Medline (MDLN) investor relations material

Opening remarks and company overview

• Introduced as a first-time public company at the conference, highlighting a 59-year history and transition from private to public ownership.

• Emphasized a mission to improve healthcare outcomes and reduce costs through a broad product portfolio and supply chain strength.

• Reported trailing 12-month revenue of $27.4 billion and 58 years of consecutive growth at an 18% CAGR.

• Noted a workforce of 43,000 and a vast distribution network with 29 million sq ft and $4.5 billion in inventory.

Business model, growth strategy, and market dynamics

• Business split nearly 50/50 between Medline brand and distributed products, with higher margins on branded items.

• Prime Vendor model drives growth, with $2.1 billion in new business closed in the first three quarters of 2025 and a $1 billion annual target.

• Brand conversion rates in hospitals have grown from 20% to 60%, with a goal of 75% in five years.

• Non-acute care markets (surgery centers, physician offices, nursing homes) expected to grow faster than acute care, offering significant opportunity.

• Only supply chain provider serving every point of care, leveraging vertical integration and a unique competitive moat.

Innovation, M&A, and operational excellence

• Over 400 510(k)s, 2,100 patents, and 600 pending applications, focusing on Class I and II devices.

• 90% of growth has been organic, with selective M&A for strategic expansion (e.g., DiaMed, Ecolab surgical solutions, Sinclair Dental, animal health).

• Heavy investment in supply chain automation and robotics, with CapEx 5-6x higher than competitors.

• Culture of extreme ownership and agility, with a focus on customer value and continuous improvement.