Omnicell Announces Second Quarter 2013 Results

Results Include Record Revenues and Profit Larger than Expectations

August 01, 2013

MOUNTAIN VIEW, Calif.

Omnicell, Inc. (NASDAQ: OMCL), a leading provider of medication and supply management solutions to healthcare systems, today announced results for its quarter ended June 30, 2013.  

GAAP results: Revenue for the second quarter of 2013 was $93.7 million, up $6.6 million or 7.5% from the first quarter of 2013, and up $18.3 million or 24.3% from the second quarter of 2012. Revenue for the six months ended June 30, 2013 was $180.8 million, up $41.3 million or 29.6% from the six months ended June 30, 2012. 

Second quarter 2013 net income as reported in accordance with U.S. generally accepted accounting principles (GAAP) was $6.0 million, or $0.17 per diluted share. This compares to net income of $3.4 million, or $0.10 per diluted share, in the first quarter of 2013 and net income of $1.4 million, or $0.04 per diluted share, in the second quarter of 2012. For the six months ended June 30, 2013, net income was $9.4 million, or $0.27 per diluted share. This compares to net income of $3.7 million, or $0.11 per diluted share, for the six months ended June 30, 2012. 

Non-GAAP results: Non-GAAP net income was $9.4 million for the second quarter of 2013, or $0.27 per diluted share. Non-GAAP net income for the second quarter excludes $2.7 million of stock-based compensation expense and $1.1 million ($0.7 million net of the $0.4 million tax effect) of amortization expense for all intangible assets associated with acquisitions made by Omnicell in 2012 and earlier. This compares to non-GAAP net income of $6.7 million, or $0.20 per diluted share for the second quarter of 2012, excluding $2.2 million of stock-based compensation expense, $4.9 million of acquisition transaction and integration costs ($2.9 million net of the $2.0 million tax effect), and $0.5 million ($0.3 million net of the $0.2 million tax effect) of amortization expense for all intangible assets associated with prior acquisitions. Second quarter 2013 results compare to non-GAAP net income of $7.4 million, or $0.21 per diluted share for the first quarter of 2013. Non-GAAP net income for the first quarter excluded $2.9 million of stock-based compensation expense and $0.7 million ($0.4 million net of the $0.3 million tax effect) of reorganization costs related to the continued integration of MTS medication technologies, which was acquired in May of 2012, and $1.1 million ($0.6 million net of the $0.5 million tax effect) of amortization expense for all intangible assets associated with acquisitions. 

For the six months ended June 30, 2013, non-GAAP net income was $16.8 million, or $0.48 per diluted share. Non-GAAP net income for the six months ended June 30, 2013 excludes $5.6 million of stock-based compensation expense and $2.1 million ($1.3 million net of the $0.8 million tax effect) of amortization expense for all intangible assets associated with acquisitions.  For the six months ended June 30, 2012, non-GAAP net income was $11.3 million, or $0.33 per diluted share. Non-GAAP net income for the six months ended June 30, 2012 excludes $4.4 million of stock-based compensation expense, $4.9 million of acquisition transaction and integration costs ($2.9 million net of the $2.0 million tax effect), and $0.5 million ($0.3 million net of the $0.2 million tax effect) of amortization expense for all intangible assets associated with acquisitions.  

“Omnicell is on track for a strong fiscal 2013 with record revenue in the second quarter,” said Randall Lipps, Omnicell president, chairman and CEO. 

“By all measures, Omnicell continues to perform well against competition. Thirty percent of bookings were from competitive conversions such as the 14-hospital Baptist Memorial Health Care system, Wisconsin’s ProHealth Care and other first-time customers,” added Mr. Lipps. “And recently KLAS, a leading independent healthcare research firm, named Omnicell the 2013 number one overall pharmacy equipment vendor. Further validating Omnicell value, our automated medication dispensing system achieved the top ranking, 'Best in KLAS', for the eighth consecutive year, and the company's central pharmacy products received top ratings in three categories.”

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