Omnicell Achieves Record Revenue in the Third Quarter 2018

Oct 25, 2018

GAAP revenues of $204 million, up 9.4% year-over-year
GAAP net income per diluted share of $0.33, up 65% year-over-year
Non-GAAP revenues of $204 million, up 9.2% year-over-year
Non-GAAP net income per diluted share of $0.63, up 37% year-over-year


(Mountain View, Calif.) Omnicell, Inc. (NASDAQ: OMCL), a leading provider of medication and supply management solutions to healthcare systems, today announced results for its third quarter ended September 30, 2018.

GAAP Results

GAAP revenues for the third quarter of 2018 were $204.3 million, up $17.5 million, or 9.4% from the third quarter of 2017. GAAP revenues for the nine months ended September 30, 2018 were $575.6 million, up $59.2 million, or 11.5%, from the nine months ended September 30, 2017.

Third quarter 2018 GAAP net income as reported was $13.6 million, or $0.33 per diluted share. This compares to GAAP net income of $7.7 million, or $0.20 per diluted share, for the third quarter of 2017.

GAAP net income for the nine months ended September 30, 2018 was $22.9 million, or $0.57 per diluted share. This compares to GAAP net loss of $0.7 million, or a net loss of $0.02 per diluted share, for the nine months ended September 30, 2017.

Non-GAAP Results

Non-GAAP revenues for the third quarter of 2018 were $204.3 million, up $17.2 million, or 9.2%, from the third quarter of 2017. Non-GAAP revenues for the nine months ended September 30, 2018 were $575.6 million, up $58.3 million, or 11.3%, from the nine months ended September 30, 2017.

Non-GAAP net income for the third quarter of 2018 was $25.7 million, or $0.63 per diluted share. This compares to non-GAAP net income of $17.8 million, or $0.46 per diluted share, for the third quarter of 2017.

Non-GAAP net income for the nine months ended September 30, 2018 was $55.5 million, or $1.38 per diluted share. This compares to non-GAAP net income of $33.1 million, or $0.86 per diluted share, for the nine months ended September 30, 2017.

Non-GAAP net income for each period excludes, when applicable, the effect of share-based compensation expense, amortization expense of acquired intangible assets, acquisition-related expenses, fair value adjustments related to business acquisitions, restructuring and severance-related expenses, tax reform and restructuring benefits, contingent gains, and amortization of debt issuance cost.

Effective January 1, 2018, the Company adopted the new revenue recognition accounting standard, ASC 606, “Revenue from Contracts with Customers,” utilizing the full retrospective transition method. All 2017 financial results have been adjusted to reflect the change.

“Solving challenges in medication management and reducing errors across the continuum of care is our singular focus at Omnicell,” said Randall Lipps, chairman, president, chief executive officer, and founder of Omnicell. “By replacing human workflows with a holistic approach combining hardware, software, and expert services, we are helping our healthcare partners to achieve the highest levels of clinical, operational, and financial success.”

2018 Guidance

For the fourth quarter of 2018, the Company expects non-GAAP revenues to be between $211 million and $217 million. The Company expects fourth quarter 2018 non-GAAP earnings to be between $0.64 and $0.69 per share.

For the year 2018, the Company expects product bookings to be between $645 million and $670 million. The Company expects non-GAAP revenues to be between $787 million and $793 million, and non-GAAP earnings to be between $2.00 and $2.05 per share.

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