The company completed acquisitions within the technology and value-added services segment, contributing to the increase in net sales. The acquisition of Shield Healthcare also drove growth in the medical segment.

The One Schein initiative, a unified go-to-market approach, is designed to allow practitioners to work synergistically with the company's supply chain, equipment sales, and value-added services. This aims to provide customers with streamlined access to a comprehensive offering of products and solutions.

The company's restructuring plan, focused on funding strategic priorities and streamlining operations, has been extended through the end of 2024. Restructuring costs of $10 million were recorded in the current quarter, primarily related to severance and lease exit costs.

The company is focused on re-establishing relationships with episodic customers impacted by the October 2023 cyber incident. Programs are planned and underway to address this, and the company maintains cyber insurance with a $60 million policy following a $5 million retention.

The residual impact of the October 2023 cyber incident continues to affect sales to episodic customers. The company incurred $5 million in expenses directly related to the cyber incident during the quarter.

The company is involved in multiple opioid-related lawsuits and a qui tam lawsuit under the False Claims Act, which could result in significant legal costs and potential damages. The company intends to defend itself vigorously against these actions.

The company acknowledges the impact of economic conditions, including inflation and fluctuations in currency values, as well as intense competition in the health care industry, as potential risks to future performance.

The company's broad product portfolio allows it to offer lower-cost national brand solutions or corporate brand alternatives to price-sensitive customers, helping to protect gross profit.

The company believes it is well-positioned to capitalize on industry consolidation by supporting increased sales through its existing infrastructure. However, it also faces increased competition from larger, consolidated entities.

Accounts receivable days sales outstanding increased due to the cyber incident, while inventory turns also increased. The company wrote off $2 million of fully reserved accounts receivable.

The company has strategically located distribution centers around the world to better serve customers and increase operating efficiency.

The technology and value-added services segment experienced a 13.8% increase in net sales, driven by increased cloud-based practice management software users and revenue cycle management services.

The company has repurchased $4.8 billion of common stock under its share repurchase program, with $190 million remaining available for future repurchases.

The company continues to invest in acquisitions, particularly in the technology and medical segments, to expand its product and service offerings and geographic footprint.

The company notes that the aging population, increased healthcare awareness, and proliferation of medical technology contribute to growth in the healthcare products distribution industry.

The company faces challenges related to government regulations, healthcare fraud enforcement, and efforts to control medical costs, including potential changes to reimbursement rates.