Omnicell shares tumble on weak guidance despite Q1 beat

Published 06/05/2025, 11:54
© Reuters

Investing.com -- Omnicell Inc. (NASDAQ:OMCL) reported better-than-expected first quarter results on Tuesday.

The company’s shares plunged -7.02% in premarket trading following the release.

The pharmacy automation company posted adjusted earnings per share of $0.26, beating analyst estimates of $0.21. Revenue came in at $269.67 million, surpassing the consensus forecast of $260.18 million and representing a 10% YoY increase.

However, Omnicell’s outlook disappointed investors. For the second quarter, the company expects EPS of $0.19-$0.32, well below analyst expectations of $0.42. Q2 revenue guidance of $270-280 million was roughly in line with estimates.

The full-year 2025 forecast was also weak, with Omnicell projecting EPS of $1.00-$1.65, compared to the $1.77 consensus. Revenue is expected to be $1.11-1.15 billion, in line with analyst estimates of $1.13 billion.

"While uncertainty surrounding the potential impact of tariffs has compelled us to update our full-year outlook, our focus on driving annual recurring revenue services and recurring revenue is expected to serve us well," said Randall Lipps, CEO of Omnicell.

The company cited strong growth in its XT Amplify program and SaaS offerings as key drivers of the Q1 performance. However, concerns about tariffs and supply chain costs led management to reduce its full-year profit guidance.

Despite the weak outlook, Omnicell maintained that its balance sheet remains strong, with $387 million in cash and cash equivalents as of March 31. The company generated $26 million in operating cash flow during Q1.

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