Inogen: DTC sales up, B2B sales down

GOLETA, Calif. – Inogen reported revenue of $76.4 million for the fourth quarter of 2021, an increase of 3.3% over the same period in 2020, driven by a 23.3% in domestic direct-to-consumer sales to $33 million. 

Domestic business-to-business sales in the fourth quarter of 2021 decreased 57.6% to $10.3 million compared to $24.2 million in the fourth quarter of 2020, primarily due to the supply chain constraints that limited product availability in this channel. 

Rental revenue was $13 million, up 39.4% from the same period in 2020. 

“Over the past year, our team has made steady progress to advance our overall strategy, working to expand our sales footprint in the prescriber channel and implement initiatives aimed at driving productivity of our overall commercial operations,” said Inogen’s President and Chief Executive Officer, Nabil Shabshab. “We have been nimble and decisive in looking to meet steady customer demand in the face of significant supply chain headwinds, including semiconductor availability and the resulting cost impact. At the same time, we are focused on investing in the business to strengthen our clinical research and R&D capabilities and commercial strategies that will position us for long-term, sustainable growth and profitability in the years to come.” 

Other highlights: 

• For the full year, Inogen reported total revenue of $358 million, up 16.1% versus 2020. 
• An increased focus on rentals lead to a 63.5% increase in rental revenue, primarily due to a 33.2% increase in patients on service and an improved rental gross margin of 57.4% in 2021 compared to 52.1% in 2020. 
• International business-to-business sales in the fourth quarter of 2021 increased 47.6% to $20.1 million compared to $13.6 million in the fourth quarter of 2020.