Option Care reports strong Q3, keeps eye on disaster impacts

BANNOCKBURN, Ill. – Option Care Health reported revenue of nearly $1.3 billion for the third quarter of 2024, an increase of 17% compared to the same quarter in 2023. 

Gross profit was $256.7 million, or 20.1% of net revenue, up 1 % compared to $254.3 million, or 23.3% of net revenue, in the third quarter of 2023. Adjusted EBITDA was $115.6 million, up 5.3% compared to $109.8 million in the third quarter of 2023. 

“Once again, the Option Care Health team continued to perform and to focus on delivering extraordinary care to our patients in the face of several unique challenges in the third quarter as throughout 2024,” said John Rademacher, president and CEO. “I am proud of how our team responded to both natural disasters and recovery efforts, along with the strong third quarter financial results. The team remains resilient and focused on executing on our 2024 commitments by providing consistent high-quality care to our patients and reliable partnership to our referral sources.” 

Option Care has experienced supply chain disruption related to the production of intravenous solution bags as a result of Hurricane Helene and its aftermath, which continues to impact its ability to support existing and new patients, primarily within its portfolio of acute therapies. The company continues to monitor the situation closely and collaborate with manufacturers and distributors to secure available inventory.  

For the full year 2024, Option Care Health now expects to generate: 

• Net revenue of $4.9 billion to $4.95 billion 

• Adjusted EBITDA of $438 million to $443 million 

• Cash flow from operations of at least $300 million, consistent with previous guidance 

• Effective tax rate of 26% - 28%, consistent with previous guidance 

• Net interest expense of approximately $55 million to $60 million, consistent with previous guidance.