McKesson Has Profit After Last Year’s Loss

McKesson Corp. reported a jump in first-quarter profit after new accounting standards caused a dramatic profit loss last year.

For the quarter ended June 30, McKesson reported net income of $27.5 million, or 61 cents a share, compared to a loss of $85.2 million, or $2.24 loss a share, for the same quarter in the last fiscal year.

McKesson, which is headquartered in San Francisco, is a leading distributor of pharmaceuticals and related health care products.

Company spokesman Marvin Krasnansky said the loss reported last year was the result of new accounting standards and did not affect the company’s cash flow.

Without taking into consideration the new accounting standards, McKesson actually reported a 9% rise in profit, company officials said.

McKesson said revenues were up 26.6% to $2.8 billion, compared to $2.2 billion a year earlier.