Allion Healthcare (ALLI) reported third quarter earnings of 13 cents per share excluding expenses related to the merger with an affiliate of H.I.G. Capital, LLC, beating the Zacks Consensus Estimate by a penny. The company reported identical earnings in the year-ago quarter.
Revenues for the quarter came in at $103.4 million, against $92.1 million in the year-ago period, up 12.2%. Segment-wise, the specialty HIV division, through which Allion provides specialty pharmacy and disease management services focused on HIV/AIDS patients, recorded revenues of $78.4 million opposed to $70.3 million in the third quarter of 2008, up 11.5%. The increase in revenues in this segment is primarily attributable to an 8.2% increase in prescription volume and, to a lesser extent, an increase in the price of the anti-retroviral drugs sold by the company, partially offset by the decrease in revenues recognized for the California Pilot Program for the quarter.
The specialty infusion division, through which the company provides specialized biopharmaceutical medications and services to chronically ill patients, came in with revenues of $25 million as against $21.8 million in the year-ago period, up 14.7%. The increase in revenues in this segment is primarily attributable to volume growth in the company’s Blood Clotting Factor and IVIG therapy products as a result of the addition of new patients and, to a lesser extent, additional product sales to existing patients.
Gross profit for the reported quarter came in at $19 million, or 18.4% of net sales, compared with $16.6 million or 18% of net sales in the year-ago quarter. Selling, general and administrative expenses (SG&A) for the quarter came in at $10.2 million as against $8.9 million in the year-ago period, up 14.6%.
The company exited the quarter with $21.1 million in cash and cash equivalents and $0.26 million in short-term investments, as compared to cash and cash equivalents of $18.4 million and short-term investments of $0.26 million at the end of 2008.
Allion Healthcare Inc., headquartered in Melville, New York, is a national provider of specialty pharmacy and disease management services focusing on patients with HIV/AIDS. The company competes with players such as BioScrip Inc. (BIOS) and Express Scripts Inc. (ESRX).