MASHINIi

Cardinal Health Inc.

CAH.US | Wholesale of other household goods

Cardinal Health, Inc. is a global healthcare services and products company. It operates through two segments: Pharmaceutical and Medical. The Pharmaceutical segment distributes branded and generic pharmaceutical products, specialty pharmaceuticals, and over-the-counter healthcare products to pharmac...Show More

Ethical Profile

Mixed.

Cardinal Health's ethical profile is mixed. The company faced a 2021 EEOC settlement over racial harassment and retaliation allegations. However, its Foundation invested nearly $2.6 million in suicide prevention and $2.5 million in food insecurity grants, also dispensing $2.59 million in no-cost prescriptions. Cardinal Health reports female employees earn 98.6 cents for every dollar earned by males for similar work. Environmentally, it reduced Scope 1 and 2 emissions by 13% by FY23, targeting 50% by 2030, and its Sustainable Technologies business diverted over 5.6 million pounds of waste in FY22.

Value Scores

Better Health for All20
-100100
Fair Money & Economic Opportunity0
-100100
Fair Pay & Worker Respect10
-100100
Fair Trade & Ethical Sourcing0
-100100
Honest & Fair Business0
-100100
Kind to Animals0
-100100
No War, No Weapons0
-100100
Planet-Friendly Business-30
-100100
Respect for Cultures & Communities-20
-100100
Safe & Smart Tech10
-100100
Zero Waste & Sustainable Products-20
-100100

Better Health for All

20

Cardinal Health's core business as a global healthcare services and products company inherently provides substantial health benefits. In September 2024, the company expanded its oncology care services through a $1.12 billion acquisition of Integrated Oncology Network

1
, integrating over 100 healthcare providers to enhance access to cancer care
2
. The Outcomes™ digital ecosystem, launched in April 2021, supports over 23 million patients by improving medication adherence and health outcomes
3
. The Cardinal Health Foundation was recognized as the 2024 Community Partner of the Year for its commitment to health equity
4
, including dispensing over 20,000 no-cost prescriptions valued at $2.59 million for underserved communities in Ohio
5
. The Foundation also invested nearly $2.6 million in suicide prevention and mental health services, launching a national Zero Suicide Collaborative
6
, and approximately $2.5 million in grants to address food insecurity and housing instability
7
.

Fair Money & Economic Opportunity

0

Cardinal Health is a healthcare services and products company, not a financial institution offering consumer lending, deposit, or other financial services. Consequently, KPIs related to financial products and services, such as APRs, fee structures, loan/insurance books, customer finance data, debt products, and financial literacy programs, are not applicable. While the company and its Foundation provided nearly $22 million in cash and product donations in 2023, including a $500,000 grant for the Equity Rx program

1
and $1.7 million for youth mental health
2
, these are general charitable contributions and do not align with the specific definition of profit reinvestment in community finance or profit-sharing with underserved communities as a percentage of pre-tax profit. The company supports diverse supplier partnerships, engaging with 4,696 diverse suppliers, including 666 women and/or minority-owned businesses
3
, to foster economic growth, but this does not constitute a loan/insurance book. Additionally, the Equity Rx program provided over 20,000 prescriptions to more than 3,200 underserved patients at no cost
4
, and the company manages pharmacies at over 60 Community Health Centers serving medically underserved populations
5
, focusing on healthcare access rather than financial service access points.

Fair Pay & Worker Respect

10

Cardinal Health's annual pay equity study in 2023 found that female employees performing substantially the same work as their male counterparts are paid 98.6 cents for every dollar earned by males.

1
The company was included in the 2023 Bloomberg Gender-Equality Index
2
and achieved a 100% rating on the Human Rights Campaign Foundation's Corporate Equality Index for the 14th consecutive year.
3
In 2021, Cardinal Health settled a lawsuit with the U.S. Equal Employment Opportunity Commission (EEOC) for $1.45 million, addressing allegations of racial harassment and retaliation against African American employees.
4
As part of the settlement, the company agreed to implement measures to prevent future discrimination, including retaining an equal employment opportunity monitor and providing discrimination training.
5

Fair Trade & Ethical Sourcing

0

Cardinal Health has implemented a Conflict Minerals Policy to promote ethical sourcing, detailing due diligence efforts in its Conflict Minerals Report.

1
As of March 2024, 63% of smelters and refiners were conformant with the Responsible Minerals Assurance Process.
2
The company also adopts a Global Human Rights and Labor Standards policy, requiring suppliers to comply with these initiatives.
3
Cardinal Health actively promotes diversity within its supplier base, fostering relationships with businesses owned by ethnic minorities, women, LGBTQ+ individuals, veterans, and other disadvantaged groups.
4
In June 2023, the company was recognized for its commitment to supply chain transparency, receiving the HIRC Transparency Partner Badge for efforts in mapping final assembly locations.
5

Honest & Fair Business

0

Cardinal Health has established comprehensive Standards of Business Conduct to foster a culture of integrity and ensure compliance with legal and regulatory requirements.

1
The company has implemented a robust whistleblower policy that includes procedures for independent reporting and investigation, along with protections for whistleblowers.
2
In 2023, Cardinal Health was recognized among the 100 Best Corporate Citizens by 3BL Media for its commitment to ethical practices, strong corporate governance, and transparency in ESG performance.
3
Additionally, in 2023, the Healthcare Industry Resilience Collaborative (HIRC) awarded the company the Transparency Partner Badge, acknowledging its efforts in supply chain transparency and resiliency.
4

Kind to Animals

0

Cardinal Health's publicly available resources, including ESG reports, indicate minimal direct involvement with animal welfare issues

1
. The company does not appear to engage in animal testing or have significant interactions with animal-derived products, sourcing, or animal-related operations
2
. While Cardinal Health has committed to reducing Scope 1 and Scope 2 greenhouse gas emissions by 50% by 2030
3
, and these targets are approved by SBTi
4
, these environmental initiatives are not directly tied to animal welfare or measurable biodiversity impact.

No War, No Weapons

0

Cardinal Health received contracts totaling approximately $9 billion from the Department of Veterans Affairs and the Defense Logistics Agency for medical and surgical supplies.

1
These contracts support U.S. military branches and federal agencies but do not relate to arms manufacturing or direct military involvement.
2

Planet-Friendly Business

-30

Cardinal Health's GHG emissions reduction targets have been approved by the Science Based Targets initiative, aiming to reduce absolute Scope 1 and 2 emissions by 50% by 2030.

1
The company achieved a 13% reduction in these emissions by the end of fiscal 2023, compared to fiscal 2019.
2
In 2023, Cardinal Health diverted 42% of medical waste from landfills through recycling programs
3
and targets a 65% diversion rate by 2026.
4
A life cycle assessment revealed reprocessed compression sleeves had a 40% lower carbon footprint and decreased hospital waste disposal costs by 90%.
5
Cardinal Health redesigned its packaging in 2023, which is expected to eliminate over 169,000 pounds of packaging waste in fiscal 2024.
6
Its Sustainable Technologies™ diverted over 5.6 million pounds of waste from landfills in fiscal 2022.
7
The company plans to power its headquarters and logistics center with renewable energy starting in early 2022.
8

Respect for Cultures & Communities

-20

Cardinal Health Canada is a certified Business Member of the Canadian Council for Indigenous Business.

1
The company acknowledges the Territory and Treaty 13 lands of the Mississaugas of the Credit First Nation
2
and aligns its actions with the United Nations Declaration on the Rights of Indigenous Peoples.
3
It engages in training and education to build sustainable relationships with Indigenous communities, aiming for economic and cultural reconciliation.
4
In August 2021, Cardinal Health announced a talent strategy to increase the representation of Indigenous and other ethnically diverse groups in U.S. leadership roles by 2030.
5
The company also strengthens communities through philanthropic donations and volunteerism, working with partners to address challenges such as youth suicide and food insecurity, with a focus on equitable health outcomes in communities where employees live and work.
6

Safe & Smart Tech

10

In 2024, Cardinal Health introduced a comprehensive Responsible AI Policy.

1
This policy includes principles for Trusted and Inclusive AI, emphasizing diverse team involvement to prevent unfair biases and ensure transparency, and Effective, Safe, and Secure AI, which involves rigorous evaluation and monitoring processes.
2
The company has established AI-specific governance structures with executive oversight and dedicated resources for responsible AI practices.
3
In May 2024, leadership discussed strategic AI integration to enhance healthcare services.
4
In July 2024, an AI-powered virtual assistant named CHIA was deployed for customer service, resolving queries in under two minutes.
5
As of October 2024, the company was recruiting a Vice President, Privacy, to oversee its Global Privacy Program and align IT security with privacy compliance.
6

Zero Waste & Sustainable Products

-20

Cardinal Health has implemented several waste reduction initiatives. The company redesigned packaging for Presource surgical kits, which is expected to eliminate over 169,000 pounds of packaging waste in fiscal 2024.

1
Its Sustainable Technologies business reprocesses single-use medical devices, diverting over 5.6 million pounds of waste from landfills in fiscal 2022.
2
Additionally, new half-fold packaging for surgical gloves results in dispenser boxes that are at least 30% smaller and use at least 15% less cardboard, with individual pouches being at least 48% smaller.
3
Over 95% of the company's surgical gloves utilize recyclable, paper-based wrap materials.
4
These efforts demonstrate the application of circular design principles to several product categories.

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AI-generated analysis based on publicly available data. Not financial advice. Ratings are expressions of opinion derived from automated models and may contain inaccuracies. See our Risk Disclosure for full details.