McKesson 4Q Profit Falls Following Write-down

The company forecast a profit below Wall Street estimates for fiscal 2010, citing weaker technology revenue and pricing pressure. In aftermarket trading, its shares fell $1.61, or 4.1 percent, to $37.50 after closing the regular session up $1.18 at $39.11.

The drug distributor said it expects to earn between $3.90 and $4.05 per share for the year, down slightly from its adjusted profit of $4.07 per share reported for fiscal 2009.

Analysts are expecting $4.09 per share, on average.

Chairman and Chief Executive John Hammergren said technology revenue slowed as fiscal 2009 progressed, and drug distribution revenue also took a hit due to the economic slump. He said the company's U.S. business was experiencing profit margin pressure, and McKesson has become more conservative on capital spending in response to economic conditions.