BioScrip revenues decline again

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Monday, June 25, 2018

DENVER – Inclement winter weather contributed to a decrease in net revenues during the first quarter of 2018 for BioScrip, which reported net revenues of $168.6 million down from $182.6 million in the fourth quarter of 2017.

Net loss from continuing operations was $13 million, compared to $1.2 million in the previous quarter. The company’s core product mix for the first quarter stayed steady at 75.4%.

Adjusted EBITDA was $5.6 million for the first quarter of 2018, 16% above the EBITDA for the first quarter of 2017, driven by a 530 basis point improvement in gross profit margin and a $3.6 million reduction in operating expenses.

“BioScrip’s first quarter adjusted EBITDA increased 16% year over year, as we continued to execute successfully on our turnaround strategy,” said Daniel Greenleaf, president and CEO in a press release. “Our teammates navigated significant weather-related branch closures and temporary product shortages, which resulted in lower revenue and increased cost of revenue during the quarter.”

Cost of revenue or the quarter included additional product acquisition and delivery costs of approximately $1 million related to those temporary product shortages, the company reported.

The company also said it had made investment in its field force and managed are team and other strategic initiatives.

“We remain as enthusiastic as ever about BioScrip’s unique position as the only independent national home infusion pure play,” said Greenleaf.

The company reaffirmed its 2018 adjusted EBITDA guidance of between $54 million and $58 million; and updated its 2018 revenue guidance to between $688 million and $698 million.