Option Care Health, the nation’s largest independent provider of home and alternate‑site infusion services, reported fourth‑quarter and full‑year 2025 results that included $1,465.4 million in revenue and adjusted diluted earnings per share of $0.46. The revenue figure surpassed consensus estimates of $1,460.0 million, while the EPS fell short of the $0.48 estimate, marking a modest miss of $0.02 per share.
Year‑over‑year, revenue grew 8.8 % to $1,465.4 million, driven by strong demand in the core infusion clinic segment and a 3.5 % increase in the home‑care infusion market. The full‑year 2025 revenue increase of 13.0 % reflects a 4.2 % rise in the alternate‑site infusion segment, offsetting a 1.8 % decline in the home‑care infusion segment, which was impacted by the early adoption of biosimilar products for Stelara.
Gross profit margin contracted from 22.0 % in Q4 2023 to 19.9 % in Q4 2024, and the full‑year 2024 margin fell to 20.3 % from 22.8 % in FY 2023. The compression is largely attributable to pricing pressure from biosimilar competition, particularly for Stelara, which has eroded revenue per infusion and increased cost of goods sold. Net income decreased 2.7 % in Q4 2025 and 2.0 % for the full year, underscoring the impact of margin erosion despite top‑line growth.
Management guided for 2026 net revenue of $5.8 billion to $6.0 billion, adjusted EBITDA of $480 million to $505 million, and adjusted diluted EPS of $1.82 to $1.92. The upward revision of revenue guidance signals confidence in continued demand for infusion services, while the modest EBITDA range reflects expectations of ongoing margin pressure from biosimilar headwinds. The guidance also indicates that the company plans to invest in technology, such as AI‑driven claims processing, to improve operational efficiency and offset cost pressures.
CEO John C. Rademacher said, "Our team continued to execute at a very high level to deliver extraordinary care and solid results in the fourth quarter and full year of 2025." CFO Meenal Sethna reaffirmed the 2026 guidance and noted that the outlook reflects a revenue growth headwind driven by "STELARA IRA and STELARA biosimilars conversion." The company also highlighted its acquisition of Intramed Plus in 2025 and its expansion of the infusion clinic network as strategic moves to strengthen market position.
Market reaction to the earnings release was negative, with the stock falling 6.01 % in pre‑market trading. Investors focused on the EPS miss and the continued impact of biosimilar adoption on margins, which outwehed the revenue beat and the company’s optimistic 2026 outlook. The reaction underscores the sensitivity of the market to profitability metrics in a sector facing significant competitive pressure from biosimilars.
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