Business
Option Care Health Announces Preliminary Financial Results for the Second Quarter and Schedules Second Quarter Earnings Call
BANNOCKBURN, Ill., July 20, 2020 (GLOBE NEWSWIRE) -- Option Care Health, Inc. (the “Company” or “Option Care Health”) (Nasdaq: OPCH), the nation’s largest
About this update from Option Care Health, Inc.
[{"type":"text","content":"BANNOCKBURN, Ill., July 20, 2020 (GLOBE NEWSWIRE) -- Option Care Health, Inc. (the “Company” or “Option Care Health”) (Nasdaq: OPCH), the nation’s largest independent provider of home and alternate site infusion services, announced today preliminary financial results for the second quarter ended June 30, 2020.\n Second Quarter 2020 Preliminary Financial Results For the second quarter, Option Care Health expects to report: Net revenue of approximately $740.8 million, representing comparable growth over the prior year of approximately 7%1Net loss of approximately $7.7 millionAdjusted EBITDA of approximately $54.6 million, representing approximately 7.4% of net revenueCash Flow from Operations of approximately $35.5 millionEnding cash balance of $118.1 million, representing an increase of $40.9 million compared to $77.2 million at March 31, 2020 and no outstanding borrowings on the Company’s revolverEnding gross debt of $1,332.6 million, or $1,214.5 million net of ending cash As previously disclosed, Option Care Health received approximately $11.7 million in the second quarter from the Public Health and Social Services Emergency Fund as part of the Coronavirus Aid, Relief, and Economics Security Act. The $11.7 million will be reflected in the second quarter as a cash inflow from financing activities and, as a result, is reflected in the ending cash balance and net debt results above. The net revenue, adjusted EBITDA and cash flow from operations results above exclude any benefit from the proceeds. Additional communication regarding the final resolution of the funds and related accounting treatment will be forthcoming. The second quarter results reflect the Company’s continued efforts to accelerate growth and drive merger-related cost savings offset by the detrimental impact of the COVID-19 pandemic. As expected, the pandemic has negatively affected new patient referrals for both acute and chronic conditions; however, the Company did experience an increase in patient transfers from hospital and outpatient settings which positively affected revenues. For the second quarter, the revenue results reflect a single digit decline in acute revenues relative to the prior year while chronic revenue grew in the low double digits. Option Care Health continues to collaborate with payers and health systems to transition patients into the home or ...