Revenue growth remains strong at an average of 17.93% year-over-year, yet profitability is constrained by a narrow 19.47% average gross margin that leaves little buffer for operational cost fluctuations.
| Sales/Revenue | 1.46B | 1.45B | 1.23B | 1.05B | 908.91M | 792.07M | 735.96M | 698.29M | 600.37M |
| Revenue Growth % | 13.54% | 17.93% | 17.42% | 15.1% | 14.75% | 7.62% | 5.39% | 16.31% | - |
| Cost of Goods Sold | 1.16B | 1.17B | 984.04M | 837.88M | 723.04M | 630.81M | 588.96M | 554.83M | 477.33M |
| COGS % of Revenue | - | 80.53% | 80.11% | 80.09% | 79.55% | 79.64% | 80.03% | 79.46% | 79.51% |
| Gross Profit | 294M | 282.04M | 244.37M | 208.31M | 185.87M | 161.26M | 147M | 143.46M | 123.03M |
| Gross Margin % | 20.19% | 19.47% | 19.89% | 19.91% | 20.45% | 20.36% | 19.97% | 20.54% | 20.49% |
| Gross Profit Growth % | - | 15.42% | 17.31% | 12.08% | 15.25% | 9.7% | 2.47% | 16.6% | - |
| Operating Expenses | 200.42M | 193.13M | 307.29M | 167.36M | 133.88M | 131.12M | 114.94M | 109.36M | 97.1M |
| OpEx % of Revenue | - | 13.33% | 25.02% | 16% | 14.73% | 16.55% | 15.62% | 15.66% | 16.17% |
| Selling, General & Admin | 227.31M | 220.02M | 307.29M | 167.36M | 133.88M | 131.12M | 102.54M | 97.56M | 87.84M |
| SG&A % of Revenue | - | 15.19% | 25.02% | 16% | 14.73% | 16.55% | 13.93% | 13.97% | 14.63% |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| R&D % of Revenue | - | - | - | - | - | - | - | - | - |
| Other Operating Expenses | -1000K | -26.89M | 0 | 0 | 0 | 0 | 12.4M | 11.8M | 9.26M |
| Operating Income | 93.58M | 88.91M | -62.92M | 40.95M | 51.99M | 30.15M | 32.06M | 34.1M | 25.93M |
| Operating Margin % | 6.43% | 6.14% | -5.12% | 3.91% | 5.72% | 3.81% | 4.36% | 4.88% | 4.32% |
| Operating Income Growth % | - | 241.31% | -253.67% | -21.24% | 72.44% | -5.97% | -5.97% | 31.5% | - |
| EBITDA | 111.63M | 111.25M | -43.15M | 59.18M | 68.55M | 46.68M | 49.32M | 49.95M | 39.06M |
| EBITDA Margin % | 7.67% | 7.68% | -3.51% | 5.66% | 7.54% | 5.89% | 6.7% | 7.15% | 6.51% |
| EBITDA Growth % | 362.5% | 357.83% | -172.91% | -13.67% | 46.86% | -5.36% | -1.26% | 27.86% | - |
| D&A (Non-Cash Add-back) | 18.05M | 22.34M | 19.77M | 18.23M | 16.56M | 16.53M | 17.26M | 15.85M | 13.13M |
| EBIT | 83.82M | 88.91M | -63.2M | 40.58M | 51.59M | 29.96M | 31.82M | 33.62M | 25.17M |
| Net Interest Income | -649K | -665K | -3.28M | -2.86M | -1.93M | -1.64M | -2.16M | -2.25M | -1.9M |
| Interest Income | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 649K | 665K | 3.28M | 2.86M | 1.93M | 1.64M | 2.16M | 2.25M | 1.9M |
| Other Income/Expense | -14.97M | -15.49M | -3.56M | -3.23M | -2.33M | -1.82M | -2.4M | -2.73M | -2.66M |
| Pretax Income | 78.61M | 73.42M | -66.48M | 37.72M | 49.66M | 28.33M | 29.66M | 31.37M | 23.27M |
| Pretax Margin % | 5.4% | 5.07% | -5.41% | 3.61% | 5.46% | 3.58% | 4.03% | 4.49% | 3.88% |
| Income Tax | 25.38M | 24.46M | 4.56M | 0 | 0 | 0 | 0 | 0 | 0 |
| Effective Tax Rate % | 32.29% | 33.32% | -6.85% | 0% | 0% | 0% | 0% | 0% | 0% |
| Net Income | 53.07M | 49.22M | -87.29M | 23.9M | 35.42M | 16.31M | 19.94M | 21.75M | 14.68M |
| Net Margin % | 3.64% | 3.4% | -7.11% | 2.28% | 3.9% | 2.06% | 2.71% | 3.11% | 2.44% |
| Net Income Growth % | 165.82% | 156.39% | -465.19% | -32.52% | 117.12% | -18.2% | -8.29% | 48.15% | - |
| Net Income (Continuing) | 52.98M | 48.96M | -71.03M | 37.72M | 49.66M | 28.33M | 29.66M | 31.37M | 23.27M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 11.53M | 12.16M | 7.3M | 31.65M | 33.2M | 29.39M | 28.59M | 27.72M | 25.86M |
| EPS (Diluted) | 0.83 | 0.78 | -1.77 | 0.39 | 0.58 | 0.27 | 0.33 | 0.36 | 0.24 |
| EPS Growth % | 156.08% | 144.07% | -553.85% | -32.76% | 114.81% | -18.18% | -8.33% | 50% | - |
| EPS (Basic) | - | 0.79 | -1.77 | 0.39 | 0.58 | 0.27 | 0.33 | 0.36 | 0.24 |
| Diluted Shares Outstanding | 63.69M | 63.3M | 62.01M | 60.84M | 60.84M | 60.84M | 60.84M | 60.84M | 60.84M |
| Basic Shares Outstanding | 63.32M | 62.39M | 62.01M | 60.84M | 60.84M | 60.84M | 60.84M | 60.84M | 60.84M |
| Dividend Payout Ratio | - | - | - | 160.75% | 86.97% | 106.39% | 54.23% | 114.56% | 156.1% |
Margin Compression from PBMs
As evidenced by the reported 17.93% average year-over-year revenue growth across recent quarters, Guardian Pharmacy Services continues to capture market share within the fragmented long-term care pharmacy sector, suggesting that their decentralized service model remains highly effective at attracting and retaining assisted living facility contracts.
The consistent double-digit revenue growth indicates that the company's local-autonomy strategy is successfully scaling, likely driven by both new facility onboarding and increased penetration within existing client bases. Investors should monitor whether this growth trajectory can be maintained without diluting the service-level intimacy that currently differentiates the firm from centralized national competitors.
Based on the company's reported gross margin of 19.47%, Guardian Pharmacy Services operates within the narrow economic confines typical of pharmaceutical distribution, which leaves the firm with limited buffer to absorb potential volatility in drug procurement costs or unfavorable shifts in generic dispensing rates.
The thin margin profile underscores the company's reliance on high-volume dispensing, suggesting that profitability is highly sensitive to external reimbursement pressures. Unless the firm can successfully pivot toward higher-margin clinical consulting or proprietary technology fees, margin expansion may remain elusive in the current competitive landscape.
According to the provided financial data, operating income has failed to scale consistently with revenue, as evidenced by the volatile operating margins that dipped to 3.7% in 2025Q2, suggesting that the company's decentralized operating model may be incurring significant overhead costs that prevent meaningful margin expansion.
The lack of clear operating leverage implies that the costs associated with maintaining local pharmacy hubs are rising in tandem with revenue, potentially limiting the firm's ability to achieve economies of scale. Analysts should investigate whether management can streamline back-office functions without compromising the localized service model that serves as their primary competitive moat.
As reported in financial statements, the significant volatility in net income, highlighted by the $112.6 million loss in 2024Q3, appears heavily influenced by non-operating items such as substantial stock-based compensation, which complicates the assessment of the company's underlying operational profitability and true earnings power.
The lumpy nature of these expenses suggests that reported EPS may not accurately reflect the core cash-generating capabilities of the business. Investors should focus on adjusted metrics that strip out these non-cash charges to better understand the sustainability of the company's bottom-line performance.
While the company's revenue growth appears robust, the combination of thin gross margins and exposure to wage inflation in the pharmacist labor market suggests that Guardian Pharmacy Services faces significant downside risks if reimbursement rates from PBMs tighten or if operational costs continue to escalate.
Short-sellers would likely focus on the potential for margin compression if the company cannot pass through rising labor and drug costs to facility operators. The reliance on a decentralized model, while a competitive advantage, may also create a structural cost disadvantage if the firm fails to achieve necessary back-office synergies.
Quick answers to the most common questions about buying GRDN stock.
For fiscal year 2025, Guardian Pharmacy Services, Inc. (GRDN) reported total revenue of $1.45B. This represents a 141.3% increase compared to $600.4M in 2018.
Guardian Pharmacy Services, Inc. (GRDN) is profitable, generating $49.2M in net income for the fiscal year ending 2025 with a net profit margin of 3.4%.
Guardian Pharmacy Services, Inc. (GRDN) reported an operating income of $88.9M, resulting in an operating profit margin of 6.1%. This margin reflects the operational efficiency of the business before interest and taxes.
Guardian Pharmacy Services, Inc. (GRDN) generated $282.0M in gross profit for the year, representing a gross profit margin of 19.5%. This demonstrates the company's core pricing power and production efficiency.