$MDLN

Medline Inc.

CIK:0002046386|SEC Filings

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 27, 2026	Jun. 28, 2025	Jun. 27, 2026	Jun. 28, 2025
Income Statement [Abstract]
Net sales	$ 7,685	$ 6,886	$ 15,037	$ 13,530
Cost of goods sold	5,470	4,981	10,981	9,801
Gross profit	2,215	1,905	4,056	3,729
Operating expense
Selling, general and administrative expenses	1,295	1,073	2,523	2,143
Amortization of intangible assets	177	176	353	351
Other operating expenses	348	14	363	22
Total operating expense	1,820	1,263	3,239	2,516
Operating income	395	642	817	1,213
Other expense
Interest expense, net	(119)	(223)	(255)	(433)
Other loss, net	(42)	0	(41)	0
Foreign exchange gain (loss), net	1	(60)	5	(83)
Total other expense	(160)	(283)	(291)	(516)
Income before income taxes	235	359	526	697
Provision for income taxes	96	26	148	42
Net income	139	333	378	655
Net income attributable to noncontrolling interests	79	0	189	0
Net income attributable to Medline Inc.	$ 60	333	$ 189	655
Earnings per share attributable to Medline Inc.
Basic (in dollars per share)	$ 0.07		$ 0.23
Diluted (in dollars per share)	$ 0.07		$ 0.23
Weighted-average number of Class A common stock outstanding
Basic (in shares)	856,671,262		838,299,245
Diluted (in shares)	860,890,719		842,879,656
Other comprehensive (loss) income, net of tax
Net unrealized loss on derivative instruments	$ (9)	(20)	$ (12)	(50)
Currency translation adjustment	(28)	75	(39)	101
Total other comprehensive (loss) income, net of tax	(37)	55	(51)	51
Total comprehensive income	102	388	327	706
Comprehensive income attributable to noncontrolling interests	66	0	171	0
Comprehensive income attributable to Medline Inc.	$ 36	$ 388	$ 156	$ 706

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Millions	6 Months Ended
	Jun. 27, 2026	Jun. 28, 2025
Cash flows from operating activities
Net income	$ 378	$ 655
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	510	497
Stock-based compensation expense	52	34
Amortization of deferred financing costs	24	30
Deferred taxes	101	(7)
Credit losses	7	39
Unrealized foreign exchange (gain) loss, net	(17)	94
Loss on extinguishment of debt	23	0
Non-cash lease expense	35	35
Fire at distribution center	320	0
Other non-cash adjustments	18	4
Changes in assets and liabilities, net of acquisitions:
Trade accounts receivable	(148)	(149)
Inventories	(116)	(160)
Other assets	(297)	(43)
Accounts payable	89	45
Accrued expenses and other current liabilities	191	(174)
Other liabilities	(43)	(21)
Net cash provided by operating activities	1,127	879
Cash flows from investing activities
Purchases of property and equipment, net	(207)	(208)
Acquisitions of businesses, net of cash acquired	0	6
Cash paid for asset acquisitions	0	(33)
Short-term investments	(350)	0
Net cash used in investing activities	(557)	(235)
Cash flows from financing activities
Proceeds from long-term borrowings	4,733	0
Repayment for long-term borrowings	(4,771)	(19)
Repayment under lines of credit	0	(179)
Proceeds from lines of credit	0	179
Payment for debt issuance cost	(3)	0
Payment for offering costs	(4)	0
Payment towards Class B unit repurchases	0	(15)
Exercise of employee stock options	1	0
Settlement of taxes withheld on stock-based awards	(5)	0
Distributions to partners	0	(303)
Distributions to noncontrolling interests	(123)	0
Net cash used in financing activities	(172)	(337)
Effect of exchange rate changes on cash and cash equivalents and restricted cash	(11)	27
Net change in cash and cash equivalents and restricted cash	387	334
Cash, cash equivalents and restricted cash, beginning of year	1,942	250
Cash, cash equivalents and restricted cash, end of period	2,329	584
Supplemental disclosure of cash flow information:
Cash payments for interest on borrowings	324	472
Cash received from interest rate hedging activities	17	38
Cash payments for income taxes, net	55	26
Non-cash purchases of property, plant and equipment	52	42
Recognition of tax receivable agreement liability	862	0
Recognition of deferred tax assets from equity transactions	$ 391	$ 0

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Millions	Jun. 27, 2026	Dec. 31, 2025
Current assets
Cash and cash equivalents	$ 2,327	$ 1,939
Trade accounts receivable, net of allowance for credit losses of $148 and $152 as of June 27, 2026 and December 31, 2025, respectively	3,661	3,533
Inventories	4,665	4,769
Short-term investments	350	0
Other current assets	739	438
Total current assets	11,742	10,679
Property, plant, and equipment, net	4,697	4,778
Other non-current assets
Goodwill	8,072	8,079
Intangible assets, net	13,538	13,893
Deferred tax assets	866	583
Other long-term assets	435	472
Total other non-current assets	22,911	23,027
Total assets	39,350	38,484
Current liabilities
Current portion of long-term borrowings and other short-term borrowings	29	77
Accounts payable	1,043	961
Accrued expenses and other current liabilities	1,638	1,452
Total current liabilities	2,710	2,490
Non-current liabilities
Long-term borrowings, less current portion	12,548	12,484
Tax receivable agreement liability	4,392	3,542
Other long-term liabilities	623	682
Total non-current liabilities	17,563	16,708
Total liabilities	20,273	19,198
Commitments and contingencies
Stockholders’ equity
Preferred stock	0	0
Additional paid-in capital	11,396	10,717
Retained earnings (accumulated deficit)	182	(7)
Accumulated other comprehensive (loss) income	(6)	27
Total Medline Inc. stockholders’ equity	11,572	10,737
Noncontrolling interests	7,505	8,549
Total stockholders’ equity	19,077	19,286
Total liabilities and stockholders’ equity	39,350	38,484
Class A common stock
Stockholders’ equity
Common stock	0	0
Class B common stock
Stockholders’ equity
Common stock	$ 0	$ 0