Omnicell(OMCL) - 2024 Q1 - Quarterly Results

Omnicell Q1 2024 Earnings Release Financial Performance Omnicell's Q1 2024 results exceeded guidance, with revenues declining 15% to $246 million and a GAAP net loss of $16 million, yet operating cash flow increased - First quarter 2024 results exceeded previously issued guidance across all key metrics[2] - Year-over-year revenue decreased due to a challenging customer environment and the completed XT Series systems replacement cycle[4] Q1 2024 Financial Highlights (vs. Q1 2023) | Metric | Q1 2024 | Q1 2023 | Change (YoY) | | :--- | :--- | :--- | :--- | | Total GAAP Revenues | $246 million | $290 million | -15% | | GAAP Net Loss | $16 million | $15 million | +$1 million | | GAAP Diluted EPS | $(0.34) | $(0.33) | - | | Non-GAAP Net Income | $1 million | $17 million | -94% | | Non-GAAP Diluted EPS | $0.03 | $0.39 | -92% | | Non-GAAP EBITDA | $11 million | $27 million | -59% | Balance Sheet and Cash Flow Summary (as of March 31, 2024) | Metric | Value | Comparison | | :--- | :--- | :--- | | Cash and Cash Equivalents | $512 million | - | | Total Debt (net) | $570 million | - | | Total Assets | $2.28 billion | - | | Cash Flow from Operations | $50 million | vs. $13 million in Q1 2023 | Corporate Highlights and Outlook Omnicell focuses on innovation and a business review, maintaining full-year 2024 guidance of $1.045-$1.120 billion in revenues and providing Q2 2024 projections - A holistic business review is underway to identify financial and operational improvements for stockholder value[3][14] - Key corporate activities included introducing XT Amplify, hosting Illuminate 2024, publishing the 2023 ESG Report, and launching a refreshed website[14] Full Year 2024 Guidance (Unchanged) | Metric | 2024 Guidance Range | | :--- | :--- | | Bookings | $750 million - $875 million | | Total Revenues | $1.045 billion - $1.120 billion | | Non-GAAP EBITDA | $90 million - $120 million | | Non-GAAP EPS | $0.90 - $1.40 | Second Quarter 2024 Guidance | Metric | Q2 2024 Guidance Range | | :--- | :--- | | Total Revenues | $250 million - $260 million | | Non-GAAP EBITDA | $14 million - $20 million | | Non-GAAP EPS | $0.10 - $0.20 | Financial Statements This section presents the unaudited condensed consolidated financial statements for Q1 2024, including Statements of Operations, Balance Sheets, and Cash Flows Condensed Consolidated Statements of Operations Q1 2024 total revenues were $246.15 million, down from $290.63 million in Q1 2023, resulting in a GAAP net loss of $15.68 million Q1 2024 vs Q1 2023 Statement of Operations (in thousands) | Line Item | Q1 2024 | Q1 2023 | | :--- | :--- | :--- | | Total revenues | $246,151 | $290,629 | | - Product revenues | $133,295 | $185,715 | | - Services revenues | $112,856 | $104,914 | | Gross profit | $92,623 | $125,029 | | Loss from operations | $(21,847) | $(22,963) | | Net loss | $(15,676) | $(15,000) | | Diluted net loss per share | $(0.34) | $(0.33) | Condensed Consolidated Balance Sheets As of March 31, 2024, total assets were $2.28 billion, with cash at $512.36 million, and total liabilities at $1.10 billion Balance Sheet Summary (in thousands) | Account | March 31, 2024 | December 31, 2023 | | :--- | :--- | :--- | | Cash and cash equivalents | $512,364 | $467,972 | | Total current assets | $989,918 | $927,571 | | Total assets | $2,283,755 | $2,226,878 | | Total current liabilities | $416,364 | $367,792 | | Convertible senior notes, net | $570,439 | $569,662 | | Total liabilities | $1,095,158 | $1,037,924 | | Total stockholders' equity | $1,188,597 | $1,188,954 | Condensed Consolidated Statements of Cash Flows Net cash from operating activities significantly increased to $49.95 million in Q1 2024, with total cash, equivalents, and restricted cash at $550.0 million Q1 2024 vs Q1 2023 Cash Flow (in thousands) | Activity | Q1 2024 | Q1 2023 | | :--- | :--- | :--- | | Net cash provided by operating activities | $49,953 | $12,770 | | Net cash used in investing activities | $(12,340) | $(13,640) | | Net cash provided by financing activities | $11,926 | $3,862 | | Net increase in cash, cash equivalents, and restricted cash | $48,983 | $3,168 | Non-GAAP Financial Measures and Reconciliation Omnicell utilizes non-GAAP measures like net income, EBITDA, and free cash flow to provide insights into core operating performance, with detailed reconciliations to GAAP results - Non-GAAP financial measures are used to facilitate period-to-period comparisons of core operating results by excluding non-recurring items[21][22] - Key non-GAAP adjustments include share-based compensation, amortization of acquired intangibles, acquisition-related costs, severance, and restructuring charges[23][27] Reconciliation of GAAP Net Loss to Non-GAAP Net Income (Q1 2024, in thousands) | Description | Amount | | :--- | :--- | | GAAP net loss | $(15,676) | | Share-based compensation expense | $8,641 | | Amortization of acquired intangibles | $5,960 | | RDS restructuring | $3,272 | | Other adjustments (net) | $(1,027) | | Non-GAAP net income | $1,220 | Reconciliation of GAAP Net Loss to Non-GAAP EBITDA (Q1 2024, in thousands) | Description | Amount | | :--- | :--- | | GAAP net loss | $(15,676) | | Interest, Taxes, Depreciation & Amortization | $13,683 | | Share-based compensation expense | $8,641 | | Other adjustments | $4,189 | | Non-GAAP EBITDA | $10,837 | Reconciliation to Non-GAAP Free Cash Flow (Q1 2024, in thousands) | Description | Amount | | :--- | :--- | | GAAP net cash provided by operating activities | $49,953 | | External-use software development costs | $(3,383) | | Purchases of property and equipment | $(8,957) | | Non-GAAP free cash flow | $37,613 |