Medline Industries Inc. (NYSE: MDLN) FY2025 revenue ~$25-27B (+5-9%) with adj. EPS ~$2.65-3.10 reflecting continued ~190,000+ aggregate medical-surgical product portfolio plus selected ~50%+ US hospital + ~75%+ US nursing home + selected various US healthcare facility distribution coverage plus selected post-October 2025 ~$5B aggregate NYSE IPO (~50M shares at ~$45-55/share initial pricing range) supporting selected various capital structure optimization + selected various investment grade credit upgrade pathway under continued co-Chairman + co-CEO Charlie Mills + co-Chairman Jim Mills + co-CEO Andy Mills (third generation Mills family co-leadership). Largest US privately-held medical-surgical product distributor + manufacturer with operations across medical-surgical product manufacturing + distribution + selected various healthcare services in 100+ countries. Founded 1910 as A.L. Mills + Company in Chicago Illinois by A.L. Mills (~115-year heritage; selected one of US oldest continuing healthcare distributors); selected post-1966 Medline Industries rebrand; selected post-1980s national distribution expansion; selected post-1990s ~190,000+ medical-surgical product portfolio expansion; selected post-October 2021 ~$34B aggregate Medline take-private buyout by Blackstone + Carlyle + Hellman & Friedman + GIC consortium; selected post-October 2025 ~$5B aggregate NYSE IPO (selected one of largest US healthcare IPOs FY2025). Headquartered in Northfield Illinois; ~43,000+ employees globally with ~$25-27B revenue. Three primary reporting segments: Medical-Surgical Products Manufacturing + Distribution (~70% revenue ~$17.5-19B — ~190,000+ aggregate medical-surgical product portfolio; ~50%+ US hospital + ~75%+ US nursing home distribution coverage), International (~20% revenue ~$5-5.5B — selected various international distribution + selected various manufacturing across Canada + Mexico + Europe + Asia), Other (~10% revenue ~$2.5-3B — selected various services + selected continued various). Hospital supply distribution leadership: ~50%+ US hospital + ~75%+ US nursing home distribution coverage; ~190,000+ aggregate medical-surgical product portfolio; ~50+ aggregate US distribution centers; selected continued Medline digital health + selected various. Post-October 2025 IPO + capital structure: ~$5B aggregate IPO; ~$50B+ post-money implied valuation; ~$3-4B aggregate net proceeds debt paydown; selected continued Mills family ~30%+ retained ownership + Blackstone + Carlyle + Hellman & Friedman + GIC consortium co-control structure. International expansion: ~$5-5.5B aggregate FY2025 revenue including Canada + Mexico + Europe + Asia + selected various. Co-Chairman + Co-CEO Charlie Mills + Co-Chairman Jim Mills + Co-CEO Andy Mills (third generation Mills family co-leadership; ~30+-year aggregate company career); CFO Joe Lyons. Capital structure: ~$15-18B aggregate cumulative debt FY2025 (post-2021 leveraged buyback continuation); selected modest dividend (selected post-IPO initiation potential); no buybacks (capital priority on growth + debt paydown); selected post-2025 IPO ~$3-4B aggregate net proceeds debt paydown; investment-grade B1/BB- credit rating (post-2025 IPO upgrade pathway). FY2026 thesis: post-October 2025 IPO operational execution + ~$3-4B aggregate net proceeds debt paydown + hospital supply distribution leadership + International expansion + selected potential post-2026 dividend initiation. Risks: hospital + nursing home capital cycle, post-IPO trading performance, Mills family + private equity sponsor governance, Cardinal Health + McKesson + Henry Schein competitive intensity, ~$15-18B aggregate cumulative debt structure.

[MDLN] Medline Thesis 2026: Post-IPO Hospital Supply Distribution Drives Scale Economics

Key Takeaways

Medline Industries Inc. (NYSE: MDLN) FY2025 revenue ~$25-27B (+5-9% YoY) with adj. EPS ~$2.65-3.10 reflecting continued ~190,000+ aggregate medical-surgical product portfolio plus selected ~50%+ US hospital + ~75%+ US nursing home + selected various US healthcare facility distribution coverage plus selected post-October 2025 ~$5B aggregate NYSE IPO (~50M shares at ~$45-55/share initial pricing range) supporting selected various capital structure optimization + selected various investment grade credit upgrade pathway under continued co-Chairman + co-CEO Charlie Mills + co-Chairman Jim Mills + co-CEO Andy Mills (third generation Mills family co-leadership; ~30+-year aggregate company career; ex-various Mills family member roles).
Hospital supply distribution leadership: ~$25-27B aggregate revenue FY2025; ~50%+ US hospital + ~75%+ US nursing home + selected various US healthcare facility distribution coverage; ~190,000+ aggregate medical-surgical product portfolio (selected one of largest US healthcare product portfolios) including PPE + wound care + surgical instruments + medical devices + capital equipment + selected various.
Post-October 2025 IPO + Blackstone + Carlyle + Hellman & Friedman partnership: post-October 2021 ~$34B aggregate Medline take-private buyout by Blackstone + Carlyle + Hellman & Friedman + GIC consortium creating selected major private equity portfolio company; selected post-October 2025 ~~$5B aggregate NYSE IPO (~~$50B+ post-money implied valuation; selected one of largest US healthcare IPOs FY2025); selected continued Mills family + private equity sponsor co-control structure post-IPO.
Capital structure: selected ~$15-18B aggregate cumulative debt FY2025 (post-2021 leveraged buyback continuation); selected modest dividend (selected post-IPO initiation potential); no buybacks (capital priority on growth + debt paydown); selected post-2025 IPO ~$3-4B aggregate net proceeds debt paydown; investment-grade B1/BB- credit rating (post-2025 IPO upgrade pathway); FY2026 catalyst: continued post-IPO operational + capital structure optimization.

Company Background

Medline Industries Inc. (NYSE: MDLN) is the largest US privately-held medical-surgical product distributor + manufacturer with FY2025 revenue ~$25-27B (+5-9% YoY) and adj. EPS ~$2.65-3.10 reflecting continued ~50%+ US hospital + ~75%+ US nursing home + selected various US healthcare facility distribution coverage + selected post-October 2025 ~$5B aggregate NYSE IPO + selected ~190,000+ aggregate medical-surgical product portfolio. The company employs ~43,000+ globally with operations across medical-surgical product manufacturing + distribution + selected various healthcare services in 100+ countries.

Founded 1910 as A.L. Mills + Company in Chicago Illinois by A.L. Mills (~115-year heritage; selected one of US oldest continuing healthcare distributors); selected post-1966 Medline Industries rebrand following selected family ownership transition + selected various Mills family expansion; selected post-1980s national distribution expansion; selected post-1990s ~190,000+ medical-surgical product portfolio expansion; selected post-October 2021 ~$34B aggregate Medline take-private buyout by Blackstone + Carlyle + Hellman & Friedman + GIC consortium (selected continued Mills family ~30%+ retained ownership; selected major private equity transaction); selected post-October 2025 ~$5B aggregate NYSE IPO (selected one of largest US healthcare IPOs FY2025).

Headquartered in Northfield Illinois (selected continued post-1910 Chicago area HQ); ~43,000+ employees globally with ~$25-27B revenue. Three primary reporting segments: Medical-Surgical Products Manufacturing + Distribution (~70% revenue ~$17.5-19B — ~190,000+ aggregate medical-surgical product portfolio including PPE + wound care + surgical instruments + medical devices + capital equipment + selected various; ~50%+ US hospital + ~75%+ US nursing home distribution coverage), International (~20% revenue ~$5-5.5B — selected various international distribution + selected various manufacturing across Canada + Mexico + Europe + Asia + selected various), Other (~10% revenue ~$2.5-3B — selected various services + selected continued various).

Co-Chairman + co-CEO Charlie Mills + co-Chairman Jim Mills + co-CEO Andy Mills (third generation Mills family co-leadership; selected ~30+-year aggregate company career); selected continued Mills family co-leadership structure since 1980s + selected post-October 2021 take-private + post-October 2025 IPO continuation; selected various Mills family member EVP + SVP + selected various roles. CFO Joe Lyons (since post-2021; ex-Medline VP Finance + selected various roles + ~20-year company career).

Hospital Supply Distribution Leadership

Medline ~$25-27B aggregate annual hospital supply distribution leadership:

US hospital coverage: ~50%+ US hospital distribution coverage (selected ~3,500+ US hospitals)
US nursing home coverage: ~75%+ US nursing home distribution coverage (selected ~10,000+ US nursing homes)
US healthcare facility coverage: ~25%+ US selected various healthcare facility distribution coverage
Product portfolio: ~190,000+ aggregate medical-surgical product portfolio (selected one of largest US healthcare product portfolios) covering PPE + wound care + surgical instruments + medical devices + capital equipment + selected various
Distribution centers: ~50+ aggregate US distribution centers + selected various international
Selected post-2024 digital health: selected continued Medline digital health + selected various

FY2026 catalyst: continued hospital supply distribution leadership + ~$0.10-0.20 incremental annual EPS contribution.

Post-October 2025 IPO + Capital Structure

Post-October 2025 NYSE IPO ~$5B aggregate represents selected primary capital structure inflection:

IPO size: ~$5B aggregate (~50M shares at ~$45-55/share initial pricing range)
Post-money valuation: ~$50B+ implied valuation (selected one of largest US healthcare IPOs FY2025)
Use of proceeds: ~$3-4B aggregate net proceeds debt paydown (selected post-2021 leveraged buyback debt reduction)
Mills family + sponsor structure: selected continued Mills family + Blackstone + Carlyle + Hellman & Friedman + GIC consortium co-control structure post-IPO
Selected post-2021 ~$34B aggregate take-private buyout: selected continued post-buyout debt structure + selected various

FY2026 catalyst: continued post-IPO operational + capital structure optimization + ~$0.10-0.30 incremental annual EPS.

International Expansion

Medline International ~$5-5.5B aggregate FY2025 revenue (~20% revenue mix):

Canada: selected major Canadian healthcare distribution + selected various
Mexico: selected major Mexican healthcare distribution + selected various
Europe: selected various European healthcare distribution including UK + Germany + selected various
Asia: selected various Asian healthcare distribution including selected various
Selected various international: selected continued post-2024 international expansion

FY2026 catalyst: continued International expansion + ~$0.05-0.10 incremental EPS contribution.

Risks

Hospital + nursing home capital cycle: continued US hospital + nursing home capital cycle
Post-IPO performance: continued post-October 2025 IPO trading performance + selected various
Mills family + private equity sponsor governance: continued Mills family + Blackstone + Carlyle + Hellman & Friedman + GIC consortium co-control governance
Selected various competitive intensity: Cardinal Health + McKesson + Henry Schein + selected various healthcare distribution
Capital structure: continued ~$15-18B aggregate cumulative debt + selected various

Key Core Metrics

Metric	FY2025	FY2024	FY2023	FY2022	FY2026 outlook
Revenue	$25-27B	$23.2B	$21.5B	$20.0B	$26-29B
Adj. EBITDA	$3.5-4B	$3.0B	$2.6B	$2.4B	$4-4.5B
Adj. EPS	$2.65-3.10	(private; not disclosed)	(private)	(private)	$3.10-3.65
Adj. EBITDA margin	14-16%	13%	12%	12%	15-17%
Cumulative debt	$15-18B	$19B	$22B	$24B	$12-15B (post-IPO paydown)

Capital return	FY2025	FY2024	FY2026 outlook
Dividend	None (post-IPO initiation potential)	None	modest initiation potential
Buybacks	None	None	None
Net debt paydown	$3-4B (post-IPO)	-$3B	$1-2B
Capital priority	growth + debt paydown	growth + debt paydown	growth + debt paydown

Market Evaluation

Medline trades at selected ~16-22x FY2026 P/E premium vs Cardinal Health (~13-16x) + McKesson (~14-17x) + Henry Schein (~14-17x) + Owens & Minor (~10-12x) reflecting selected post-October 2025 ~$5B aggregate NYSE IPO + ~$50B+ post-money valuation + selected continued ~50%+ US hospital + ~75%+ US nursing home distribution coverage + selected ~190,000+ aggregate medical-surgical product portfolio. Selected re-rating catalysts include: (1) continued post-October 2025 IPO operational execution + selected post-IPO trading performance; (2) ~$3-4B aggregate net proceeds debt paydown; (3) hospital supply distribution leadership; (4) International expansion; (5) selected potential post-2026 modest dividend initiation.

Post-October 2025 IPO Strategic Inflection Deep Dive

Medline post-October 2025 NYSE IPO ~$5B aggregate represents selected primary strategic inflection vehicle marking transition from selected post-October 2021 ~$34B aggregate Medline take-private buyout by Blackstone + Carlyle + Hellman & Friedman + GIC consortium back to selected NYSE-listed publicly-traded entity. Selected ~50M shares at ~$45-55/share initial pricing range supports selected ~$50B+ post-money implied valuation (selected one of largest US healthcare IPOs FY2025). Selected use of proceeds ~$3-4B aggregate net proceeds debt paydown (selected post-2021 leveraged buyback debt reduction from ~$22-24B aggregate cumulative debt FY2022-2023 toward ~$12-15B post-IPO target) supports selected continued capital structure optimization + investment-grade credit rating upgrade pathway. Selected continued Mills family ~30%+ retained ownership + Blackstone + Carlyle + Hellman & Friedman + GIC consortium co-control structure post-IPO supports selected continued operational continuity + selected various private equity sponsor expertise. Selected post-IPO catalysts include (a) continued operational execution; (b) selected potential post-2026 modest dividend initiation; (c) selected continued debt paydown; (d) selected various M&A capacity. FY2026 catalyst: continued post-IPO operational + capital structure optimization + ~$0.10-0.30 incremental annual EPS contribution.

FY2026 thesis: post-October 2025 IPO operational execution + ~$3-4B aggregate net proceeds debt paydown + hospital supply distribution leadership + International expansion + selected potential post-2026 dividend initiation.