Option Care Health, Inc.

Good day, and thank you for standing by. Welcome to the Option Care Health second quarter 2025 earnings conference call. At this time, all participants are in a listen-only mode. After the speaker's presentation, there will be a question and answer session. To ask a question during the session, you will need to press star 11 on your telephone. You will then hear an automated message advising your hand is raised. To withdraw your question, please press star 11 again. Please be advised that today's conference is being recorded. I would now like to hand the conference over to your speaker today, Nicole Maggio, Senior Vice President of Finance. Please go ahead.

Good morning. Please note that today's discussion will include certain forward-looking statements that reflect our current assumptions and expectations, including those related to our future financial performance and industry and market conditions. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from our expectations. We encourage you to review the information in today's press release as well as in our Form 10-K filed with the SEC regarding the specific risks and uncertainties. We do not undertake any duty to update any forward-looking statements except as required by law. During this call, we will use non-GAAP financial measures when talking about the company's performance and financial condition. You can find additional information on these non-GAAP measures in this morning's press release posted on the Investor Relations portion of our website. And with that, I will turn the call over to John Radmaker, President and Chief Executive Officer.

Thanks, Nicole, and good morning, everyone. As you will see in our second quarter results, the OptionCare Health team delivered another strong quarter with balanced growth across the portfolio. As a result, we are increasing our guidance range for the year across revenue, adjusted EBITDA, and adjusted EPS. OptionCare Health operates in an industry with growing demand. And we believe we are well positioned as a leading independent provider of home and alternate site infusion services with significant scale, a diverse portfolio, and a resilient operating model. During the quarter, our team continued to capitalize on shifting competitive dynamics and deepening partnerships with payers and pharma manufacturers. We also capitalized on our national scale with local responsiveness, which we believe remains a differentiator. And we continue to see positive impacts on the resilient and nimble operating model we have created, which enables us to deliver consistent results in any operating environment. Indeed, over my nearly 10 years leading this organization, Option Care Health has thrived through regulatory change, biosimilar events, changing competitive dynamics, therapy administration shifts, and labor and supply shortages. This quarter was no different, and I believe we are well positioned for success going forward. Mike will go deeper into the financials in a few minutes, but to highlight some key takeaways, revenue momentum continued in the second quarter with balanced performance across the portfolio. Building on first quarter results, we delivered revenue growth of 15% over the second quarter of last year. Acute therapy growth was in the mid-teens, and the team executed well to capitalize on shifting industry dynamics and to leverage our continued investments and capabilities to be locally responsive to serve the specific needs of patients on these therapies. Our chronic therapies also performed well with growth in the mid-teens. We continue to see solid performance in our rare and orphan and limited distribution therapies, a testament to our national scale and ability to reach smaller cohorts of patients as we continue to partner with pharma to develop and deliver innovative programs customized to their therapies. The strength of the top-line performance across the broad set of therapies, along with disciplined spending, drove 5% adjusted EBITDA growth on a year-over-year basis, despite the previously articulated headwinds that we faced. During the quarter, we continue to focus on our relationships with health plans as we believe our value proposition provides a meaningful opportunity to reduce the total cost of care for their members and help them better manage their medical loss ratios. Providing high-quality care at an appropriate cost in a setting in which their members want to receive it makes us an important part of the solution to the pressures they are facing of an aging population and increase disease prevalence and utilization of healthcare services. Our market access team continue to work closely with national payers and health plans across the country to develop meaningful programs to broaden access and provide better, more cost-effective care for their members. We also continue to deepen our relationships with our pharma partners by leveraging our clinical capabilities, pharmacy infrastructure, and broad geographic coverage to help enable tailored programs and services to patient populations with complex needs. Our network of nearly 90 pharmacies, coupled with our clinical centers of excellence and extensive nursing network of over 3,000 nurses, including Navin Health, provides a strong platform and unparalleled capabilities. We continue to expand our portfolio of therapies, including Yistugo and Zesturi, as well as a number of other limited distribution and rare and orphan drugs, demonstrating our capabilities to serve the needs of patients with these complex situations. Shifting gears, one of the hallmarks of our business has been our focus on operating effectiveness and cash generation. As a result, we have a strong balance sheet and flexibility to deploy capital to increase value to our shareholders. In the second quarter, we generated over $90 million in cash flow from operations, and we are well on our way to delivering more than 320 million of cash flow from operations in the full year. Our multifaceted approach to capital deployment allows us to thoughtfully assess opportunities to utilize our cash through M&A, internal investments, or share repurchases. We remain active in assessing both M&A and internal investment opportunities as we look to strengthen our platform and add to our solution set and clinical capabilities. Share repurchase continues to be an attractive way to create value for our shareholders, as evidenced in our adjusted EPS performance, and underscores the confidence we have in the business and its long-term potential. To that end, we executed on $50 million of share repurchases during the quarter. We also continue to invest in our people, process, technology, and facilities, For example, the investments we made in artificial intelligence, advanced analytics, and our partnership with Palantir support our commitment to improving operating efficiency and have been critical to our leveraged growth. On the clinical resource efficiency front, approximately 35% of our nursing visits occurred in one of our suites this quarter, and Navin Health conducted almost 54,000 nursing visits in the quarter. Both of these remain key enablers of our ability to effectively take on new patients. Further, on the advanced practitioner model, we continue to believe this represents an attractive complement to our current home infusion services and an opportunity to drive growth both through expanding our competencies as well as providing access to new patient cohorts. This clinical model provides a platform to serve higher-acuity patients under the care of a nurse practitioner, as well as to leverage therapies already in our portfolio to support patients who otherwise may not have been able to be served profitably. Our investments in Intramed Plus and elsewhere across the country have provided valuable insights into our successful execution of this model, which we believe are critical to expanding across our national network. Given the strength of the first half of this year, we have increased our full-year revenue, adjusted EBITDA, and adjusted EPS guidance range, which reflects our confidence in the momentum underway and the continued resilience of our platform and execution of our team. With that, I'll hand the call over to Mike to provide additional details.