Medline beats first quarter 2026 revenue estimates with 10.7% growth and raises sales guidance, though profits declined.

Medline reported first quarter 2026 net sales of $7.4 billion, a 10.7% increase year-over-year, and adjusted diluted EPS of $0.33. While sales growth was strong, driven by new customer implementations, net income declined 25.8% to $239 million due to higher costs.

Key Highlights

• The company raised its full-year 2026 organic sales growth guidance to a range of 8.5% to 9.5%, up from its previous outlook of 8% to 9%.
• Profitability declined, with Adjusted EBITDA decreasing by 10.6% to $776 million and net profit margin contracting to 3.3% from 4.8% in the prior-year period.
• The decline in profitability was attributed to higher costs of goods sold, including tariffs, and increased operating expenses to support new customer growth.