Cardinal Health names new CEO, gains mixed quarter figures
Despite witnessing a slight increase in revenue, and pharmaceutical sales growing to $28.9 billion, Cardinal Health is seeing increased competition in the drugs pricing market despite its partnership with CVS Health. This is in addition to the threat of booming businesses such as Amazon, who could be set to join the industry.
At present, the business’ stock pricing is down by over 20%. To counteract such uncertainties, the business has named its new CEO. Former Chief Financial Officer Mike Kauffman is set to take the helm and replace George Barrett at the start of 2018, in order to streamline the business, enable competitive pricing and push the approval of new treatments at a quicker pace to boost further revenue and increase in stock pricing.
"Fiscal year 2018 started largely as we expected and included strong performance from many of our business lines across the segments," commented present CEO George Barrett in a statement. "With one quarter behind us, we remain comfortable with our full-year guidance. We're excited to have closed the Patient Recovery transaction during Q1 and are pleased to report the integration is going well."
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- VitalConnect Inc has closed its final Series C round, acquiring $38 million
With extensive experience at Cardinal Health, Kauffman has worked for the business for nearly 30 years and has advanced knowledge of the business’ internal operations, in addition to the challenges the role will present both nationally and internationally. Kauffman has also played an essential part in building relationships with Cardinal Health’s partners, such as CVS Health.
“I am honoured to be selected as Cardinal Health's next chief executive,” said Kaufmann. “George has built a powerful legacy and strategy that I am proud to have helped craft.
I look forward to working with him and our incredibly talented and dedicated team to build on the strong foundation we have in place and further enhance the value we provide to all of our stakeholders, while never losing sight of our ultimate goal of supporting our partners in the critical work they do serving patients and their families.”
Zoom enters the healthcare market - a timeline
Since the pandemic began Zoom has become an integral part of daily life for people working from home, as well as a vital tool for families and friends to communicate. However it's also been eyeing up the healthcare space since 2017, and following the boom in telehealth the company has been rolling out additional services. Here we chart Zoom's move into healthcare.
2011 - 2013
Zoom is founded in San Jose, California, by Eric Yuan, formerly of Cisco. He got the idea to create a video calling platform from his visits to his girlfriend while he was a student, which would take 10 hours by train.
A beta version is released in 2012, which can host up to 15 participants. In 2013 this rises to 25. By mid-2013, Zoom has 1 million users.
2014 - 2017
Zoom attracts investors, including Sequoia Capital, Emergence and Horizon Ventures. By January 2017, Zoom has a series D funding worth $100 million.
2017 - 2019
Zoom for Telehealth launches, including an integration with EHR system Epic. It has cloud-based video, audio, and content sharing features, a "waiting room" for patients, and can easily be integrated into healthcare provider's workflows.
In 2019 Zoom goes public, with its IPO rising 72% in one day.
As a result of the pandemic, Zoom gains 2.2 million new users, more than in the whole of 2019. On the 23rd of March alone - the day the UK lockdown was announced - the platform was downloaded 2.13 million times around the world.
Share prices rise to around $150, and founder and chief executive Eric Yuan becomes one of the world's richest people, with an estimated net worth of $7.9 billion.
Early security issues are addressed by encrypting data with the Advanced Encryption Standard (AES). By now the the platform allows 99 people to be on a call simultaneously
New features launch, including Zoom Home and Zoom for Chats. Throughout the year the platform is used to replace most kinds of real life events: work meetings, online classrooms, church services and social events.
Renamed Zoom for Healthcare, users can share secured video, audio, and content through desktops, mobile phones, and conference devices. As well as Epic, it can be integrated with Strmr, IntakeQ, and Practice Better.
It can also be used with diagnostic cameras and other point-of-care devices, including digital stethoscopes.
In an interview with Korea Biomedical Review, Zoom Global Healthcare Lead Ron Emerson said: "Our service is not simply a virtual care and telemedicine platform but a multi-purpose platform that can satisfy the needs of healthcare institutions."
"It can be used for administrative tasks, including telemedicine, medical team meetings, recruitment, medical education, employee training, and disease prevention. Analysing electronic records managed by Zoom could provide meaningful insights into patient care."
Phoenix Children's Hospital, Belfast's Hospital Services Limited, Butler Health Services and the global Project ECHO are among Zoom for Healthcare's current customers.