Inogen raises guidance

GOLETA, Calif. - Inogen on Nov. 3 reported total revenues of $54.4 million for the third quarter of 2016 compared to $40.8 million for the same period last year, a 33.5% increase. It reported net income of $3.5 million vs. $2.7 million, a 28.2% increase.

“We are very pleased with sales growth and execution across our business-to-business and direct-to-consumer channels this quarter, indicating increasing demand and adoption of our portable oxygen concentrators,” said Raymond Huggenberger, CEO.

Inogen reported 65.1% growth in domestic business-to-business sales for the third quarter, primarily driven by traditional home medical equipment provider purchases and the continued strength of its private label partner.

The company reported 38.6% growth in direct-to-consumer sales, approximately in line with expectations. It reported a 37.2% decrease in rental sales, largely due to a second round of Medicare reimbursement cuts that went into effect July 1, 2016.

As a result of its year-to-date results, Inogen has increased its revenue guidance for 2016 to $194 million to $198 million, representing year-over-year growth of 22% to 24.5%. It has also increased its revenue guidance for 2017 to 2017 to $230 million to $236 million.