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Option Care Health Announces Financial Results for the Third Quarter Ended September 30, 2026

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Option Care Health, Inc.
Option Care Health, Inc.

BANNOCKBURN, Ill., Nov. 04, 2026 (GLOBE NEWSWIRE) -- Option Care Health, Inc. (the "Company" or "Option Care Health") (Nasdaq: OPCH), the nation's largest independent provider of home and alternate site infusion services, announced today financial results for the third quarter ended September 30, 2026.

Third Quarter 2026 Financial Highlights

(year-over-year comparisons unless otherwise noted)

  • Net revenue of $1,493.5 million, up 4.1%

  • GAAP net income of $57.4 million, up 10.8%

  • GAAP diluted earnings per share of $0.38, up 18.8%

  • Adjusted EBITDA of $124.6 million, up 4.3%

  • Adjusted diluted earnings per share of $0.49, up 8.9%

  • Cash provided by Q3 operating activities of $114.7 million

As previously announced, the Company has entered into a definitive merger agreement pursuant to which it will be acquired by Clayton, Dubilier & Rice, LLC and McKesson Corporation. Given the pending acquisition, the Company will not host an earnings conference call in connection with these results and has withdrawn its previously disclosed financial guidance.

About Option Care Health

Option Care Health is the nation's largest independent provider of home and alternate site infusion services. With over 8,000 team members, including more than 5,000 clinicians, we work compassionately to elevate standards of care for patients with acute and chronic conditions in all 50 states. Through our clinical leadership, expertise and national scale, Option Care Health is reimagining the infusion care experience for patients, customers and team members. To learn more, please visit our website at optioncarehealth.com.

Investor Contact

Bob Okunski
Vice President, Investor Relations
investor.relations@optioncare.com

Forward-Looking Statements - Safe Harbor

This press release contains "forward-looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by words such as: "anticipate," "intend," "plan," "believe," "project," "estimate," "expect," "may," "should," "will" and similar references to future periods. Examples of forward-looking statements include, among others, statements the Company may make regarding the acquisition, future revenues, future earnings, other future financial results, regulatory developments, market developments, new products and growth strategies and the effects of any of the foregoing on its future results of operations or financial condition.

Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on the Company's current beliefs, expectations and assumptions regarding the future of its business, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of the Company's control. The Company's actual results and financial condition may differ materially from those indicated in the forward-looking statements. Important factors that could cause the Company's actual results and financial condition to differ materially from those indicated in the forward-looking statements include, among others, the following: the termination of or occurrence of any event, change or other circumstances that could give rise to the termination of the merger agreement, including circumstances requiring the Company to pay a termination fee pursuant to the merger agreement, or the inability to complete the proposed transaction on the anticipated terms and timetable; the inability to complete the proposed transaction due to the failure to obtain approval of the stockholders of the Company or to satisfy any other condition to closing in a timely manner or at all, or the risk that a regulatory approval that may be required for the proposed transaction is delayed, is not obtained or is obtained subject to conditions that are not anticipated; costs related to the proposed transaction, including from potential litigation relating to the proposed transaction; the risk that restrictions on the operation of the Company's business during the pendency of the proposed transaction may impact the Company's ability to pursue certain business opportunities or strategic transactions or undertake certain actions the Company might otherwise have taken; the risk that any announcements relating to the proposed transaction could have adverse effects on the market price of the Company's common stock, credit ratings or operating results; the risk that the proposed transaction and its announcement could have an adverse effect on the ability of the Company to retain and hire key personnel, retain customers and maintain relationships with business partners, suppliers and customers; the diversion of management's time and attention from ordinary course business operations to completion of the proposed transaction; changes in laws, regulations or trade policies applicable to its business model; loss of relationships with managed care organizations and other non-governmental third party payers; changes in the pharmaceutical industry, including limiting or discontinuing research, development, production and marketing of pharmaceuticals compatible with its services; changes in market conditions and receptivity to its services and offerings; and pending and future litigation or potential liability for claims not covered by insurance. The foregoing review of important factors should not be construed as exhaustive. Additional information concerning risks, uncertainties and assumptions can be found in the Company's filings with the SEC, including the risk factors discussed in the Company's most recent Annual Report on Form 10-K, as updated by the Company's Quarterly Reports on Form 10-Q and future filings with the SEC.

Any forward-looking statement made by the Company in this press release is based only on information currently available to it and speaks only as of the date on which it is made. The Company undertakes no obligation to publicly update any forward-looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise.

Note Regarding Use of Non-GAAP Financial Measures

In addition to reporting financial information in accordance with generally accepted accounting principles (GAAP), the Company is also reporting Adjusted net income, Adjusted EBITDA and Adjusted diluted earnings per share ("EPS"), which are non-GAAP financial measures. These adjusted measures are not measurements of financial performance under GAAP and should not be used in isolation or as a substitute or alternative to net income, EPS, or any other performance measure derived in accordance with GAAP, or as a substitute or alternative to cash flow from operating activities or a measure of the Company's liquidity. In addition, the Company's definitions of Adjusted net income, Adjusted EBITDA, and Adjusted diluted EPS may not be comparable to similarly titled non-GAAP financial measures reported by other companies. As defined by the Company: (i) Adjusted net income represents net income before intangible asset amortization expense, stock-based compensation expense, loss on extinguishment of debt, and restructuring, acquisition, integration and other expenses, net of tax adjustments, (ii) Adjusted EBITDA represents net income before net interest expense, income tax expense, depreciation and amortization, stock-based compensation expense, loss on extinguishment of debt, and restructuring, acquisition, integration and other expenses, and (iii) Adjusted diluted EPS represents Adjusted net income divided by weighted average common shares outstanding, diluted. As part of restructuring, acquisition, integration and other expenses, the Company may incur significant charges such as the write down of certain long‑lived assets, temporary redundant expenses, professional fees, certain litigation expenses and reserves related to acquired businesses, potential retention and severance costs and potential accelerated payments or termination costs for certain of its contractual obligations. Management believes that these adjusted measures provide useful supplemental information regarding the performance of Option Care Health's business operations and facilitate comparisons to the Company's historical operating results. The Company has not reconciled Adjusted EBITDA guidance to net income or Adjusted diluted EPS guidance to GAAP diluted EPS as management believes creation of this reconciliation would not be practicable due to the uncertainty regarding, and potential variability of, material reconciling items. Full reconciliations of each historical adjusted measure to the most comparable GAAP financial measure are set forth below.

Schedule 1

OPTION CARE HEALTH, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(IN THOUSANDS)(UNAUDITED)

September 30, 2026

December 31, 2025

ASSETS

CURRENT ASSETS:

Cash and cash equivalents

$

299,093

$

232,624

Accounts receivable, net

505,568

473,566

Inventories

408,045

471,149

Prepaid expenses and other current assets

99,385

87,629

Total current assets

1,312,091

1,264,968

NONCURRENT ASSETS:

Property and equipment, net

139,035

139,236

Intangible assets, net

19,394

21,897

Referral sources, net

261,975

287,281

Goodwill

1,606,743

1,606,743

Other noncurrent assets

137,029

135,644

Total noncurrent assets

2,164,176

2,190,801

TOTAL ASSETS

$

3,476,267

$

3,455,769

LIABILITIES AND STOCKHOLDERS' EQUITY

CURRENT LIABILITIES:

Accounts payable

$

670,676

$

639,829

Other current liabilities

179,854

189,519

Total current liabilities

850,530

829,348

NONCURRENT LIABILITIES:

Long-term debt, net of discount, deferred financing costs and current portion

1,151,054

1,154,052

Other noncurrent liabilities

150,205

145,976

Total noncurrent liabilities

1,301,259

1,300,028

Total liabilities

2,151,789

2,129,376

STOCKHOLDERS' EQUITY

1,324,478

1,326,393

TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY

$

3,476,267

$

3,455,769

Schedule 2

OPTION CARE HEALTH, INC.
CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS
(IN THOUSANDS, EXCEPT PER SHARE AMOUNTS)(UNAUDITED)

Three Months Ended September 30,

Nine Months Ended September 30,

2026

2025

2026

2025

NET REVENUE

$

1,493,529

$

1,435,016

$

4,286,583

$

4,184,073

COST OF REVENUE

1,208,555

1,162,114

3,472,344

3,379,076

GROSS PROFIT

284,974

272,902

814,239

804,997

OPERATING COSTS AND EXPENSES:

Selling, general and administrative expenses

171,998

167,470

503,063

497,744

Restructuring, acquisition, integration and other

5,640

4,634

13,796

12,570

Depreciation and amortization expense

18,120

16,291

50,479

48,278

Total operating expenses

195,758

188,395

567,338

558,592

OPERATING INCOME

89,216

84,507

246,901

246,405

OTHER INCOME (EXPENSE):

Interest expense, net

(12,875

)

(14,146

)

(40,199

)

(41,824

)

Other, net

2,560

(1,394

)

7,189

(3,197

)

Total other (expense) income

(10,315

)

(15,540

)

(33,010

)

(45,021

)

INCOME BEFORE INCOME TAXES

78,901

68,967

213,891

201,384

INCOME TAX EXPENSE

21,468

17,151

57,202

52,303

NET INCOME

$

57,433

$

51,816

$

156,689

$

149,081

Earnings per share, basic

$

0.38

$

0.32

$

1.02

$

0.91

Earnings per share, diluted

$

0.38

$

0.32

$

1.02

$

0.91

Weighted average shares outstanding, basic

149,788

161,829

153,099

163,393

Weighted average shares outstanding, diluted

150,491

163,086

153,932

164,602

Schedule 3

OPTION CARE HEALTH, INC.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(IN THOUSANDS)(UNAUDITED)

Nine Months Ended September 30,

2026

2025

CASH FLOWS FROM OPERATING ACTIVITIES:

Net income

$

156,689

$

149,081

Adjustments to reconcile net income to net cash provided by operating activities:

Depreciation and amortization expense

52,874

50,374

Other non-cash adjustments

54,243

57,401

Changes in operating assets and liabilities:

Accounts receivable, net

(32,002

)

(55,430

)

Inventories

63,104

(24,899

)

Prepaid expenses and other current assets

(14,933

)

24,694

Accounts payable

31,824

10,224

Accrued compensation and employee benefits

(8,069

)

8,338

Other

(17,518

)

2,773

Net cash provided by operating activities

286,212

222,556

CASH FLOWS FROM INVESTING ACTIVITIES:

Acquisition of property and equipment

(26,805

)

(27,661

)

Business acquisitions, net of cash acquired

—

(117,247

)

Other investing activities

(877

)

(2,529

)

Net cash used in investing activities

(27,682

)

(147,437

)

CASH FLOWS FROM FINANCING ACTIVITIES:

Purchase of company stock and related excise taxes

(170,545

)

(214,887

)

Proceeds from issuance of debt

—

229,472

Retirement of debt obligations

—

(180,239

)

Other financing activities

(21,516

)

(12,208

)

Net cash used in financing activities

(192,061

)

(177,862

)

NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS

66,469

(102,743

)

Cash and cash equivalents - beginning of period

232,624

412,565

CASH AND CASH EQUIVALENTS - END OF PERIOD

$

299,093

$

309,822

Schedule 4

OPTION CARE HEALTH, INC.
QUARTERLY RECONCILIATION BETWEEN GAAP AND NON-GAAP MEASURES
(IN THOUSANDS, EXCEPT PER SHARE AMOUNTS)(UNAUDITED)

Three Months Ended
September 30,

Nine Months Ended
September 30,

2026

2025

2026

2025

Net income

$

57,433

$

51,816

$

156,689

$

149,081

Interest expense, net

12,875

14,146

40,199

41,824

Income tax expense

21,468

17,151

57,202

52,303

Depreciation and amortization expense

18,837

17,048

52,874

50,374

EBITDA

110,613

100,161

306,964

293,582

EBITDA adjustments

Stock-based incentive compensation expense

9,331

11,125

27,912

30,638

Loss on extinguishment of debt

—

4,744

—

4,744

Restructuring, acquisition, integration and other (1)

4,656

3,468

11,976

16,318

Adjusted EBITDA

$

124,600

$

119,498

$

346,852

$

345,282

Net income

$

57,433

$

51,816

$

156,689

$

149,081

Intangible asset amortization expense

9,269

9,269

27,808

27,663

Stock-based incentive compensation expense

9,331

11,125

27,912

30,638

Loss on extinguishment of debt (2)

—

4,744

—

4,744

Restructuring, acquisition, integration and other (1)

4,656

3,468

11,976

16,318

Total pre-tax adjustments

23,256

28,606

67,696

79,363

Tax adjustments (3)

(6,298

)

(7,183

)

(18,075

)

(20,634

)

Adjusted net income

$

74,391

$

73,239

$

206,310

$

207,810

Earnings per share, diluted

$

0.38

$

0.32

$

1.02

$

0.91

Adjusted earnings per share, diluted

$

0.49

$

0.45

$

1.34

$

1.26

Weighted average common shares outstanding, diluted

150,491

163,086

153,932

164,602

(1) Restructuring, acquisition, integration and other includes $5,640 and $13,796 of operating expenses for the three and nine months ended September 30, 2026, respectively. Restructuring, acquisition, integration and other includes $4,634 and $12,570 of operating expenses for the three and nine months ended September 30, 2025, respectively.

(2) Beginning with the three months ended September 30, 2025, adjusted net income excludes loss on extinguishment of debt on a prospective basis, which has been immaterial in prior periods.

(3) Tax adjustments for the three and nine months ended September 30, 2026 and 2025 include the estimated income tax effect on non-GAAP adjustments based on the effective tax rate.

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