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Option Care Health shows ‘resilience’

Option Care Health shows ‘resilience’

BANNOCKBURN, Ill. – After a “sluggish” start in the first quarter of 2022, the rest of the year looks to be “productive” for Option Care Health, says CEO John Rademacher. 

“As we entered the year, we were in the midst of the COVID resurgence related to the omicron variant,” said Rademacher on a recent earnings call. “This had a very disruptive impact on our referral patterns and local pharmacy operation. Given the resilience of our teams in the field, we were able to quickly respond after the omicron cases subsided and we saw a recurrence in normal operations by the end of the first quarter.” 

Option Care Health reported revenue growth of 20.6% for the first quarter of 2022, but execs cautioned that an “especially soft” first quarter of 2021 “amplifies” year-over-year growth to an extent. 

The company’s revenue grew across both its chronic inflammatory portfolio and its newer chronic therapies, driven by several factors, said CFO Mike Shapiro.  

“First, better supply chain dynamics enabled accelerated growth for certain therapies that were plagued by challenging supply chains and product shortages in the prior year, especially thyroid eye disease and immune globulin therapies,” he said.  

Option Care Health completed its acquisition of SPNN during the first quarter, its fourth acquisition in 12 months, and the company continues to look to make additional strategic investments, says Shapiro. 

“We will be disciplined, but it’s going to be both strategic and economic in any moves that we make,” he said. “But we really feel fortunate about the position we are in from a capital structure, and we think that the opportunity is before us to continue to look for ways to enhance the role we play in ambulatory settings and post-acute care.” 

Option Care Health increased its full-year guidance for 2022 to revenue of $3.75 billion to $3.9 billion and adjusted EBITDA of $320 million to $335 million.


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