, 2022, there were 2 million potentially dilutive employee stock options, restricted share units and performance share units not included in the computation of diluted loss per common share attributable to Cardinal Health, Inc. because their effect would have been antidilutive as a result of the net loss during those periods.
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Segment Information
 6 Months Ended
Dec. 31, 2023
Segment Reporting [Abstract]  
Segment Information
12. Segment Information
Our operations are principally managed on a products and services basis and are comprised of two operating segments, which are the same as our reportable segments: Pharmaceutical and Medical. The factors for determining the reportable segments include the manner in which management evaluates performance for purposes of allocating resources and assessing performance combined with the nature of the individual business activities.
Our Pharmaceutical segment distributes branded and generic pharmaceutical, specialty pharmaceutical and over-the-counter healthcare and consumer products in the United States. This segment also provides services to pharmaceutical manufacturers and healthcare providers for specialty pharmaceutical products; provides pharmacy management services to hospitals and operates a limited number of pharmacies, including pharmacies in community health centers; operates nuclear pharmacies and radiopharmaceutical manufacturing facilities; and repackages generic pharmaceuticals and over-the-counter healthcare products.
Our Medical segment manufactures, sources and distributes Cardinal Health branded medical, surgical and laboratory products, which are sold in the United States, Canada, Europe, Asia and other markets. In addition to distributing Cardinal Health branded products, this segment also distributes a broad range of medical, surgical and laboratory products known as national brand products and provides supply chain services and solutions to hospitals, ambulatory surgery centers, clinical laboratories and other healthcare providers in the United States and Canada. This segment also distributes medical products to patients' homes in
the United States through our Cardinal Health at-Home Solutions division.
In January 2024, we announced a change in our organizational structure and have re-aligned our reporting structure under two reportable segments: Pharmaceutical and Specialty Solutions segment and Global Medical Products and Distribution segment. All remaining operating segments that are not significant enough to require separate reportable segment disclosures are included in Other. The following indicates the changes in our reporting structure effective January 1, 2024:
•Pharmaceutical and Specialty Solutions segment: This reportable segment will comprise all businesses formerly within our Pharmaceutical segment except Nuclear and Precision Health Solutions.
•Global Medical Products and Distribution segment: This reportable segment will comprise all businesses formerly within our Medical segment except at-Home Solutions and OptiFreight Logistics.
•Other: This will consist of the remaining operating segments, Nuclear and Precision Health Solutions, at-Home Solutions and OptiFreight Logistics.
Revenue
The following tables present revenue for each reportable segment, disaggregated revenue within our two reportable segments and Corporate:
Three Months Ended December 31,
(in millions)20232022
Pharmaceutical and Specialty Pharmaceutical Distribution and Services (1)$53,190 $47,391 
Nuclear and Precision Health Solutions330 282 
Pharmaceutical segment revenue
53,520 47,673 
Medical Products and Distribution (2)
3,167 3,099 
Cardinal Health at-Home Solutions761 698 
Medical segment revenue
3,928 3,797 
  Total segment revenue57,448 51,470 
Corporate (3)(3)(1)
Total revenue$57,445 $51,469 
Six Months Ended December 31,
(in millions)20232022
Pharmaceutical and Specialty Pharmaceutical Distribution and Services (1)$103,872 $92,938 
Nuclear and Precision Health Solutions654 563 
Pharmaceutical segment revenue
104,526 93,501 
Medical Products and Distribution (2)
6,243 6,239 
Cardinal Health at-Home Solutions1,445 1,336 
Medical segment revenue
7,688 7,575 
  Total segment revenue112,214 101,076 
Corporate (3)(6)(4)
Total revenue$112,208 $101,072 

(1)Comprised of all Pharmaceutical segment businesses except for Nuclear and Precision Health Solutions division.
(2)Comprised of all Medical segment businesses except for Cardinal Health at-Home Solutions division.
(3)Corporate revenue consists of the elimination of inter-segment revenue and other revenue not allocated to the segments.
The following tables present revenue by geographic area:
Three Months Ended December 31,
(in millions)20232022
United States$56,241 $50,333 
International1,207 1,137 
  Total segment revenue57,448 51,470 
Corporate (1)(3)(1)
Total revenue$57,445 $51,469 
Six Months Ended December 31,
(in millions)20232022
United States$109,798 $98,810 
International2,416 2,266 
  Total segment revenue112,214 101,076 
Corporate (1)(6)(4)
Total revenue$112,208 $101,072 
(1)Corporate revenue consists of the elimination of inter-segment revenue and other revenue not allocated to the segments.
Segment Profit
We evaluate segment performance based on segment profit, among other measures. Segment profit is segment revenue, less segment cost of products sold, less segment distribution, selling, general and administrative ("SG&A") expenses. Segment SG&A expenses include share-based compensation expense as well as allocated corporate expenses for shared functions, including corporate management, corporate finance, financial and customer care shared services, human resources, information technology and legal and compliance, including certain litigation defense costs. Corporate expenses are allocated to the segments based on headcount, level of benefit provided and other ratable allocation
methodologies. The results attributable to noncontrolling interests are recorded within segment profit.
We do not allocate the following items to our segments:
•last-in first-out, or ("LIFO"), inventory charges/(credits);
•surgical gown recall costs/(income);
•state opioid assessment related to prior fiscal years;
•shareholder cooperation agreement costs;
•restructuring and employee severance;
•amortization and other acquisition-related costs;
•impairments and (gain)/loss on disposal of assets, net; in connection with goodwill impairment testing for the Medical Unit as discussed further in Note 4, we recognized cumulative pre-tax goodwill impairment charges of $581 million and $863 million during the six months ended December 31, 2023 and $709 million during the three months ended December 31, 2022;
•litigation (recoveries)/charges, net;
•other (income)/expense, net;
•interest expense, net;
•loss on early extinguishment of debt;
•provision for/(benefit from) income taxes
In addition, certain investment spending, certain portions of enterprise-wide incentive compensation and other spending are not allocated to the segments. Investment spending generally includes the first-year spend for certain projects that require incremental investments in the form of additional operating expenses. Because approval for these projects is dependent on executive management, we retain these expenses at Corporate. Investment spending within Corporate was $14 million and $5 million for the three months ended December 31, 2023 and 2022, respectively, and $20 million and $11 million for the six months ended December 31, 2023 and 2022, respectively.
The following tables present segment profit by reportable segment and Corporate:
Three Months Ended December 31,
(in millions)20232022
Pharmaceutical
$518 $464 
Medical71 17 
Total segment profit589 481 
Corporate(107)(600)
Total operating earnings/(loss)$482 $(119)

Six Months Ended December 31,
(in millions)20232022
Pharmaceutical
$1,025 $895 
Medical142 9 
Total segment profit1,167 904 
Corporate(699)(886)
Total operating earnings/(loss)$468 $18 
The following table presents total assets for each reportable segment and Corporate at:
(in millions)December 31,
2023		June 30,
2023
Pharmaceutical$31,018 $28,077 
Medical
9,817 10,130 
Corporate 5,738 5,210 
Total assets$46,573 $43,417 
v3.24.0.1
Share-Based Compensation
 3 Months Ended
Dec. 31, 2022
Share-Based Payment Arrangement [Abstract]  
Share-Based Compensation
13. Share-Based Compensation
We maintain stock incentive plans (collectively, the “Plans”) for the benefit of certain of our officers, directors and employees.
The following tables provide total share-based compensation expense by type of award:
Three Months Ended December 31,
(in millions)20232022
Restricted share unit expense$17 $15 
Performance share unit expense11 10 
Total share-based compensation
$28 $25 
Six Months Ended December 31,
(in millions)20232022
Restricted share unit expense$38 $32 
Performance share unit expense19 16 
Total share-based compensation
$57 $48 
The total tax benefit related to share-based compensation was $4 million and $3 million for the three months ended December 31, 2023 and 2022, respectively, and $8 million and $6 million for the six months ended December 31, 2023 and 2022, respectively.
Restricted Share Units
Restricted share units granted under the Plans generally vest in equal annual installments over three years. Restricted share units accrue cash dividend equivalents that are payable upon vesting of the awards.
The following table summarizes all transactions related to restricted share units under the Plans:
(in millions, except per share amounts)Restricted Share UnitsWeighted-Average
Grant Date Fair
Value per Share
Nonvested at June 30, 20232.2 $57.37 
Granted0.9 90.69 
Vested(1.0)60.80 
Canceled and forfeited(0.1)69.55 
Nonvested at December 31, 20232.0 $69.44 
At December 31, 2023, the total pre-tax compensation cost, net of estimated forfeitures, related to nonvested restricted share units not yet recognized was $103 million, which is expected to be recognized over a weighted-average period of two years.
Performance Share Units
Performance share units vest over a three-year performance period based on achievement of specific performance goals. Based on the extent to which the targets are achieved, vested shares may range from zero to 234 percent of the target award amount for both the fiscal 2022 and 2023 grants and zero to 240 percent of the target award for the fiscal 2024 grant. Performance share units accrue cash dividend equivalents that are payable upon vesting of the awards.
The following table summarizes all transactions related to performance share units under the Plans (based on target award amounts):
(in millions, except per share amounts)Performance
Share Units		Weighted-Average
Grant Date Fair
Value per Share
Nonvested at June 30, 20231.2 $82.17 
Granted0.6 94.66 
Vested(0.4)62.26 
Canceled and forfeited— — 
Nonvested at December 31, 20231.4 $96.55 
At December 31, 2023, the total pre-tax compensation cost, net of estimated forfeitures, related to nonvested performance share units not yet recognized was $60 million, which is expected to be recognized over a weighted-average period of two years if performance goals are achieved.
v3.24.0.1
Pay vs Performance Disclosure - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2023
Dec. 31, 2022
Pay vs Performance Disclosure        
Net Income (Loss) Attributable to Parent $ 353 $ (130) $ 358 $ (20)
v3.24.0.1
Insider Trading Arrangements
 3 Months Ended
Dec. 31, 2023
Trading Arrangements, by Individual  
Rule 10b5-1 Arrangement Adopted false
Non-Rule 10b5-1 Arrangement Adopted false
Rule 10b5-1 Arrangement Terminated false
Non-Rule 10b5-1 Arrangement Terminated false
v3.24.0.1
Basis of Presentation and Summary of Significant Accounting Policies (Policies)
 6 Months Ended
Dec. 31, 2023
Accounting Policies [Abstract]  
Recent Financial Accounting Standards
Recently Issued Financial Accounting Standards
Not Yet Adopted
We assess the adoption impacts of recently issued accounting standards by the Financial Accounting Standards Board ("FASB") on our condensed consolidated financial statements as well as material updates to previous assessments, if any, from our fiscal 2023 Form 10-K.
Segment Reporting
In November 2023, the FASB issued Accounting Standards Update ("ASU") 2023-07 - Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures, which enhances reportable segment disclosure requirements, primarily through disclosures of significant segment expenses. This guidance will be effective for us in our fiscal 2025 Form 10-K and the guidance must be applied retrospectively to all prior periods presented. We are currently evaluating the impact of adoption of this guidance on our disclosures.
Income Tax Disclosure
In December 2023, the FASB issued ASU 2023-09 Income Taxes (Topic 740): Improvements to Income Tax Disclosures, which enhances income tax disclosures primarily related to the rate reconciliation and income taxes paid information. This guidance also includes certain other amendments to improve the effectiveness of income tax disclosures. This guidance will be effective for us in our fiscal 2026 Form 10-K and should be applied on a prospective basis, with retrospective application permitted. We are currently evaluating the impact of adoption of this guidance on our disclosures.
Recently Adopted Financial Accounting Standards
There were no new material accounting standards adopted in the six months ended December 31, 2023.
Basis of Presentation
Basis of Presentation
Our condensed consolidated financial statements include the accounts of all majority-owned or consolidated subsidiaries, and all significant intercompany transactions and amounts have been eliminated. The results of businesses acquired or disposed of are included in the condensed consolidated financial statements from the date of the acquisition or up to the date of disposal, respectively.
References to "we," "our," and similar pronouns in this Quarterly Report on Form 10-Q for the quarter ended December 31, 2023 (this "Form 10-Q") are to Cardinal Health, Inc. and its majority-owned or consolidated subsidiaries unless the context requires otherwise.
Our fiscal year ends on June 30. References to fiscal 2024 and 2023 in these condensed consolidated financial statements are to the fiscal years ending or ended June 30, 2024 and June 30, 2023, respectively.
Our condensed consolidated financial statements have been prepared in accordance with the U.S. Securities and Exchange Commission ("SEC") instructions to Quarterly Reports on Form 10-Q and include the information and disclosures required by accounting principles generally accepted in the United States ("GAAP") for interim financial reporting. The preparation of financial statements in conformity with GAAP requires us to make estimates, judgments and assumptions that affect amounts reported in the condensed consolidated financial statements and accompanying notes. Actual amounts may differ from these estimated amounts.
In our opinion, all adjustments necessary for a fair presentation of the condensed consolidated financial statements have been included. Except as disclosed elsewhere in this Form 10-Q, all such adjustments are of a normal and recurring nature. In addition, financial results presented for this fiscal 2024 interim period are not necessarily indicative of the results that may be expected for the full fiscal year ending June 30, 2024. These condensed consolidated financial statements are unaudited and, accordingly, should be read in conjunction with the audited consolidated financial statements and related notes contained in our Annual Report on Form 10-K for the fiscal year ended June 30, 2023 (our "2023 Form 10-K").
v3.24.0.1
Restructuring and Employee Severance (Tables)
 6 Months Ended
Dec. 31, 2023
Restructuring Charges [Abstract]  
Summary of Restructuring and Employee Severance
The following tables summarize restructuring and employee severance costs:
Three Months Ended December 31,
(in millions)20232022
Employee-related$8 $10 
Facility exit and other20 7 
Total restructuring and employee severance$28 $17 
Six Months Ended December 31,
(in millions)20232022
Employee-related$15 $29 
Facility exit and other38 17 
Total restructuring and employee severance$53 $46 
Schedule of Activity Related to Liabilities Associated with Restructuring and Employee Severance
The following table summarizes activity related to liabilities associated with restructuring and employee severance:
(in millions)Employee-
Related Costs		Facility Exit
and Other Costs		Total
Balance at June 30, 2023$44 $2 $46 
Additions8 4 12 
Payments and other adjustments(18)(1)(19)
Balance at December 31, 2023$34 $5 $39 
v3.24.0.1
Goodwill and Other Intangible Assets (Tables)
 6 Months Ended
Dec. 31, 2023
Goodwill and Intangible Assets Disclosure [Abstract]  
Schedule of Goodwill by Reportable Segment
The following table summarizes the changes in the carrying amount of goodwill by segment and in total:
(in millions)PharmaceuticalMedical (1)Total
Balance at June 30, 2023$2,649 $1,960 $4,609 
Goodwill acquired, net of purchase price adjustments— (3)(3)
Foreign currency translation adjustments and other— (1)(1)
Goodwill impairment— (581)(581)
Balance at December 31, 2023$2,649 $1,375 $4,024 
(1) At December 31, 2023 and June 30, 2023, the Medical segment accumulated goodwill impairment loss was $5.3 billion and $4.7 billion, respectively.
Schedule of Finite-Lived Intangible Assets
The following tables summarize other intangible assets by class at:
December 31, 2023
(in millions)Gross
Intangible		Accumulated
Amortization		Net
Intangible		Weighted- Average Remaining Amortization Period (Years)
Indefinite-life intangibles:
Trademarks and patents$12 $— $12 N/A
Total indefinite-life intangibles12 — 12 N/A
Definite-life intangibles:
Customer relationships3,175 2,357 818 9
Trademarks, trade names and patents546 394 152 7
Developed technology and other1,022 657 365 8
Total definite-life intangibles4,743 3,408 1,335 8
Total other intangible assets$4,755 $3,408 $1,347 N/A
June 30, 2023
(in millions)Gross
Intangible		Accumulated
Amortization		Net
Intangible
Indefinite-life intangibles:
Trademarks and patents$11 $— $11 
Total indefinite-life intangibles11 — 11 
Definite-life intangibles:
Customer relationships3,174 2,274 900 
Trademarks, trade names and patents546 380 166 
Developed technology and other1,021 626 395 
Total definite-life intangibles4,741 3,280 1,461 
Total other intangible assets$4,752 $3,280 $1,472 
v3.24.0.1
Fair Value Measurements (Tables)
 6 Months Ended
Dec. 31, 2023
Fair Value Disclosures [Abstract]  
Fair Value, Assets and Liabilities Measured on Recurring Basis
The following tables present the fair values for assets and (liabilities) measured on a recurring basis at:
December 31, 2023
(in millions)Level 1Level 2Level 3Total
Assets:
Cash equivalents$1,708 $— $— $1,708 
Other investments (1)102 — — 102 
Liabilities:
Forward contracts (2)— (73)— (73)
June 30, 2023
(in millions)Level 1Level 2Level 3Total
Assets:
Cash equivalents$1,253 $— $— $1,253 
Other investments (1)101 — — 101 
Liabilities:
Forward contracts (2)— (73)— (73)
(1)The other investments balance includes investments in mutual funds, which offset fluctuations in deferred compensation liabilities. These mutual funds invest in the equity securities of companies with both large and small market capitalization and high quality fixed income debt securities. The fair value of these investments is determined using quoted market prices.
(2)The fair value of interest rate swaps, foreign currency contracts, and net investment hedges is determined based on the present value of expected future cash flows considering the risks involved, including non-performance risk, and using discount rates appropriate for the respective maturities. Observable Level 2 inputs are used to determine the present value of expected future cash flows. The fair value of these derivative contracts, which are subject to master netting arrangements under certain circumstances, is presented on a gross basis in prepaid expenses and other, other assets, other accrued liabilities, and deferred income taxes and other liabilities within the condensed consolidated balance sheets.
v3.24.0.1
Financial Instruments (Tables)
 6 Months Ended
Dec. 31, 2023
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Schedule of Estimated Fair Value of Long-term Obligations and Other Short-term Borrowings Compared to the Respective Carrying Amount
The following table summarizes the estimated fair value of our long-term obligations and other short-term borrowings compared to the respective carrying amounts at:
(in millions)December 31, 2023June 30, 2023
Estimated fair value$4,527 $4,417 
Carrying amount4,723 4,701 
v3.24.0.1
Shareholders' Equity (Tables)
 6 Months Ended
Dec. 31, 2023
Equity [Abstract]  
Schedule of Changes in the Balance of Accumulated Other Comprehensive Loss by Component and in Total
The following tables summarize the changes in the balance of accumulated other comprehensive loss by component and in total:
(in millions)Foreign
Currency
Translation
Adjustments		Unrealized
Gain/(Loss) on
Derivatives,
net of tax		Accumulated Other
Comprehensive
Loss
Balance at June 30, 2023$(137)$(14)$(151)
Other comprehensive income/(loss), before reclassifications(5)5 — 
Amounts reclassified to earnings— (4)(4)
Total other comprehensive income/(loss) attributable to Cardinal Health, Inc., net of tax benefit of $1 million
(5)1 (4)
Balance at December 31, 2023$(142)$(13)$(155)
(in millions)Foreign
Currency
Translation
Adjustments		Unrealized
Gain/(Loss) on
Derivatives,
net of tax		Accumulated Other
Comprehensive
Loss
Balance at June 30, 2022$(102)$(12)$(114)
Other comprehensive income/(loss), before reclassifications(38)11 (27)
Amounts reclassified to earnings— (5)(5)
Total other comprehensive loss attributable to Cardinal Health, Inc., net of tax benefit of $5 million
(38)6 (32)
Balance at December 31, 2022$(140)$(6)$(146)
v3.24.0.1
Earnings Per Share Attributable to Cardinal Health, Inc. (Tables)
 6 Months Ended
Dec. 31, 2023
Earnings Per Share [Abstract]  
Reconciliation of Common Shares Used to Compute Basic and Diluted Earnings Per Share
The following tables reconcile the number of common shares used to compute basic and diluted earnings/(loss) per share attributable to Cardinal Health, Inc.:
Three Months Ended December 31,
(in millions)20232022
Weighted-average common shares–basic245 261 
Effect of dilutive securities:
Employee stock options, restricted share units and performance share units1 — 
Weighted-average common shares–diluted246 261 
Six Months Ended December 31,
(in millions)20232022
Weighted-average common shares–basic247 266 
Effect of dilutive securities:
Employee stock options, restricted share units and performance share units1 — 
Weighted-average common shares–diluted248 266 
v3.24.0.1
Segment Information (Tables)
 6 Months Ended
Dec. 31, 2023
Segment Reporting [Abstract]  
Disaggregation of Revenue [Table Text Block]
Three Months Ended December 31,
(in millions)20232022
Pharmaceutical and Specialty Pharmaceutical Distribution and Services (1)$53,190 $47,391 
Nuclear and Precision Health Solutions330 282 
Pharmaceutical segment revenue
53,520 47,673 
Medical Products and Distribution (2)
3,167 3,099 
Cardinal Health at-Home Solutions761 698 
Medical segment revenue
3,928 3,797 
  Total segment revenue57,448 51,470 
Corporate (3)(3)(1)
Total revenue$57,445 $51,469 
Six Months Ended December 31,
(in millions)20232022
Pharmaceutical and Specialty Pharmaceutical Distribution and Services (1)$103,872 $92,938 
Nuclear and Precision Health Solutions654 563 
Pharmaceutical segment revenue
104,526 93,501 
Medical Products and Distribution (2)
6,243 6,239 
Cardinal Health at-Home Solutions1,445 1,336 
Medical segment revenue
7,688 7,575 
  Total segment revenue112,214 101,076 
Corporate (3)(6)(4)
Total revenue$112,208 $101,072 

(1)Comprised of all Pharmaceutical segment businesses except for Nuclear and Precision Health Solutions division.
(2)Comprised of all Medical segment businesses except for Cardinal Health at-Home Solutions division.
(3)Corporate revenue consists of the elimination of inter-segment revenue and other revenue not allocated to the segments.
Revenue from External Customers by Geographic Areas [Table Text Block]
The following tables present revenue by geographic area:
Three Months Ended December 31,
(in millions)20232022
United States$56,241 $50,333 
International1,207 1,137 
  Total segment revenue57,448 51,470 
Corporate (1)(3)(1)
Total revenue$57,445 $51,469 
Six Months Ended December 31,
(in millions)20232022
United States$109,798 $98,810 
International2,416 2,266 
  Total segment revenue112,214 101,076 
Corporate (1)(6)(4)
Total revenue$112,208 $101,072 
(1)Corporate revenue consists of the elimination of inter-segment revenue and other revenue not allocated to the segments.
Segment Profit by Reportable Segment
The following tables present segment profit by reportable segment and Corporate:
Three Months Ended December 31,
(in millions)20232022
Pharmaceutical
$518 $464 
Medical71 17 
Total segment profit589 481 
Corporate(107)(600)
Total operating earnings/(loss)$482 $(119)
Six Months Ended December 31,
(in millions)20232022
Pharmaceutical
$1,025 $895 
Medical142 9 
Total segment profit1,167 904 
Corporate(699)(886)
Total operating earnings/(loss)$468 $18 
Assets by Reportable Segment
The following table presents total assets for each reportable segment and Corporate at:
(in millions)December 31,
2023		June 30,
2023
Pharmaceutical$31,018 $28,077 
Medical
9,817 10,130 
Corporate 5,738 5,210 
Total assets$46,573 $43,417 
v3.24.0.1
Share-Based Compensation (Tables)
 6 Months Ended
Dec. 31, 2023
Share-Based Payment Arrangement [Abstract]  
Schedule of Total Share-based Compensation Expense by Type of Award
The following tables provide total share-based compensation expense by type of award:
Three Months Ended December 31,
(in millions)20232022
Restricted share unit expense$17 $15 
Performance share unit expense11 10 
Total share-based compensation
$28 $25 
Six Months Ended December 31,
(in millions)20232022
Restricted share unit expense$38 $32 
Performance share unit expense19 16 
Total share-based compensation
$57 $48 
Schedule of Transactions Related to Restricted Share Units Under the Plans
The following table summarizes all transactions related to restricted share units under the Plans:
(in millions, except per share amounts)Restricted Share UnitsWeighted-Average
Grant Date Fair
Value per Share
Nonvested at June 30, 20232.2 $57.37 
Granted0.9 90.69 
Vested(1.0)60.80 
Canceled and forfeited(0.1)69.55 
Nonvested at December 31, 20232.0 $69.44 
Schedule of Transactions Related to Performance Share Units Under the Plans
The following table summarizes all transactions related to performance share units under the Plans (based on target award amounts):
(in millions, except per share amounts)Performance
Share Units		Weighted-Average
Grant Date Fair
Value per Share
Nonvested at June 30, 20231.2 $82.17 
Granted0.6 94.66 
Vested(0.4)62.26 
Canceled and forfeited— — 
Nonvested at December 31, 20231.4 $96.55 
v3.24.0.1
Discontinued Operations and Disposal Groups (Details)
$ in Millions
 6 Months Ended
Dec. 31, 2023
USD ($)
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]  
Disposal Group, Not Discontinued Operation, Gain (Loss) on Disposal, Statement of Income or Comprehensive Income [Extensible Enumeration] Gain (Loss) on Sale of Assets and Asset Impairment Charges
Outcomes Divestiture [Member]  
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]  
Disposal Group, Not Discontinued Operation, Gain (Loss) on Disposal $ 53
Transaction Data System Investment  
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]  
Equity Method Investment, Ownership Percentage 16.00%
v3.24.0.1
Restructuring and Employee Severance (Activity Related to Restructuring and Employee Severance Costs) (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2023
Dec. 31, 2022
Restructuring Charges [Abstract]        
Employee-related costs $ 8 $ 10 $ 15 $ 29
Facility Exit and Other Costs 20 7 38 17
Total restructuring and employee severance $ 28 $ 17 $ 53 $ 46
v3.24.0.1
Restructuring and Employee Severance (Liabilities Associated with Restructuring and Employee Severance Activities) (Details)
$ in Millions
 6 Months Ended
Dec. 31, 2023
USD ($)
Restructuring Reserve [Roll Forward]  
Beginning Balance $ 46
Additions 12
Payments and other adjustments (19)
Ending Balance 39
Employee- Related Costs  
Restructuring Reserve [Roll Forward]  
Beginning Balance 44
Additions 8
Payments and other adjustments (18)
Ending Balance 34
Facility Exit and Other Costs  
Restructuring Reserve [Roll Forward]  
Beginning Balance 2
Additions 4
Payments and other adjustments (1)
Ending Balance $ 5
v3.24.0.1
Restructuring and Employee Severance Narative (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2023
Dec. 31, 2022
Restructuring Cost and Reserve [Line Items]        
Employee-related costs $ 8 $ 10 $ 15 $ 29
Facility Exit and Other Costs $ 20 $ 7 $ 38 $ 17
v3.24.0.1
Goodwill and Other Intangible Assets (Schedule of Goodwill by Reportable Segment) (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Dec. 31, 2022
Sep. 30, 2022
Dec. 31, 2023
Jun. 30, 2023
Goodwill [Roll Forward]        
Beginning balance     $ 4,609  
Goodwill, Purchase Accounting Adjustments     (3)  
Foreign currency translation adjustments and other     1  
Goodwill impairment     581  
Ending balance     4,024  
Pharmaceutical        
Goodwill [Roll Forward]        
Beginning balance     2,649  
Goodwill, Purchase Accounting Adjustments     0  
Foreign currency translation adjustments and other     0  
Goodwill impairment     0  
Ending balance     2,649  
Medical        
Goodwill [Roll Forward]        
Beginning balance     1,960  
Goodwill, Purchase Accounting Adjustments     (3)  
Foreign currency translation adjustments and other     1  
Goodwill impairment $ 709 $ 154 581  
Ending balance     1,375  
Goodwill, Impaired, Accumulated Impairment Loss     $ 5,300 $ 4,700
v3.24.0.1
Goodwill and Other Intangible Assets (Schedule of Intangible Assets) (Details) - USD ($)
$ in Millions
Dec. 31, 2023
Jun. 30, 2023
Indefinite-lived Intangible Assets [Line Items]    
Net Intangible $ 12 $ 11
Finite-Lived Intangible Assets [Line Items]    
Gross Intangible 4,743 4,741
Accumulated Amortization 3,408 3,280
Net Intangible $ 1,335 1,461
Weighted- Average Remaining Amortization Period (Years) 8 years  
Gross Intangible, Total other intangible assets $ 4,755 4,752
Net Intangible, Total other intangible assets 1,347 1,472
Trademarks and patents    
Indefinite-lived Intangible Assets [Line Items]    
Net Intangible 12 11
Customer relationships    
Finite-Lived Intangible Assets [Line Items]    
Gross Intangible 3,175 3,174
Accumulated Amortization 2,357 2,274
Net Intangible $ 818 900
Weighted- Average Remaining Amortization Period (Years) 9 years  
Trademarks, trade names and patents    
Finite-Lived Intangible Assets [Line Items]    
Gross Intangible $ 546 546
Accumulated Amortization 394 380
Net Intangible $ 152 166
Weighted- Average Remaining Amortization Period (Years) 7 years  
Developed technology and other    
Finite-Lived Intangible Assets [Line Items]    
Gross Intangible $ 1,022 1,021
Accumulated Amortization 657 626
Net Intangible $ 365 $ 395
Weighted- Average Remaining Amortization Period (Years) 8 years  
v3.24.0.1
Goodwill and Other Intangible Assets (Narrative) (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Dec. 31, 2023
Sep. 30, 2023
Jun. 30, 2023
Dec. 31, 2022
Sep. 30, 2022
Dec. 31, 2023
Dec. 31, 2022
Goodwill and Intangible Assets Disclosure [Abstract]              
Amortization of intangible assets $ 63     $ 71   $ 127 $ 142
Estimated annual amortization of intangible assets - Remainder of Fiscal Year 127         127  
Estimated annual amortization of intangible assets - Year One 226         226  
Estimated annual amortization of intangible assets - Year Two 206         206  
Estimated annual amortization of intangible assets - Year Three 174         174  
Estimated annual amortization of intangible assets - Year Four 148         148  
Goodwill [Line Items]              
Goodwill 4,024   $ 4,609     4,024  
Goodwill impairment           581  
Medical              
Goodwill [Line Items]              
Goodwill $ 1,375   $ 1,960     1,375  
Goodwill impairment       $ 709 $ 154 581  
Medical Unit              
Goodwill [Line Items]              
Goodwill impairment           $ 581 $ 863
Discount Rate, Fair Value Input   11.00% 10.00%        
Terminal Growth Rate, Fair Value Input 2.00% 2.00% 2.00%     2.00%  
Change in Discount Rate, Fair Value Input           1.00%  
v3.24.0.1
Long-Term Obligations and Other Short-Term Borrowings (Details) - USD ($)
$ in Millions
Dec. 31, 2023
Jun. 30, 2023
Debt Instrument [Line Items]    
Accounts Payable $ 34,300 $ 29,800
Debt, Long-Term and Short-Term, Combined Amount 4,700 $ 4,700
Commercial Paper [Member]    
Debt Instrument [Line Items]    
Line of Credit Facility, Maximum Borrowing Capacity 2,000  
Revolving Credit Facility [Member]    
Debt Instrument [Line Items]    
Line of Credit Facility, Maximum Borrowing Capacity 2,000  
Short Term Credit Facilities Member    
Debt Instrument [Line Items]    
Other Short-term Borrowings 0  
Committed Receivables Sales Facility Program [Member] | Short Term Credit Facilities Member    
Debt Instrument [Line Items]    
Line of Credit Facility, Maximum Borrowing Capacity $ 1,000  
v3.24.0.1
Commitments, Contingent Liabilities and Litigation (Details)
$ in Thousands
 3 Months Ended 5 Months Ended 6 Months Ended 12 Months Ended 31 Months Ended 53 Months Ended
Jul. 01, 2024
plaintiff
Jan. 26, 2024
plaintiff
lawsuit
Apr. 30, 2023
USD ($)
lawsuit
Jul. 31, 2014
Mar. 31, 2024
USD ($)
Dec. 31, 2023
USD ($)
states
numberOfUSTerritories
Mar. 31, 2023
plaintiff
Dec. 31, 2022
USD ($)
Sep. 30, 2023
USD ($)
Dec. 31, 2023
USD ($)
states
numberOfUSTerritories
Dec. 31, 2022
USD ($)
Jun. 30, 2023
USD ($)
Jan. 31, 2024
USD ($)
Jan. 26, 2024
lawsuit
Jun. 30, 2028
USD ($)
Nov. 30, 2023
USD ($)
Oct. 31, 2022
USD ($)
Jul. 31, 2022
USD ($)
Apr. 30, 2018
USD ($)
Loss Contingencies [Line Items]                                      
Income from Settlements of Class Action Lawsuits           $ 31,000   $ 66,000   $ 71,000 $ 66,000                
Product Liability Lawsuits | Subsequent Event                                      
Loss Contingencies [Line Items]                                      
Loss Contingency, Pending Claims, Number | lawsuit   400                       400          
Product Liability Lawsuits | IVC April 2023 Agreement                                      
Loss Contingencies [Line Items]                                      
Loss Contingency, Claims Settled, Number | lawsuit     4,375                                
Product Liability Lawsuits | Subsequent Event | Other Agreements [Member]                                      
Loss Contingencies [Line Items]                                      
Loss Contingency, Claims Settled, Number | lawsuit                           2,798          
Product Liability Lawsuits | Minimum                                      
Loss Contingencies [Line Items]                                      
Loss Contingency Accrual           300,000       300,000                  
Total Opioid Litigation [Member]                                      
Loss Contingencies [Line Items]                                      
Estimated Litigation Liability           5,470,000       5,470,000                  
Estimated Litigation Liability, Current           $ 420,000       $ 420,000                  
Total Opioid Litigation [Member] | Subsequent Event                                      
Loss Contingencies [Line Items]                                      
Loss Contingency Accrual, Period Increase (Decrease)         $ 344,000                            
Income As A Result Of Prepayments         100,000                            
New York Opioid Stewardship Act [Member]                                      
Loss Contingencies [Line Items]                                      
Aggregate Annual Assessment                                     $ 100,000
Loss Contingency Accrual, Period Increase (Decrease)                       $ 6,000              
Loss Contingency Accrual                       3,000              
Opioid Lawsuits [Member]                                      
Loss Contingencies [Line Items]                                      
Settling States | states           48       48                  
Settling U.S Territories | numberOfUSTerritories           5       5                  
Insurance Recoveries                       10,000              
Opioid Lawsuits [Member] | Subsequent Event                                      
Loss Contingencies [Line Items]                                      
Payments for Legal Settlements         $ 238,000               $ 1,500,000   $ 4,900,000        
Opioid Lawsuits [Member] | WEST VIRGINIA                                      
Loss Contingencies [Line Items]                                      
Loss Contingency, Estimate of Possible Loss                                   $ 124,000  
Opioid Lawsuits [Member] | ALABAMA                                      
Loss Contingencies [Line Items]                                      
Loss Contingency, Estimate of Possible Loss                               $ 123,000      
Litigation Settlement, Expense           $ 22,000                          
Opioid Lawsuits [Member] | Native American tribes                                      
Loss Contingencies [Line Items]                                      
Loss Contingency, Estimate of Possible Loss                                 $ 136,000    
Opioid Lawsuits [Member] | Private Parties [Member] | Subsequent Event                                      
Loss Contingencies [Line Items]                                      
Loss Contingency, Lawsuits, Number | lawsuit   395                       395          
Opioid Lawsuits [Member] | Private Parties [Member] | GEORGIA                                      
Loss Contingencies [Line Items]                                      
Loss Contingency, Number of Plaintiffs | plaintiff             21                        
Opioid Lawsuits [Member] | Private Parties [Member] | ALABAMA | Subsequent Event                                      
Loss Contingencies [Line Items]                                      
Loss Contingency, Number of Plaintiffs | plaintiff 8                                    
Opioid Lawsuits [Member] | Class Action Lawsuits [Member] | Private Parties [Member] | Subsequent Event                                      
Loss Contingencies [Line Items]                                      
Loss Contingency, Lawsuits, Number | lawsuit   103                       103          
Product Liability Lawsuits                                      
Loss Contingencies [Line Items]                                      
Product Liability Accrual, Period Expense                       $ (103,000)              
Product Liability Lawsuits | IVC April 2023 Agreement                                      
Loss Contingencies [Line Items]                                      
Loss Contingency, Estimate of Possible Loss     $ 275,000                                
Payments for Legal Settlements                 $ 275,000                    
Product Liability Lawsuits | Alameda County [Member] | Subsequent Event                                      
Loss Contingencies [Line Items]                                      
Loss Contingency, Number of Plaintiffs | plaintiff   4,500                                  
CVS Health                                      
Loss Contingencies [Line Items]                                      
Long-term Purchase Commitment, Period       10 years                              
v3.24.0.1
Income Taxes (Narrative) (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Jun. 30, 2024
Dec. 31, 2023
Dec. 31, 2022
Jun. 30, 2024
Jun. 30, 2023
Income Taxes              
Effective Income Tax Rate Reconciliation, Percent 27.70% 5.40%   22.40% 30.00%    
Goodwill impairment       $ 581      
Income Tax Expense (Benefit) $ 136 $ (7)   104 $ (8)    
Unrecognized tax benefits 959     959     $ 1,000
Unrecognized tax benefits that would impact effective tax rate 864     864     873
Unrecognized tax benefits, interest and penalties accrued 52     52     65
Medical Unit              
Income Taxes              
Goodwill impairment       581 $ 863    
Medical Unit Goodwill Impairment [Member] | Subsequent Event              
Income Taxes              
Income Tax Expense (Benefit)     $ 65        
Forecast [Member] | Medical Unit Goodwill Impairment [Member]              
Income Taxes              
Income Tax Expense (Benefit)           $ (45)  
Minimum              
Income Taxes              
Estimated range of decrease in unrecognized tax benefits within the next 12 months 0     0      
Maximum              
Income Taxes              
Estimated range of decrease in unrecognized tax benefits within the next 12 months 30     30      
CareFusion [Member]              
Income Taxes              
Indemnification Receivable $ 20     $ 20     $ 82
v3.24.0.1
Fair Value Measurements (Fair Value of Assets and Liabilities Measured on a Recurring Basis) (Details) - USD ($)
$ in Millions
Dec. 31, 2023
Sep. 30, 2023
Jun. 30, 2023
Transaction Data System Investment      
Assets:      
Equity Method Investment, Ownership Percentage 16.00%    
Recurring      
Assets:      
Cash equivalents $ 1,708   $ 1,253
Other investments 102   101
Forward Contract (73)   (73)
Liabilities:      
Forward Contract (73)   (73)
Level 1 | Recurring      
Assets:      
Cash equivalents 1,708   1,253
Other investments 102   101
Forward Contract 0   0
Liabilities:      
Forward Contract 0   0
Level 2 | Recurring      
Assets:      
Cash equivalents 0   0
Other investments 0   0
Forward Contract (73)   (73)
Liabilities:      
Forward Contract (73)   (73)
Level 3 | Recurring      
Assets:      
Cash equivalents 0   0
Other investments 0   0
Forward Contract 0   0
Liabilities:      
Forward Contract $ 0   $ 0
Level 3 | Fair Value, Nonrecurring | Transaction Data System Investment      
Assets:      
Equity Method Investments, Fair Value Disclosure   $ 147  
v3.24.0.1
Financial Instruments (Narrative) (Details)
¥ in Millions, $ in Millions
 3 Months Ended 6 Months Ended 12 Months Ended
Dec. 31, 2023
USD ($)
Dec. 31, 2022
USD ($)
Dec. 31, 2023
USD ($)
Dec. 31, 2022
USD ($)
Dec. 31, 2024
USD ($)
Dec. 31, 2023
JPY (¥)
Derivative [Line Items]            
Change in Unrealized Gain (Loss) on Fair Value Hedging Instruments $ 0 $ 0 $ 0 $ 0    
Proceeds from net investment hedge terminations     28 0    
January 2023            
Derivative [Line Items]            
Proceeds from net investment hedge terminations     28      
Cash Flow Hedging [Member]            
Derivative [Line Items]            
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), before Reclassification and Tax   2 (1) (2)    
Foreign Exchange Contract [Member]            
Derivative [Line Items]            
Other Comprehensive Income (Loss), Net Investment Hedge, Gain (Loss), before Reclassification and Tax 16 43 5 21    
Interest Income (Expense), Nonoperating, Net 4 4 7 8    
Cash Flow Hedging [Member] | Foreign Exchange Contract [Member]            
Derivative [Line Items]            
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net 1   2      
Cash Flow Hedging [Member] | Foreign Exchange Contract [Member] | Subsequent Event | Forecast [Member]            
Derivative [Line Items]            
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net         $ 3  
Designated as Hedging Instrument | Fair Value Hedging | Interest Rate Swap            
Derivative [Line Items]            
Derivative Liability, Notional Amount 200 200 200 200    
Designated as Hedging Instrument | Net Investment Hedging [Member] | Currency Swap [Member] | January 2023            
Derivative [Line Items]            
Derivatives, Hedge Discontinuances, Termination of Hedging Instrument, Notional Amount 300   300     ¥ 38,000
Designated as Hedging Instrument | Net Investment Hedging [Member] | Currency Swap [Member] | September 2025            
Derivative [Line Items]            
Derivative Asset, Notional Amount 120   120     18,000
Designated as Hedging Instrument | Net Investment Hedging [Member] | Currency Swap [Member] | June 2027            
Derivative [Line Items]            
Derivative Asset, Notional Amount $ 120   $ 120     ¥ 18,000
Other Nonoperating Income (Expense) [Member] | Not Designated as Hedging Instrument [Member] | Foreign Exchange Contract [Member]            
Derivative [Line Items]            
Derivative Instruments Not Designated as Hedging Instruments, Gain (Loss), Net   $ (3)   $ 3    
v3.24.0.1
Financial Instruments Summary of Estimated Fair Value of Long-term Obligations and Other Short-term Borrowings (Details) - USD ($)
$ in Millions
Dec. 31, 2023
Jun. 30, 2023
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Carrying Amount of Long-Term and other Short-Term Borrowings $ 4,723 $ 4,701
Level 2    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Estimated fair value $ 4,527 $ 4,417
v3.24.0.1
Shareholders' Equity (Narrative) (Details) - USD ($)
$ / shares in Units, shares in Millions, $ in Millions
 3 Months Ended 6 Months Ended
Dec. 13, 2023
Nov. 02, 2023
Oct. 31, 2023
Aug. 16, 2023
Jan. 13, 2023
Dec. 23, 2022
Dec. 31, 2023
Sep. 30, 2023
Jun. 30, 2023
Dec. 31, 2022
Jun. 30, 2022
Dec. 31, 2023
Sep. 30, 2023
Mar. 31, 2023
Dec. 31, 2022
Class of Stock [Line Items]                              
Purchase of treasury shares                       $ 750     $ 1,250
$250 million share repurchase program [Member]                              
Class of Stock [Line Items]                              
Purchase of treasury shares             $ 250     $ 250          
$1 billion share repurchase program                              
Class of Stock [Line Items]                              
Purchase of treasury shares                     $ 1,000        
$500 million share repurchase program                              
Class of Stock [Line Items]                              
Purchase of treasury shares               $ 500 $ 500            
Treasury Stock, Common                              
Class of Stock [Line Items]                              
Purchase of treasury shares                       $ 750     $ 1,300
Treasury Stock, Shares, Acquired             (4.0)     (4.0)   (9.0)     (16.0)
Treasury Stock, Common | $250 million share repurchase program [Member]                              
Class of Stock [Line Items]                              
Treasury Stock, Shares, Acquired (0.4) (2.0)     (0.6)         (2.6)          
Treasury shares acquired, average price per share (in usd per share)   $ 101.66         $ 103.67     $ 76.58       $ 77.50  
Treasury Stock, Common | $1 billion share repurchase program                              
Class of Stock [Line Items]                              
Treasury Stock, Shares, Acquired           (1.6)         (12.0)        
Treasury shares acquired, average price per share (in usd per share)                     $ 66.74       $ 73.36
Treasury Stock, Common | $500 million share repurchase program                              
Class of Stock [Line Items]                              
Treasury Stock, Shares, Acquired     (1.3) (0.9)       (4.4) (4.6)            
Treasury shares acquired, average price per share (in usd per share)               $ 90.57 $ 87.18     $ 88.22 $ 91.15    
v3.24.0.1
Shareholders' Equity (Changes in the Accumulated Other Comprehensive Income (Loss)) (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2023
Dec. 31, 2022
AOCI, Net of Tax [Roll Forward]        
Balance at beginning of period $ (3,490) $ (1,780) $ (2,851) $ (706)
Total other comprehensive income/(loss), net of tax 10 30 (4) (32)
Balance at end of period (3,447) (2,212) (3,447) (2,212)
Other Comprehensive Income (Loss), Tax     1 5
Foreign Currency Translation Adjustments        
AOCI, Net of Tax [Roll Forward]        
Balance at beginning of period     (137) (102)
Other Comprehensive Income (Loss), before Reclassifications, Net of Tax     (5) (38)
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax     0 0
Total other comprehensive income/(loss), net of tax     (5) (38)
Balance at end of period (142) (140) (142) (140)
Unrealized Gain/(Loss) on Derivatives, net of tax        
AOCI, Net of Tax [Roll Forward]        
Balance at beginning of period     (14) (12)
Other Comprehensive Income (Loss), before Reclassifications, Net of Tax     5 11
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax     (4) (5)
Total other comprehensive income/(loss), net of tax     1 6
Balance at end of period (13) (6) (13) (6)
Accumulated Other Comprehensive Loss        
AOCI, Net of Tax [Roll Forward]        
Balance at beginning of period     (151) (114)
Total other comprehensive income/(loss), net of tax     (4) (32)
Balance at end of period (155) (146) (155) (146)
AOCI Attributable to Parent        
AOCI, Net of Tax [Roll Forward]        
Balance at beginning of period (165) (176) (151) (114)
Other Comprehensive Income (Loss), before Reclassifications, Net of Tax     0 (27)
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax     (4) (5)
Balance at end of period $ (155) $ (146) $ (155) $ (146)
v3.24.0.1
Earnings Per Share Attributable to Cardinal Health, Inc. (Narrative) (Details)
shares in Thousands
 3 Months Ended 6 Months Ended
Dec. 31, 2023
shares
Dec. 31, 2022
shares
Dec. 31, 2023
shares
Dec. 31, 2022
shares
Earnings Per Share [Abstract]        
Potentially dilutive employee stock options, restricted share units and performance share units that were antidilutive (in shares) 1,000   1,000  
Shares that would be antidilutive as a result of net loss   2,000   2,000
v3.24.0.1
Earnings Per Share Attributable to Cardinal Health, Inc. (Reconciliation of Common Shares Used to Compute Basic and Diluted EPS) (Details) - shares
shares in Millions
 3 Months Ended 6 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2023
Dec. 31, 2022
Earnings Per Share [Abstract]        
Weighted-average common shares–basic (in shares) 245 261 247 266
Effect of dilutive securities:        
Employee stock options, restricted share units, and performance share units (in shares) 1 0 1 0
Weighted-average common shares–diluted (in shares) 246 261 248 266
v3.24.0.1
Segment Information (Narrative) (Details)
$ in Millions
 3 Months Ended 6 Months Ended
Dec. 31, 2023
USD ($)
Dec. 31, 2022
USD ($)
Sep. 30, 2022
USD ($)
Dec. 31, 2023
USD ($)
segment
Dec. 31, 2022
USD ($)
Segment Reporting Information [Line Items]          
Project costs on investment and other spending $ 14 $ 5   $ 20 $ 11
Number of reportable segments | segment       2  
Number of operating segments | segment       2  
Goodwill impairment       $ 581  
Number of operating segments | segment       2  
Number of reportable segments | segment       2  
Project costs on investment and other spending $ 14 5   $ 20 11
Medical Unit          
Segment Reporting Information [Line Items]          
Goodwill impairment       581 $ 863
Medical          
Segment Reporting Information [Line Items]          
Goodwill impairment   $ 709 $ 154 $ 581  
v3.24.0.1
Segment Information (Revenue by Reportable Segment) (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2023
Dec. 31, 2022
Segment Reporting Information [Line Items]        
Total revenue $ 57,445 $ 51,469 $ 112,208 $ 101,072
Operating Segments        
Segment Reporting Information [Line Items]        
Total revenue 57,448 51,470 112,214 101,076
Operating Segments | Pharmaceutical        
Segment Reporting Information [Line Items]        
Total revenue 53,520 47,673 104,526 93,501
Operating Segments | Medical        
Segment Reporting Information [Line Items]        
Total revenue 3,928 3,797 7,688 7,575
Corporate        
Segment Reporting Information [Line Items]        
Total revenue (3) (1) (6) (4)
Pharmaceutical Distribution and Specialty [Member] | Operating Segments | Pharmaceutical        
Segment Reporting Information [Line Items]        
Total revenue 53,190 47,391 103,872 92,938
Nuclear Precision Health Services [Member] | Operating Segments | Pharmaceutical        
Segment Reporting Information [Line Items]        
Total revenue 330 282 654 563
Medical distribution and products [Member] | Operating Segments | Medical        
Segment Reporting Information [Line Items]        
Total revenue 3,167 3,099 6,243 6,239
Cardinal Health At Home [Member] | Operating Segments | Medical        
Segment Reporting Information [Line Items]        
Total revenue $ 761 $ 698 $ 1,445 $ 1,336
v3.24.0.1
Segment Information (Segment Profit by Reportable Segment) (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2023
Dec. 31, 2022
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]        
Total operating earnings $ 482 $ (119) $ 468 $ 18
Operating Segments        
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]        
Total operating earnings 589 481 1,167 904
Operating Segments | Pharmaceutical        
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]        
Total operating earnings 518 464 1,025 895
Operating Segments | Medical        
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]        
Total operating earnings 71 17 142 9
Corporate        
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]        
Total operating earnings $ (107) $ (600) $ (699) $ (886)
v3.24.0.1
Segment Information Revenue From External Customers By Geographic Areas (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2023
Dec. 31, 2022
Segment Revenue from External Customers by Geographic Area [Line Items]        
Revenue $ 57,445 $ 51,469 $ 112,208 $ 101,072
UNITED STATES        
Segment Revenue from External Customers by Geographic Area [Line Items]        
Revenue 56,241 50,333 109,798 98,810
Non-US [Member]        
Segment Revenue from External Customers by Geographic Area [Line Items]        
Revenue 1,207 1,137 2,416 2,266
Operating Segments        
Segment Revenue from External Customers by Geographic Area [Line Items]        
Revenue 57,448 51,470 112,214 101,076
Corporate        
Segment Revenue from External Customers by Geographic Area [Line Items]        
Revenue $ (3) $ (1) $ (6) $ (4)
v3.24.0.1
Segment Information (Assets by Reportable Segment) (Details) - USD ($)
$ in Millions
Dec. 31, 2023
Jun. 30, 2023
Segment Reporting Information [Line Items]    
Total assets $ 46,573 $ 43,417
Operating Segments | Pharmaceutical    
Segment Reporting Information [Line Items]    
Total assets 31,018 28,077
Operating Segments | Medical    
Segment Reporting Information [Line Items]    
Total assets 9,817 10,130
Corporate    
Segment Reporting Information [Line Items]    
Total assets $ 5,738 $ 5,210
v3.24.0.1
Share-Based Compensation (Narrative) (Details)
$ in Millions
 3 Months Ended 6 Months Ended
Dec. 31, 2023
USD ($)
Dec. 31, 2022
USD ($)
Dec. 31, 2023
USD ($)
Dec. 31, 2022
USD ($)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Tax benefit related to share-based compensation $ 4 $ 3 $ 8 $ 6
Restricted Share Units        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Award vesting period (in years)     3 years  
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Amount 103   $ 103  
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Period for Recognition     2 years  
Performance Share Units        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Vesting Period in years for Shares     3  
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Amount $ 60   $ 60  
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Period for Recognition     2 years  
Performance Share Units | Minimum | Fiscal 2022 [Member]        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Target performance goal (as a percent)     0.00%  
Performance Share Units | Minimum | Fiscal 2023 [Member]        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Target performance goal (as a percent)     0.00%  
Performance Share Units | Minimum | Fiscal 2024 [Member]        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Target performance goal (as a percent)     0.00%  
Performance Share Units | Maximum | Fiscal 2022 [Member]        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Target performance goal (as a percent)     234.00%  
Performance Share Units | Maximum | Fiscal 2023 [Member]        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Target performance goal (as a percent)     234.00%  
Performance Share Units | Maximum | Fiscal 2024 [Member]        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Target performance goal (as a percent)     240.00%  
v3.24.0.1
Share-Based Compensation (Schedule of Total Share-Based Compensation Expense by Type of Award) (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2023
Dec. 31, 2022
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Total share-based compensation $ 28 $ 25 $ 57 $ 48
Restricted Share Unit        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Total share-based compensation 17 15 38 32
Performance Share Unit        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Total share-based compensation $ 11 $ 10 $ 19 $ 16
v3.24.0.1
Share-Based Compensation (Schedule of All Transactions Related to Restricted Share Units Under the Plans) (Details) - Restricted Share Units
$ / shares in Units, shares in Millions, $ in Millions
 6 Months Ended
Dec. 31, 2023
USD ($)
$ / shares
shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]  
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Period for Recognition 2 years
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Amount | $ $ 103
Restricted Share Units  
Nonvested at beginning of period (in shares) | shares 2.2
Granted (in shares) | shares 0.9
Vested (in shares) | shares (1.0)
Canceled and forfeited (in shares) | shares (0.1)
Nonvested at end of period (in shares) | shares 2.0
Weighted-Average Grant Date Fair Value per Share  
Nonvested at beginning of period (in usd per share) | $ / shares $ 57.37
Granted (in usd per share) | $ / shares 90.69
Vested (in usd per share) | $ / shares 60.80
Canceled and forfeited (in usd per share) | $ / shares 69.55
Nonvested at end of period (in usd per share) | $ / shares $ 69.44
v3.24.0.1
Share-Based Compensation (Schedule of All Transactions Related to Performance Share Units Under the Plans) (Details) - Performance Share Units
$ / shares in Units, shares in Millions, $ in Millions
 6 Months Ended
Dec. 31, 2023
USD ($)
$ / shares
shares
Performance Share Units  
Nonvested at beginning of period (in shares) | shares 1.2
Granted (in shares) | shares 0.6
Vested (in shares) | shares (0.4)
Canceled and forfeited (in shares) | shares 0.0
Nonvested at end of period (in shares) | shares 1.4
Weighted-Average Grant Date Fair Value per Share  
Nonvested at beginning of period (in usd per share) | $ / shares $ 82.17
Granted (in usd per share) | $ / shares 94.66
Vested (in usd per share) | $ / shares 62.26
Canceled and forfeited (in usd per share) | $ / shares 0
Nonvested at end of period (in usd per share) | $ / shares $ 96.55
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Amount | $ $ 60
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Period for Recognition 2 years
v3.24.0.1
Subsequent Events (Details)
$ in Millions
 5 Months Ended
Jun. 30, 2024
USD ($)
Subsequent Event  
Subsequent Event [Line Items]  
Payments to Acquire Businesses, Gross $ 1,200