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Omnicare COO Buys Shares (OCR)

Omnicare Inc. (NYSE: OCR) COO Nitin Sahney bought 10,000 shares of OCR common stock at a total value of $320,000, according to a SEC filing made by the company on Monday.

OCR shares have opened higher in trading today. At last check, the stock was trading 0.96% higher at $31.71. Year-to-date, OCR shares have fallen 8.04%, compared to a gain of 11.42% for the S&P 500.

Based in Cincinnati, Ohio, Omnicare is a healthcare services company operating in two primary businesses; Long-Term Care Group (LTC) and Specialty Care Group (SCG).

Late last month, OCR reported its second-quarter financial results, posting net sales of $1.536 billion, compared net sales of $1.556 billion reported for the same period in the previous year. The company’s gross profit for the second quarter ended June 30, 2012 was $367.3 million, compared to $336.4 million reported for the same period in the previous year.

OCR reported GAAP income from continuing operations of $0.17 per share, compared to $0.32 per share reported for the same period in the previous year.

OCR’s adjusted cash earnings per diluted share from continuing operations were $0.83 for the second quarter, compared to $0.69 reported for the same period in the previous year. Adjusted EBITDA for the second quarter ended June 30, 2012 was $170.3 million, compared to $146.3 million reported for the same period in the previous year.

Sahney said that OCR’s second-quarter results were driven by solid performances from both of its divisions. Sahney further said that within LTC Group, seasonably weaker utilization was more than offset by the continued benefit from generic drug introductions as well as improved operating efficiencies and OCR’s SCG Group was similarly efficient, with strong revenue growth once again supported by a 31 basis point adjusted operating margin improvement.

John L. Workman, Omnicare’s Interim CEO, said that OCR is pleased to report another quarter of double-digit adjusted earnings growth. Workman said that OCR’s results reflect the ongoing, positive effect of generic drug efficiencies as well as continued acceleration in its SCG Group.

Looking ahead to the full year, Omnicare expects revenue to come in between $6.1 billion and $6.2 billion. Adjusted cash earnings per diluted share for the full year are expected to come in between $3.10 and $3.20.

 


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All stories in DailyStocks.com are for informational purposes only. This is NOT a stock recommendation. This DailyStocks.com story is a daily light analysis featuring a stock with insider buying. With some caveats, insiders purchase a stock because they think the stock is going up. There are other factors to consider such as size of the transaction relative to their compensation and net worth. Sometimes, insiders might be propping a stock price up for future financing. Sometimes, the amount of insider buying are misread or misreported. Each month, DailyStocks releases a a summary of the stocks with insider buying. Sign up for the free monthly newsletter at DailyStocks.com . About Dailystocks.com: DailyStocks.com is the place where you can find stories about stocks with insider buying, where you can educate yourself about stock market investing, and where you can perform the stock search engine analysis – you enter a stock symbol, and you get a resulting page of stock ticker indexed links so that you do not have to type the stock symbol each time.