Company also Provides Preliminary Results
for the 3rd Quarter and Updated Guidance for 2022
Owens & Minor, Inc. (NYSE-OMI) today announced certain
changes to its executive leadership team, including the appointment
of Andrew G. Long as EVP, CEO, Products & Healthcare Services
segment, replacing Jeffrey T. Jochims who will be leaving the
Company. Long has served as the Company’s EVP and CFO since joining
the Company in November 2019. In addition, Alexander J. Bruni has
been promoted to EVP and CFO, replacing Long.
“Andy has been a great leader at Owens & Minor and I am
looking forward to having Andy in this role where his skillset will
help drive the Products & Healthcare Services segment to a
stronger future. Andy is well prepared for these new
responsibilities and has a track record of success - building a
world-class finance organization, leading and strengthening our IT
capabilities and developing and deploying the Owens & Minor
Business System. Andy has earned the confidence of myself and the
Board of Directors as well our 20,000 teammates around the world
and we are certain he is the right person for this role,” said
Edward A. Pesicka, President and CEO.
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. He has previously served as CFO and COO of Centerline
Communications and as VP of Finance at Patheon.
“Alex has successfully served as the operating CFO of each
segment as well as leading our corporate FP&A function. This
broad experience has given Alex a view across the entire
organization and a deep understanding of the global enterprise,
preparing him very well for this new role,” said Andy Long.
Also today, the Company provided preliminary results for the
third quarter and updated guidance for full year 2022. For the
third quarter, the Company expects to report GAAP net income per
share in a range of $0.15 - $0.17 and expects adjusted net income
per share (non-GAAP) to be in a range of $0.39 - $0.41. A
reconciliation of the difference between the non-GAAP financial
measure and the most comparable GAAP financial measure is included
in a table below.
The Company has also updated its earnings guidance for 2022 and
now expects adjusted net income per share to be in a range of $2.50
- $2.60 for the full year and adjusted EBITDA to be in a range of
$527-$537 million. Previous full year guidance for adjusted net
income per share was in a range $2.85 - $3.15 and previous full
year guidance for 2022 adjusted EBITDA was $570-$610 million.
“While the Patient Direct segment continues to perform well, the
Products & Healthcare Services segment is facing more pressures
than previously expected with the unfavorable macro-economic
conditions that show no signs of abating, along with elevated
customer stocking levels and continued lower than expected hospital
procedure volume. Accordingly, the pace of change at Owens &
Minor must accelerate and I believe the leadership changes
announced today will provide the Company with the best opportunity
to contend with these headwinds,” Pesicka concluded.
Investor Conference Call for Third
Quarter 2022 Financial Results
The Company plans to release financial results for the third
quarter on Wednesday, November 2, 2022 prior to market open on the
New York Stock Exchange. The Company will host a conference call
and simultaneous webcast for investors at 8:30 a.m. ET on the same
day to review its financial results.
The live webcast will be available on Owens & Minor’s
Investor Relations website in the Events & Presentations
section. Conference call participants are required to register in
advance to obtain call-in information prior to the start of the
call.
Preliminary Financial
Data
The preliminary financial results disclosed in this release are
the Company's preliminary estimates of certain financial results
for the third quarter of 2022, which are based on currently
available information. The Company has not yet finalized its
results for this period and its consolidated financial statements
as of and for the quarter ended September 30, 2022 are not
currently available. The Company's actual results remain subject to
the completion of the quarter-end closing process, which includes
review by management and the Company's board of directors,
including the audit committee. While carrying out such procedures,
the Company may identify items that require it to make adjustments
to the preliminary estimates of its results set forth therein. As a
result, the Company's actual results could be different from those
set forth therein and the differences could be material. Therefore,
a reader should not place undue reliance on these preliminary
estimates of the Company's results, which may differ from the
Company’s actual reported results. The preliminary estimates of the
Company's results included therein have been prepared by, and are
the responsibility of, the Company's management. The Company's
Independent Registered Public Accounting Firm has not audited,
reviewed or compiled such preliminary estimates of the Company's
results. Accordingly, KPMG LLP expresses no opinion or any other
form of assurance with respect thereto. The preliminary estimates
of certain financial results presented herein do not represent a
comprehensive statement of the Company’s financial results and
should not be considered as final or as a substitute for the
information to be filed with the SEC in the Company's Quarterly
Report on Form 10-Q for the quarter ended September 30, 2022 once
it becomes available.
Safe Harbor
This release is intended to be disclosure through methods
reasonably designed to provide broad, non-exclusionary distribution
to the public in compliance with the SEC's Fair Disclosure
Regulation. This release contains certain ''forward-looking''
statements made pursuant to the Safe Harbor provisions of the
Private Securities Litigation Reform Act of 1995. These statements
include, but are not limited to, the statements in this release
regarding our future prospects and performance, including
expectations with respect to our 2022 financial performance, and
our preliminary results for the third quarter of 2022, industry
trends, as well as other statements related to the Company’s
expectations regarding the performance of its business including
its ability to address macro and market conditions. Forward-looking
statements involve known and unknown risks and uncertainties that
may cause our actual results in future periods to differ materially
from those projected or contemplated in the forward-looking
statements. Investors should refer to Owens & Minor’s Annual
Report on Form 10-K for the year ended December 31, 2021, filed
with the SEC including the sections captioned “Cautionary Note
Regarding Forward-Looking Statements” and “Item 1A. Risk Factors,”
and subsequent annual reports on Form 10-K, quarterly reports on
Form 10-Q and current reports on Form 8-K filed with or furnished
to the SEC, for a discussion of certain known risk factors that
could cause the Company’s actual results to differ materially from
its current estimates. These filings are available at
www.owens-minor.com. Given these risks and uncertainties, Owens
& Minor can give no assurance that any forward-looking
statements will, in fact, transpire and, therefore, cautions
investors not to place undue reliance on them. Owens & Minor
specifically disclaims any obligation to update or revise any
forward-looking statements, whether as a result of new information,
future developments or otherwise.
GAAP/Non-GAAP Reconciliations
(unaudited)
This release contains financial measures that are not calculated
in accordance with U.S. generally accepted accounting principles
("GAAP"). In general, the measures exclude items and charges that
(i) management does not believe reflect the Company’s core business
and relate more to strategic, multi-year corporate activities; or
(ii) relate to activities or actions that may have occurred over
multiple or in prior periods without predictable trends. Management
uses these non-GAAP financial measures internally to evaluate the
Company's performance, evaluate the balance sheet, engage in
financial and operational planning and determine incentive
compensation.
Management provides these non-GAAP financial measures to
investors as supplemental metrics to assist readers in assessing
the effects of items and events on its financial and operating
results and in comparing the Company's performance to that of its
competitors. However, the non-GAAP financial measures used by the
Company may be calculated differently from, and therefore may not
be comparable to, similarly titled measures used by other
companies.
The non-GAAP financial measures disclosed by the Company should
not be considered substitutes for, or superior to, financial
measures calculated in accordance with GAAP, and the financial
results calculated in accordance with GAAP and reconciliations to
those financial statements set forth above should be carefully
evaluated.
The following table provides a reconciliation of expected net
income per diluted common share to non-GAAP measures used by
management.
Three Months Ended
September 30, 2022
Low
High
Net income per diluted common share, as
reported (GAAP)
$
0.15
$
0.17
Intangible amortization
0.14
0.14
Acquisition-related and exit and
realignment charges
0.09
0.09
Other (1)
0.01
0.01
Net income per diluted common share,
adjusted (non-GAAP) (Adjusted EPS)
$
0.39
$
0.41
(1) Other includes interest costs and net
actuarial losses related to the U.S. Retirement Plan.
About Owens & Minor
Owens & Minor, Inc. (NYSE: OMI) is a Fortune 500 global
healthcare solutions company integrating product manufacturing and
delivery, home health supply, and perioperative services to support
care through the hospital and into the home. Owens & Minor
drives visibility, control and efficiency for patients, providers
and healthcare professionals across the supply chain with
proprietary technology and solutions, an extensive product
portfolio, an Americas-based manufacturing footprint for personal
protective equipment (PPE) and surgical products, as well as a
robust portfolio of products and services for patients managing
chronic and acute conditions in the home setting. Operating
continuously since 1882 from its headquarters in Richmond, Va.,
Owens & Minor is a 140-year-old company powered by more than
20,000 global teammates. Learn more at https://www.owens-minor.com,
follow @Owens_Minor on Twitter and connect on LinkedIn at
www.linkedin.com/company/owens-&-minor.
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version on businesswire.com: https://www.businesswire.com/news/home/20221012005318/en/
Alex Jost, CPA Director, Investor Relations
Investor.Relations@owens-minor.com
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