Owens & Minor Shares Plummet On Reduced Annual Forecasts

Owens & Minor Shares Plummet On Reduced Annual Forecasts
  • Owens & Minor Inc OMI expects Q3 GAAP EPS of $0.15 - $0.17 and adjusted EPS of $0.39 - $0.41, below the consensus of $0.51.
  • The company has also updated its FY22 adjusted EPS guidance of $2.50 - $2.60, down from the previous guidance of $2.85 - $3.15.
  • OMI expects adjusted EBITDA of $527-$537 million, compared to the earlier forecast of $570-$610 million.
  • The company said the Patient Direct segment continues to perform well. The Products & Healthcare Services segment is facing more pressures than previously expected, with unfavorable macroeconomic conditions that show no signs of abating, elevated customer stocking levels, and continued lower-than-expected hospital procedure volume. 
  • The company also appointed Andrew Long as EVP, CEO of the Products & Healthcare Services segment, replacing Jeffrey Jochims, who will leave the company. 
  • Long has served as the Company's EVP and CFO since joining the Company in November 2019. In addition, Alexander Bruni has been promoted to EVP and CFO, replacing Long.
  • Alex Bruni joined Owens & Minor in April 2020 and has served as SVP of Finance, first leading corporate FP&A, then progressing to become the finance leader of the Products & Healthcare Services segment and, most recently, the Patient Direct segment.
  • Price Action: OMI shares are down 19.50% at $18.69 during the premarket session on the last check Wednesday.
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