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Sep 30, 2023

Option Care Health Q3 2023 Earnings Report

Announced financial results for the third quarter ended September 30, 2023

Key Takeaways

Option Care Health reported net revenue of $1,093.0 million, a 7.1% increase compared to the third quarter of 2022. Net income increased by 45.0% to $56.3 million, or $0.31 basic earnings per share. Adjusted EBITDA was $109.8 million, up 28.2% from the previous year.

Net revenue increased by 7.1% to $1,093.0 million.

Gross profit increased by 16.6% to $254.3 million, representing 23.3% of net revenue.

Net income increased by 45.0% to $56.3 million, or $0.31 basic earnings per share.

Adjusted EBITDA increased by 28.2% to $109.8 million.

Total Revenue
$1.09B
Previous year: $1.02B
+7.1%
EPS
$0.31
Previous year: $0.21
+47.6%
Adjusted EBITDA
$110M
Previous year: $85.6M
+28.2%
Cash Flow from Operations
$61M
Previous year: $87M
-29.9%
Gross Profit
$254M
Previous year: $218M
+16.6%
Cash and Equivalents
$386M
Previous year: $255M
+51.3%
Free Cash Flow
$52.6M
Previous year: $80.1M
-34.3%
Total Assets
$3.24B
Previous year: $3.07B
+5.5%

Option Care Health

Option Care Health

Forward Guidance

For the full year 2023, Option Care Health expects to generate net revenue of $4.23 billion to $4.28 billion, adjusted EBITDA of $420 million to $425 million, and cash flow from operations of at least $350 million.

Positive Outlook

  • Net revenue of $4.23 billion to $4.28 billion is expected.
  • Adjusted EBITDA of $420 million to $425 million is expected.
  • Cash flow from operations of at least $350 million is expected.
  • Effective tax rate of approximately 27% is anticipated.
  • Net interest expense of approximately $52.0 million to $54.0 million is anticipated.