PharMerica Corporation (NYSE:PMC), a national provider of institutional, specialty home infusion, and oncology pharmacy services, today reaffirmed the full year 2013 guidance provided on November 5, 2013 and announced preliminary full year 2014 guidance.
For the full year 2014, the Company preliminarily expects:
- Revenue in the range of $1.67 billion to $1.72 billion
- Adjusted diluted earnings per share in the range of $1.35 to $1.50 1
The Company notes that its preliminary 2014 guidance reflects the impact of the Company’s recently announced investment in Onco360 but does not include the effect of any potential 2014 acquisition activity. PharMerica is targeting acquisitions that generate at least $100 million of annualized sales, in the aggregate, in each of 2014 and 2015.
Greg Weishar, PharMerica Corporation’s Chief Executive Officer, said, “2013 was a strong year for PharMerica, and we expect the organic bed growth to continue in 2014. Fiscal 2014 will be a transitional year for the Company, with significant potential upside in 2015 to come from accretive external growth opportunities. We are confident that our 2015 financial performance will be in line with or better than the Company’s 2013 financial results due to the strong tailwinds and anticipated acquisitions. We look forward to delivering strong financial performance and shareholder value in 2015 and beyond.”
PharMerica believes a number of factors position the Company to build an even stronger growth profile and create meaningful value for shareholders:
- Significant opportunity for acquisitions;
- Strategic investment in Onco360 to expand PharMerica’s presence in the rapidly growing oncology market;
- Partnership with Innovatix to advance PharMerica’s position in the home infusion and specialty market;
- Favorable demographic trends including an aging population;
- Improving sales productivity;
- Increasing number of brand-to-generic conversions;
- Strong brand drug price inflation;
- Lower cost of goods driven by increasing volumes of generic purchased directly from manufacturers;
- Other supply chain initiatives that drive savings; and
- Continued growth of Amerita and the specialty home infusion segment.
PharMerica also today provided an update on its ongoing restructuring efforts. The Company has taken steps to right size its cost structure and will continue to adjust its workforce and facility plans to reflect anticipated business needs.