Option Care Health, Inc. (NASDAQ: OPCH), the nation’s largest independent provider of home and alternate site infusion services, has reported its financial results for the fourth quarter and full year ended December 31, 2023. The company's fourth-quarter net revenue was $1,124.4 million, reflecting a 9.5% increase compared to the same period in 2022. Its gross profit for the quarter was $247.1 million, or 22.0% of revenue, up 6.9% from the previous year. Net income for the fourth quarter was $57.2 million, or $0.32 earnings per share, inclusive of the impact from non-operating income, compared to $47.5 million, or $0.26 earnings per share in the fourth quarter of 2022. Adjusted EBITDA for the fourth quarter of 2023 was $111.6 million, up 18.4% from the same period in 2022.
For the full year of 2023, Option Care Health reported net revenue of $4,302.3 million, representing a 9.1% increase compared to 2022. The gross profit for the full year was $981.2 million, or 22.8% of revenue, up 13.2% from the prior year. Net income for 2023 was $267.1 million, or $1.48 diluted earnings per share, compared to $150.6 million, or $0.83 earnings per share, in 2022. The company's adjusted EBITDA for the full year of 2023 was $425.2 million, reflecting a 24.0% increase from 2022.
John C. Rademacher, Chief Executive Officer of Option Care Health, expressed confidence in the company's performance, stating, “the Option Care Health team delivered strong financial results in the fourth quarter and full year of 2023 and continued to execute on our commitment to clinical excellence by providing extraordinary patient care through our resilient national platform."
Looking ahead, the company provided its financial guidance for the full year 2024, expecting net revenue of $4.6 billion to $4.8 billion, adjusted EBITDA of $425 million to $450 million, and cash flow from operations of at least $300 million. In addition to this guidance, the company anticipates an effective tax rate of 26% - 28% and net interest expense of approximately $55 million to $60 million.
Regarding the financial outlook, Rademacher added, "the patient is at the center of everything we do, and I am excited to build on this momentum in 2024 to further our mission to provide innovative services that improve outcomes, reduce costs, and deliver hope for patients and families.”
Option Care Health also announced fulfilling $250 million in share repurchases and the authorization of an additional $250 million share repurchase.
The company's shares have moved -1.6%, and are now trading at a price of $32.84.
For more information, the company's full 8-K submission is available here.
