Cardinal Health 2008 Annual Report Download - page 132

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The Healthcare Supply Chain Services—Medical segment provides integrated supply chain and logistics
solutions to healthcare customers in the United States and Canada. These solutions include sterile and non-sterile
kitting and distribution of medical surgical products into hospitals, surgery centers, laboratories and physician
offices.
The Clinical Technologies and Services segment develops, manufactures, leases and sells medical
technologies products to hospitals and other healthcare providers, including intravenous medication safety and
infusion therapy delivery systems, software applications, needle-free disposables and related patient monitoring
equipment and dispensing systems that automate the distribution and management of medications in hospitals
and other healthcare facilities. The segment also develops, manufactures, leases and sells dispensing systems for
medical supplies and provides pharmacy services and clinical intelligence solutions.
The Medical Products and Technologies segment develops, manufactures and sources medical and surgical
products and technologies for distribution to hospitals, physician offices, surgery centers and other healthcare
providers.
The following table includes revenue for each reportable segment and reconciling items necessary to agree
to amounts reported in the consolidated financial statements for the fiscal years ended June 30, 2008, 2007 and
2006:
Segment Revenue
(in millions) 2008 2007 2006
Revenue:
Healthcare Supply Chain Services—Pharmaceutical (1) ............ $79,284.2 $76,572.8 $70,046.9
Healthcare Supply Chain Services—Medical (2) .................. 8,083.5 7,513.9 7,198.6
Clinical Technologies and Services (3) .......................... 2,889.9 2,687.0 2,430.3
Medical Products and Technologies (4) ......................... 2,696.3 1,835.9 1,632.9
Total segment revenue ...................................... $92,953.9 $88,609.6 $81,308.7
Corporate (5) .............................................. (1,862.5) (1,757.6) (1,644.5)
Total consolidated revenue ....................................... $91,091.4 $86,852.0 $79,664.2
(1) The Healthcare Supply Chain Services—Pharmaceutical segment’s revenue is primarily derived from the
distribution of pharmaceutical and healthcare products for all fiscal years presented.
(2) The Healthcare Supply Chain Services—Medical segment’s revenue is primarily derived from the
distribution of medical, surgical, and laboratory products for all fiscal years presented.
(3) The Clinical Technologies and Services segment’s revenue is derived from three main product categories.
These product categories and their respective contributions to revenue are as follows:
Product Category 2008 2007 2006
Pharmacy services and clinical intelligence solutions ...................... 33% 38% 42%
Intravenous medication safety and infusion therapy delivery systems ......... 35% 33% 32%
Dispensing systems ................................................ 32% 29% 26%
Total ............................................................ 100% 100% 100%
(4) The Medical Products and Technologies segment’s revenue is primarily derived from the manufacturing of
medical and surgical products for all fiscal years presented.
(5) Corporate revenue primarily consists of the elimination of inter-segment revenue between the Medical
Products and Technologies and Healthcare Supply Chain Services—Medical segments which includes
$1,121.9 million, $1,045.0 million and $970.6 million, respectively, for the fiscal years ended June 30,
2008, 2007, and 2006.
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