Owens & Minor
(NYSE:OMI) today posted Q2 results that matched the overall consensus on Wall Street, though it revised its outlook amid macroeconomic headwinds.
The Richmond, Virginia–based healthcare products and services giant reported profits of $28.6 million, or 37¢ per share, on sales of $2.5 billion for the three months ended June 30 for a profit slide of 56.6% on sales growth of 0.44% compared with Q2 2021.
Adjusted to exclude one-time items, earnings per share were 76¢, equal to estimates on Wall Street, where analysts were looking for sales of $2.5 billion.
“I am very pleased with our performance in the second quarter, where the strength of our business model and the O&M business system helped us in the face of external conditions that continued to deteriorate over the quarter,” President and CEO Edward Pesicka said in a news release.
“Looking to the balance of the year, we have considered the accelerating macroeconomic headwinds, as well as the unique labor and product availability challenges within acute care resulting in lower overall hospital volume. In recognition of these factors, we have revised our full-year 2022 outlook. However, in our view, the economic landscape and industry-specific challenges will eventually improve, returning hospital procedure volumes to normalized levels. Because we have the right strategy and operating model, as well as a proven business system, I am confident in our ability to successfully manage through these challenges over time.”
Owens & Minor anticipates revenue to be in the range of $9.8 billion to $10.1 billion for fiscal 2022.
Shares in OMI were down more than 11% to $32.51 apiece by midday trading today. MassDevice‘s MedTech 100 Index, which includes stocks of the world’s largest medical device companies, was also up slightly.
