Medline Secures $2.4B New Contracts, Guides 8–9% Organic Growth for 2026
Medline reported a record $2.4 billion in new prime vendor contracts in 2025 and expects 8–9% organic sales growth in 2026 driven by new customer signings and same-store sales. The company plans to mitigate tariff impacts over four to five months while expanding faster in lab, diagnostics and non-acute care segments.
1. Q4 2025 Contract Wins
Medline closed a record $2.4 billion in prime vendor contracts during 2025, driven by strong demand in lab, diagnostics and post-acute care. This performance underscores growing hospital preference for value-focused supply partners.
2. 2026 Growth Guidance
The company set 2026 organic sales growth guidance at 8–9%, citing new customer signings and same-store sales momentum. Supply chain sales are expected to outpace Medline Brand performance.
3. Tariff Impact and Mitigation
Tariff changes are projected to affect inventory costs over the next four to five months, with a structured playbook to mitigate margin pressures. Medline has absorbed most existing tariffs and will adjust as clarity improves.
4. Expansion in Non-Acute Segments
Non-acute settings are growing faster than acute care, prompting Medline to focus on expansion in home health, lab and diagnostics channels. The strategy aims to capture accelerated healthcare consolidation trends.