Viemed's new deals with Inogen, VA drive growth

LAFAYETTE, La. - Referrals bounced back in the third quarter, as Viemed sought to build out its payer networks and ink new partnerships amid the COVID-19 pandemic, company officials said during a recent earnings call.

Topping the list of new deals: Viemed has an agreement to help Inogen convert leads for private insurance customers, leading to a “very robust” growth rate for oxygen of 55% quarter-over-quarter, says CEO Casey Hoyt.

“Our network development team put us into a position to have enough national payer contracts to make our strategic partnership with Inogen attractive for both parties,” he said. “The early success of the Inogen program has us very optimistic about the possibility to continue to grow oxygen at even faster rate.”

Viemed reported?total?revenues of $33.4 million for the third quarter of 2020 compared to $20.4 million for the same period last year. The company's core business, ventilators, generated revenues of $24.9 million, a 22% increase. Viemed also reported revenues of $8.6 million for product sales and services related to?the ongoing COVID-19 pandemic, including sales of PPE and a contract tracing contract.

During Q3, Viemed also signed a national contract with the Veterans Administration to provide home sleep testing services through its Home Sleep Delivered division—a move that will move it closer to its goal of being a one-stop shop for the VA, says Hoyt.

Still, the company's No. 1 priority remains growing its vent business, he said.

“Our vent patient count is up about 5% over last year, but there are constraints,” he said. “There's still limited access to hospitals—we can't get into about 50% of facilities right now.”