NASDAQ$OPCH

Option Care Health, Inc · Q2 2023 earnings

Q2 2023 earnings · · Investor relations

Briefing

Option Care Health's financial performance improved in Q2 2023, marked by revenue growth, increased profitability, and strategic developments.

Option Care Health reported a strong second quarter in 2023, with a 9.0% increase in net revenue to $1,069.1 million and a significant 237.2% rise in net income to $114.4 million. The company's adjusted EBITDA also saw a substantial increase of 29.2%, reaching $110.1 million. Despite terminating the Merger Agreement with Amedisys, Inc. and receiving a termination fee, the company remains confident in its growth trajectory for the remainder of the year.

  • Net revenue increased by 9.0% to $1,069.1 million compared to Q2 2022.
  • Gross profit rose by 15.6% to $250.8 million, representing 23.5% of net revenue.
  • Net income surged by 237.2% to $114.4 million, with basic earnings per share at $0.64.
  • Adjusted EBITDA increased by 29.2% to $110.1 million.

Headline financials

Total Revenue

$1.07B

Previous: $981M+9.0%
EPS (adj)

$0.63

Previous: $0.19+231.6%
Adjusted EBITDA

$110M

Previous: $85.2M+29.3%
Capital Expenditures

-$13.6M

Previous: -$10.1M-34.8%
Free Cash Flow

$101M

Previous: $23.9M+322.4%
Net Income

$114M

Previous: $33.9M+237.2%
Operating Income

$82.4M

Previous: $59.1M+39.4%
Gross Profit

$251M

Previous: $217M+15.6%
Cash & Equivalents

$441M

Previous: $204M+116.2%
Total Assets

$3.32B

Previous: $2.99B+11.2%
Stock-Based Comp

$7.69M

Previous: $4.4M+74.7%

Revenue & EPS history

Option Care Health · Revenue · Quarterly

$1.07B

Q2 2023+9%vs Q2 2022
Beat estimate in 11 of 15 quarters(73%)
ActualEstimate

Forward guidance

Option Care Health provides financial guidance for the full year 2023, including net revenue between $4.2 billion and $4.3 billion, adjusted EBITDA between $415 million and $425 million, and cash flow from operations of at least $350 million.

Tailwinds

  • Net Revenue of $4.2 billion to $4.3 billion
  • Adjusted EBITDA of $415 million to $425 million
  • Cash Flow from Operations of at least $350 million
  • Effective tax rate of 27% to 29%
  • Net interest expense of approximately $55.0 million to $59.0 million

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2023

Historical avgQ2 2023

-1.9%

Avg return

Earnings day

-4.2%

Avg return

5 days after

-1.9%

Avg return

30 days after

50%

36 / 72 earnings

Positive

+27.4%

Q3 2015

Best reaction

-53.6%

Q3 2016

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-24.3%-20.7%-22.4%
Q4 2025-7.3%-10.1%-23.1%
Q3 2025-8.7%-5.7%+8.5%
Q1 2025-6.9%-0.1%-2.2%
Q4 2024+1.6%+4.1%+6.4%
Q3 2024-24.5%-26.3%-22.0%
Q2 2024-1.9%-5.3%+2.1%
Q1 2024-1.6%-2.6%-6.0%
Q4 2023-3.4%-1.8%-2.0%
Q3 2023-15.6%-18.4%-8.1%
Q2 2023+5.3%+4.0%+7.9%
Q1 2023-14.7%-12.6%-11.4%
Q4 2022+7.1%+6.3%+9.4%
Q3 2022-10.9%-13.3%-17.6%
Q2 2022+5.0%+4.8%-2.2%
Q1 2022+10.3%+7.4%+14.2%
Q4 2021+8.6%+10.8%+20.9%
Q3 2021-0.0%-2.1%-12.1%
Q2 2021-0.1%+8.3%+35.1%
Q1 2021-4.7%-8.8%+2.3%
Q4 2020+2.2%+1.9%-3.7%
Q3 2020+11.4%+11.7%+14.1%
Q2 2020+3.6%+1.7%-2.8%
Q1 2020+8.8%+6.6%+32.7%
Q4 2019-12.8%-16.1%-48.4%
Q3 2019-2.4%-5.9%-16.3%
Q2 2019-1.4%-5.2%+21.5%
Q1 2019-2.5%-1.5%-4.0%
Q4 2018-33.0%-38.7%-50.4%
Q3 2018+16.0%+12.8%+34.2%
Q2 2018-1.5%+2.5%+4.4%
Q1 2018-6.1%-0.4%+6.9%
Q4 2017+3.3%+0.0%+9.8%
Q3 2017-13.8%-18.8%+5.8%
Q2 2017+8.6%+21.8%+6.8%
Q1 2017+3.6%+1.8%+24.2%
Q4 2016-12.3%-10.6%-33.9%
Q3 2016-53.6%-47.9%-56.3%
Q2 2016+3.0%+2.6%+2.3%
Q1 2016+3.1%
Q4 2015+7.1%
Q3 2015+27.4%
Q2 2015-22.8%
Q1 2015-10.0%
Q4 2014-11.3%
Q3 2014+1.3%
Q2 2014-4.4%
Q1 2014+2.1%
Q4 2013+6.3%
Q2 1997+9.0%
Q3 2013-4.6%
Q2 2013-17.2%
Q1 2013-0.1%
Q4 2012-1.5%
Q3 2012+3.7%
Q2 2012+11.0%
Q1 2012+3.2%
Q4 2011-1.5%
Q3 2011-11.2%
Q2 2011+1.5%
Q4 2010+1.5%
Q1 2011-1.4%
Q3 2010+8.1%
Q2 2010-3.0%
Q1 2009+0.9%
Q1 2010+3.4%
Q2 2009+2.6%
Q4 2007+2.6%
Q4 2009+2.6%
Q3 2009+5.6%
Q3 2008+5.6%
Q4 2008+5.6%

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