Operator: Good day, ladies and gentlemen, and welcome to the First Quarter 2011 Cardinal Health Incorporated Earnings Conference Call. My name is Janeda, and I will be your operator for today. (Operator Instructions). As a reminder, this conference is being recorded for replay purposes.
I would now like to turn the conference over to your host for today, Mr. John Frank, Director of Investor Relations. Please proceed.
John Frank - Director, IR: Thank you, Janeda, and welcome to Cardinal Health's first quarter fiscal 2011 conference call. Sally couldn't be with us today due to a death in her family, which is why I'm providing the introduction to today's call.
Today, we will be looking at forward-looking statements. The matters addressed in these statements are subject to risks and uncertainties that could cause actual results to differ materially from those projected or implied. Please refer to the SEC filings and the forward-looking statement slide at the beginning of the presentation found on the Investor page of our website for a description of those risks and uncertainties. In addition, we will reference non-GAAP financial measures. Information about non-GAAP financial measures is included at the end of the slides.
Before I turn the call over to Chairman and CEO, George Barrett, I would like to remind you of few upcoming investment conferences and events in which we will be participating and webcasting. Notably, the Annual Meeting of Cardinal Health shareholders on November 3 at the Cardinal Health headquarters in Dublin, Ohio; 2010 Credit Suisse Healthcare Conference on November 10 at the Arizona Biltmore in Phoenix; Lazzard Healthcare Conference on November 16 at the St. Regis Hotel in New York; Cardinal Health Investor Day and Analyst Day on December 7 at the Hudson Theatre in New York. The details of these events are or will be posted on the Investor Relations Events section of our website at www.cardinalhealth.com. So please make sure to visit the site often for updated information. We look forward to seeing you at the upcoming events.
Now I'd like to turn the call over to George. George?
George S. Barrett - Chairman and CEO: Thanks, John, and our thoughts go out to Sally and her family during this difficult time.
Good morning, everyone, and thank you for joining us on our first quarter call. Our fiscal 2011, or Q1 fiscal 2011, is up to a very good start. We reported revenues for the first quarter of $24.4 billion and a non-GAAP EPS number of $0.64, up 19% over the prior year period.
While we had a slight decline in overall revenues on a year-over-year basis, we generated a healthy expansion in gross margins and held SG&A essentially flat to the prior year. Our strong operating performance in the quarter was driven by excellent results in our Pharmaceutical Segment, offsetting an expected difficult year-over-year comparison in our Medical Segment.
Overall, we continued our momentum coming out of fiscal 2010, strengthening the core of our business so we've a strong foundation from which to grow, with particular emphasis on margin expansion, disciplined management of working capital, growing generics at an accelerated rate and enhancing the customer experience.