Option Care Health sees growth driven by chronic care 

BANNOCKBURN, Ill. – Option Care Health saw double-digit growth in revenues as the company took advantage of its technology platform to respond to the disruption caused by the COVID-19 pandemic, said CEO John Rademacher on a recent earnings call. 

Option Care Health reported net revenues of $804.7 million for the fourth quarter of 2020, an increase of 11.6% compared to the same quarter in 2019. 

“Our ability to quickly pivot and utilize our technology platform more fully through telemedicine features like virtual visits and discharge support, and collaboration tools that allowed our clinical teams and remote workforce to continue to excel contributed to delivering consistent high-quality care, strong clinical outcomes and exceptional patient satisfaction,” he said. 

Net revenues for the full year were about $3 billion, an increase of 31.3% compared to 2019. Adjusted EBITDA for the quarter was $67.7 million and $221.7 million for the full year, up 27.7% and 69.5%, respectively. 

Those increases were driven primarily by growth in the company’s chronic portfolio, said CFO Mike Shapiro.  

“Standard of care initiatives continue to resonate and directly benefit our chronic portfolio, while at the same time, newer therapies introduced for condition (like) myasthenia gravis and chronic inflammatory conditions contributed to strong growth, as well,” he said. 

Option Care also saw modest improvement in acute therapies in the fourth quarter, after remaining flat for the first nine months of 2020, said Shapiro. 

“Our referral patterns across a broad portfolio of therapies and geographies continues to be volatile, given the ongoing pandemic impact,” he said. “But, nonetheless, we see revenue growth incorporating a number of these dynamics.” 

While Option Care remains cautious during a still “dynamic and challenging situation,” the company is also adapting as new care models emerge, with Rademacher pointing to its recently announced partnership with Amedisys to provide COVID antibody infusion therapy in skilled nursing and assisted living facilities. The company is also entering the home stretch of its integration with BioScrip, which will continue in the first half of 2021. 

“Reflecting on our first full year as a combined enterprise and having completed the majority of integration activities ahead of schedule, I’ve never been more confident in this team,” he said. “As we shift from integration to acceleration, the unique platform we’ve created is clearly evident.”