Consistent Revenue Growth

Cencora has seen consistent revenue growth over the past decade to the tune of 10.4% CAGR. They reported last year just under $300 billion in revenue. Their cost of goods sold scales hand in hand with their revenue growth though, meaning that as the revenue increases the gross profit is gross profit is going up but not the gross profit margin. They are a low margin company in a low margin industry. They and their two main competitors (Cardinal Health, McKesson) both share margins in the 3-4% range.

Operating expenses have climbed with their increase in revenue volume but not negatively. This has left Cencora with a growing operating income to the tune of over $3 Billion dollars last year. Net Income has also grown year over year at 12%.

It looks to these untrained eyes that Cencora has been trending well for the last decade.