Charges (credits) associated with last-in, first-out inventory method
McKesson Charges (credits) associated with last-in, first-out inventory method decreased by 106.4% to -$7.00M in Q2 2025 compared to the prior quarter. Year-over-year, this metric declined by 250.0%, from -$2.00M to -$7.00M. This is a positive signal — lower values indicate better performance for this metric.
Analysis
How to read this metric
An increase typically signals rising input costs for inventory, which may pressure future margins.
Detailed definition
This adjustment accounts for the difference between inventory valued under the Last-In, First-Out (LIFO) method and othe...
Peer comparison
Common among retailers using LIFO to manage tax liabilities during inflationary periods.
operating_inventory_lifo_reserve_period_chargeHistorical Data
| Q1 '22 | Q2 '22 | Q1 '23 | Q2 '23 | Q3 '23 | Q1 '24 | Q2 '24 | Q3 '24 | Q4 '24 | Q1 '25 | Q2 '25 | Q3 '25 | Q4 '25 | Q1 '26 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Value | -$23.00M | -$13.00M | -$13.00M | $100.00M | $2.00M | $32.00M | -$36.00M | $89.00M | -$242.00M | -$2.00M | -$16.00M | -$10.00M | $110.00M | -$7.00M |
| QoQ Change | — | +43.5% | +0.0% | +869.2% | -98.0% | >999% | -212.5% | +347.2% | -371.9% | +99.2% | -700.0% | +37.5% | >999% | -106.4% |
| YoY Change | — | — | +43.5% | +869.2% | — | +346.2% | -136.0% | >999% | — | -106.3% | +55.6% | -111.2% | +145.5% | -250.0% |
Business Segments
| Segment | Q2 '24 | Q3 '24 | Q4 '24 | Q1 '25 | Q2 '25 | Q3 '25 | Q4 '25 | Q1 '26 |
|---|---|---|---|---|---|---|---|---|
| U.S. Pharmaceutical | $55.00M | $2.00M | -$246.00M | -$2.00M | -$2.00M | $89.00M | $0.00 | -$7.00M |
| Total | -$36.00M | $89.00M | -$242.00M | -$2.00M | -$16.00M | -$10.00M | $110.00M | -$7.00M |
U.S. Pharmaceutical was previously reported and has since been discontinued or reclassified. Only currently active segments are shown in the chart.
Charges (credits) associated with last-in, first-out inventory method at Other Companies
Frequently Asked Questions
- What is McKesson's charges (credits) associated with last-in, first-out inventory method?
- McKesson (MCK) reported charges (credits) associated with last-in, first-out inventory method of -$7.00M in Q2 2025.
- How has McKesson's charges (credits) associated with last-in, first-out inventory method changed year-over-year?
- McKesson's charges (credits) associated with last-in, first-out inventory method decreased by 250.0% year-over-year, from -$2.00M to -$7.00M.
- What does charges (credits) associated with last-in, first-out inventory method mean?
- An adjustment to profit that accounts for the effects of inflation on inventory costs.