What changed in this filing

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Item 8. Financial Statements and Supplementary Data

2026-02-24 compared with 2025-02-26 · 179 added, 135 removed, 736 unchanged (30% of the section changed)

74 unchanged sentences

$ 0.0001 par value;

12,500,000 shares authorized, no shares outstanding as of December 31, 2024 and 2023, respectively.

12,500,000 shares authorized, no shares outstanding as of December 31, 2025 and 2024

Common stock;

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Retained earnings 876,921 669,336

Accumulated other comprehensive income 11,047 14,978

Accumulated other comprehensive income (loss) 4,106 11,047

Total stockholders’ equity 1,326,393 1,404,238

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NET INCOME $ 207,585 $ 211,823 $ 267,090

OTHER COMPREHENSIVE (LOSS) INCOME, NET OF TAX:

OTHER COMPREHENSIVE INCOME (LOSS), NET OF TAX:

Change in unrealized (loss) gain on cash flow hedges, net of income tax benefit (expense) of $ 2,272 , $ 1,284 , and $ 2,158 , respectively

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Deferred income taxes, net 8,443 12,656 12,766

Gain on sale of assets — — ( 9,403 )

Loss on extinguishment of debt 4,744 377 —

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Purchase of company stock and related excise taxes ( 309,951 ) ( 252,726 ) ( 250,261 )

Proceeds from warrant exercises — — 20,916

Proceeds from issuance of debt 229,472 49,959 —

Repayments of debt principal ( 4,951 ) ( 6,384 ) ( 6,000 )

Retirement of debt obligations ( 180,239 ) — —

Deferred financing costs ( 3,382 ) ( 77 ) —

Other financing activities 2,345 3,404 ( 5,750 )

Net cash (used in) provided by financing activities ( 218,206 ) ( 265,126 ) 15,268

NET INCREASE IN CASH AND CASH EQUIVALENTS 68,716 49,663 174,763

Cash and cash equivalents - beginning of the period 343,849 294,186 119,423

Net cash used in financing activities ( 277,305 ) ( 218,206 ) ( 265,126 )

NET (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS ( 179,941 ) 68,716 49,663

Cash and cash equivalents - beginning of period 412,565 343,849 294,186

CASH AND CASH EQUIVALENTS - END OF PERIOD $ 232,624 $ 412,565 $ 343,849

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Exercise of stock options, vesting of restricted stock, and related tax withholdings — — — ( 3,115 ) — — ( 3,115 )

Exercise of warrants — — — 20,916 — — 20,916

Purchase of company stock, and related tax effects — — ( 252,704 ) — — — ( 252,704 )

Net income — — — — 267,090 — 267,090

Other comprehensive income — — — — — 21,610 21,610

Other comprehensive loss — — — — — ( 6,181 ) ( 6,181 )

Balance - December 31, 2023 $ — $ 18 $ ( 255,107 ) $ 1,204,270 $ 457,513 $ 14,978 $ 1,421,672

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NATURE OF OPERATIONS AND PRESENTATION OF FINANCIAL STATEMENTS

Corporate Organization and Business — The Company’s stock is listed on the Nasdaq Global Select Market as of December 31, 2024.

During the year ended December 31, 2023, HC Group Holdings I, LLC.

(“HC I”), a former affiliated shareholder, completed sales of 23,771,926 shares of its Option Care common stock which resulted in the full divestment by HC 1 at that time.

In addition, the Company repurchased 2,475,166 shares from HC I on March 3, 2023 under the Company’s share repurchase program.

See Note 16, Stockholders’ Equity , for further discussion of the Company’s share repurchase program.

Option Care Health, and its wholly-owned subsidiaries, provides infusion therapy and other ancillary healthcare services through a national network of 92 full service pharmacies and 93 stand-alone ambulatory infusion sites.

Corporate Organization and Business — Option Care Health, and its wholly-owned subsidiaries, provide infusion therapy and other ancillary healthcare services through a national network of 87 full service pharmacies, including 73 with ambulatory infusion suites.

Additionally, the Company has 109 stand-alone ambulatory infusion sites, including 27 with advanced practitioner capabilities.

The Company contracts with managed care organizations, third-party payers, hospitals, physicians, and other referral sources to provide pharmaceuticals and complex compounded solutions to patients for intravenous delivery in the patients’ homes or other nonhospital settings.

The Company operates in one segment, infusion services.

The Company’s stock is listed on the Nasdaq Global Select Market as of December 31, 2025, under the stock ticker OPCH.

Basis of Presentation — The accompanying consolidated financial statements have been prepared in conformity with generally accepted accounting principles (“GAAP”) in the United States.

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Included in accounts receivable are earned but unbilled gross receivables of $ 155.1 million and $ 105.3 million as of December 31, 2025 and 2024, respectively.

Delays ranging from one day up to several weeks between the date of service and billing can occur due to delays in obtaining certain required payer-specific documentation from internal and external sources.

Delays ranging from one day up to several weeks between the date of service and billing can occur due to standard billing practices and delays in obtaining certain required payer-specific documentation from internal and external sources.

See “Revenue Recognition” for a further discussion of the Company’s revenue recognition policy.

Inventories — Inventories, which consist primarily of pharmaceuticals, is stated at the lower of first‑in, first‑out cost or net realizable value basis, which the Company believes is reflective of the physical flow of inventories.

Prepaid Expenses and Other Current Assets — Included in prepaid expenses and other current assets are rebates receivable from pharmaceutical and medical supply manufacturers of $ 54.4 million and $ 52.0 million for the years ended December 31, 2024 and 2023, respectively.

Inventories — Inventories, which consist primarily of pharmaceuticals, are stated at the lower of first‑in, first‑out cost or net realizable value basis, which the Company believes is reflective of the physical flow of inventories.

Prepaid Expenses and Other Current Assets — Included in prepaid expenses and other current assets are volume-based rebates receivable from pharmaceutical and medical supply manufacturers of $ 35.3 million and $ 54.4 million for the years ended December 31, 2025 and 2024, respectively.

Leases — The Company has lease agreements for facilities, warehouses, office space and property and equipment.

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Intangible assets arising from the Company’s acquisitions are amortized on a straight‑line basis over the estimated useful life of each asset.

Referral sources have a useful life of fifteen to twenty years .

Trademarks/names have a useful life ranging from two to fifteen years .

The useful lives for other amortizable intangible assets range from approximately two to nine years .

Referral sources have a useful life ranging from fifteen to twenty years .

Trademarks/names have a useful life ranging from ten to fifteen years .

The other amortizable intangible assets have a useful life of approximately five years .

The Company does not have any indefinite‑lived intangible assets.

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Costs recognized in the preliminary project phase and the post-implementation phase, as well as maintenance and training costs, are expensed as incurred.

See “Recently Issued Accounting Pronouncements” for discussion of ASU 2025-06 and upcoming changes to accounting for software costs.

The Company assesses long‑lived assets for impairment whenever events or circumstances indicate that a certain asset or asset group may be impaired.

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As of December 31, 2025 and 2024, the balance of the investments was $ 27.9 million and $ 24.5 million, respectively.

The investments are increased to reflect the Company’s capital contributions and equity in earnings of the investees.

The investments are decreased to reflect the Company’s equity in losses of the investees and for distributions received that are not in excess of the carrying amount of the investments.

The balance of these investments is increased to reflect the Company’s capital contributions and equity in earnings of the investees.

The balance of these investments is decreased to reflect the Company’s equity in losses of the investees and for distributions received that are not in excess of the carrying amount of the investments.

The Company’s proportionate share of earnings or losses of the investees is recorded in equity in earnings of joint ventures in the accompanying consolidated statements of comprehensive income.

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Any unsatisfied or partially unsatisfied performance obligations at the end of a reporting period are generally completed prior to the patient being discharged.

See Note 4, Revenue for a further discussion of revenue.

See Note 4, Revenue for further discussion of revenue.

Cost of Revenue — Cost of revenue consists of the actual cost of pharmaceuticals and other medical supplies dispensed to patients, as well as all other costs directly related to the production of revenue.

These costs include warehousing costs, purchasing costs, freight costs, cash discounts, wages and related costs for pharmacists and nurses, along with depreciation expense relating to revenue-generating assets, such as infusion pumps.

These costs include warehousing costs, purchasing costs, freight costs, cash discounts, volume-based rebates, wages and related costs for pharmacists and nurses, along with depreciation expense relating to revenue-generating assets, such as infusion pumps.

The Company also receives rebates from pharmaceutical and medical supply manufacturers.

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Business Acquisitions — The Company accounts for business acquisitions in accordance with ASC Topic 805, Business Combinations , with assets and liabilities being recorded at their acquisition date fair value and goodwill being calculated as the purchase price in excess of the net identifiable assets.

See Note 3, Business Acquisitions and Divestitures , for further discussion of the Company’s business acquisitions.

See Note 3, Business Acquisitions , for further discussion of the Company’s business acquisitions.

Income Taxes — The Company accounts for income taxes using the asset and liability method.

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There were no other managed care contracts that represent greater than 10% of revenue for the years presented.

For the years ended December 31, 2024, 2023 and 2022, approximately 12 %, 12 % and 12 %, respectively, of the Company’s revenue was reimbursable through direct government healthcare programs such as Medicare and Medicaid.

For the years ended December 31, 2025, 2024, and 2023, approximately 12 % of the Company’s revenue was reimbursable through direct government healthcare programs such as Medicare and Medicaid.

As of December 31, 2025 and 2024, approximately 13 % and 11 %, respectively, of the Company’s accounts receivable was related to these programs.

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As a result, there is at least a reasonable possibility that recorded estimates will change in the near term.

The Company does not require its patients nor other payers to carry collateral for any amounts owed for goods or services provided.

Other than as discussed above, concentrations of credit risk relating to trade accounts receivable is limited due to the Company’s diversity of patients and payers.

The Company does not require its patients or other payers to carry collateral for any amounts owed for goods or services provided.

Other than as discussed above, concentrations of credit risk relating to trade accounts receivable are limited due to the Company’s diversity of patients and payers.

Further, the Company generally does not provide charity care;

however, Option Care Health offers a financial assistance program for patients that meet certain defined hardship criteria.

For the year ended December 31, 2025, approximately 68 % of the Company’s pharmaceutical and medical supply purchases were from four vendors.

For the year ended December 31, 2024, approximately 58 % of the Company’s pharmaceutical and medical supply purchases were from three vendors.

For the years ended December 31, 2023 and 2022, approximately 72 % and 73 %, respectively, of the Company’s pharmaceutical and medical supply purchases were from four vendors.

Although there are a limited number of suppliers, the Company believes that other vendors could provide similar products on comparable terms.

However, a change in suppliers could cause delays in service delivery and possible losses in revenue or decreased gross profit, which could adversely affect the Company’s financial condition or operating results.

For the year ended December 31, 2023, approximately 72 % of the Company’s pharmaceutical and medical supply purchases were from four vendors.

Most of the pharmaceutical and medical supplies that we purchase are available from multiple distributors, and we believe they are available in sufficient quantities to meet our needs and the needs of our patients.

However, a change in suppliers could cause delays in service delivery and possible losses in revenue, which could adversely affect the Company’s financial condition or operating results.

Fair Value Measurements — The fair value measurement accounting standard, ASC Topic 820, Fair Value Measurement (“ASC 820”), provides a framework for measuring fair value and defines fair value as the price that would be received to sell an asset or paid to transfer a liability.

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While the Company believes its valuation methods are appropriate and consistent with other market participants, the use of different methodologies or assumptions to determine the fair value of certain financial instruments could result in a different fair value measurement at the reporting date.

Recently Issued Accounting Pronouncements — In November 2024, the FASB issued ASU 2024-03, Income Statement - Reporting Comprehensive Income - Expense Disaggregation Disclosures (Subtopic 220-40):

Recently Issued Accounting Pronouncements — In December 2025, the FASB issued ASU 2025-11, Interim Reporting (Topic 270):

Narrow-Scope Improvements .

This ASU improves the navigability of the required interim disclosures, clarifies when the guidance in Topic 270 is applicable, and provides additional guidance on what disclosures should be provided in interim reporting periods.

The amendments also require entities to disclose events since the end of the last annual reporting period that have a material impact on the entity.

The FASB does not intend to change the fundamental nature of interim reporting or expand or reduce current interim disclosure requirements, but rather intends to provide clarity on the current interim reporting requirements.

The Company is required to adopt this ASU for interim reporting periods within annual reporting periods beginning after December 15, 2027, with early adoption permitted.

The Company is currently evaluating the impact of this ASU on its results of operations, cash flows, financial position, and disclosures.

In September 2025, the FASB issued ASU 2025-06, Intangibles - Goodwill and Other - Internal-Use Software (Subtopic 350-40):

Targeted Improvements to the Accounting for Internal-Use Software.

This ASU modernizes the accounting for software costs that are accounted for under Subtopic 350-40 and improves the operability of the guidance by removing all references to software development project stages so that the guidance is neutral to different software development methods, including methods that entities may use to develop software in the future.

The FASB expects that capitalization of internal-use software costs generally will not change significantly for most types of software under the amendments in this update.

The Company is required to adopt this ASU for annual reporting periods beginning after December 15, 2027, and interim reporting periods within those annual reporting periods, with early adoption permitted.

This ASU was adopted as of January 1, 2026 and will be applied prospectively to the 2026 annual reporting period.

The adoption will not have any material impact on the Company’s results of operations, cash flows, financial position, or disclosures.

In November 2024, the FASB issued ASU 2024-03, Income Statement - Reporting Comprehensive Income - Expense Disaggregation Disclosures (Subtopic 220-40):

Disaggregation of Income Statement Expenses .

This ASU improves the disclosures around a public business entity’s expenses and address requests from investors for more detailed information about the types of expenses (including purchases of inventory, employee compensation, depreciation, amortization, and depletion) in commonly presented expense captions (such as cost of sales, SG&A, and research and development).

This ASU improves the disclosures around a public business entity’s expenses and addresses requests from investors for more detailed information about the types of expenses (including purchases of inventory, employee compensation, depreciation, amortization, and depletion) in commonly presented expense captions (such as cost of sales, SG&A, and research and development).

The amendments in this ASU do not change or remove current presentation requirements or current expense disclosure requirements.

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The Company is required to adopt this ASU for annual periods beginning after December 15, 2024, with early adoption permitted.

The Company is currently evaluating the impact of this ASU on its results of operations, cash flows, financial position, and disclosures.

In November 2023, the FASB issued ASU 2023-07, Segment Reporting (Topic 280):

Improvements to Reportable Segment Disclosures .

This ASU improves the disclosures about a public entity’s reportable segments and addresses requests from investors for additional, more detailed information about a reportable segment’s expenses.

The ASU improves financial reporting by requiring disclosure of incremental segment information on an annual and interim basis for all public entities, including those public entities that have a single reportable segment, to enable investors to develop more decision-useful financial analyses.

The Company is required to adopt this ASU for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024, with early adoption permitted.

This ASU was adopted during the year ended December 31, 2024 and applied retrospectively to all prior periods presented in the financial statements.

This ASU was adopted during the year ended December 31, 2025 and applied prospectively.

The adoption did not have any material impact on the Company’s results of operations, cash flows, financial position, or disclosures.

See Note 18, Segment Reporting , for further discussion.

See Note 6, Income Taxes , for further discussion.

In October 2023, the FASB issued ASU 2023-06, Disclosure Improvements:

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The Company is currently evaluating the impact of this ASU on its results of operations, cash flows, financial position, and disclosures.

BUSINESS ACQUISITIONS AND DIVESTITURES

BUSINESS ACQUISITIONS

Intramed Plus, Inc.

— On January 24, 2025, pursuant to the securities purchase agreement dated November 27, 2024, the Company completed the acquisition of 100 % of the equity interests in Intramed Plus, Inc.

(“Intramed Plus”) for a purchase price, net of cash acquired, of $ 117.2 million.

The allocation of the purchase price of Intramed Plus was accounted for as a business combination in accordance with ASC Topic 805, Business Combinations, with the total purchase price being allocated to the assets and liabilities acquired based on the estimated fair value of each asset and liability.

Certain adjustments were made to preliminary valuation amounts related to accounts receivable, net during the year ended December 31, 2025.

The following is a final allocation of the consideration transferred to acquired identifiable assets and assumed liabilities, net of cash acquired (in thousands), as of December 31, 2025:

Accounts receivable, net $ 9,240

Referral sources (1) 36,800

Trademarks/names (1) 8,300

Inventory 2,693

Other assets 4,831

Accounts payable and other liabilities ( 11,114 )

Fair value identifiable assets and liabilities 50,750

Goodwill (2) 66,497

Cash acquired 2,968

Purchase price 120,215

cash acquired ( 2,968 )

Purchase price, net of cash acquired $ 117,247

(1) Referral sources and trademarks/names have been assigned a useful life of 15 years.

(2) Goodwill is attributable to cost synergies from procurement and operational efficiencies and elimination of duplicative administrative costs.

Amedisys, Inc.

— On May 3, 2023, the Company entered into a definitive merger agreement with Amedisys.

Under the terms of the merger agreement, the Company would issue new shares of its common stock to Amedisys stockholders, which would result in the Company’s stockholders holding approximately 64.5 % of the combined company.

On June 26, 2023, the Company entered into an agreement to terminate the Amedisys Merger Agreement.

Under the terms of the Mutual Termination Agreement, the Company received a payment of $ 106.0 million in cash on behalf of Amedisys.

— On May 3, 2023, the Company entered into a definitive merger agreement (the “Amedisys Merger Agreement”) with Amedisys, Inc.

(“Amedisys”).

Under the terms of the Amedisys Merger Agreement, the Company would issue new shares of its common stock to Amedisys stockholders, which would result in the Company’s stockholders holding approximately 64.5 % of the combined company.

On June 26, 2023, the Company entered into an agreement to terminate the Amedisys Merger Agreement (the “Mutual Termination Agreement”).

Under the terms of the Mutual Termination Agreement, the Company received a payment of $ 106.0 million in cash on behalf of Amedisys (the “Termination Fee”).

The Termination Fee is included in Other, net in the consolidated statements of comprehensive income and in Net cash provided by operating activities in the consolidated statements of cash flows.

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Revitalized, LLC — In May 2023, pursuant to the equity purchase agreement dated May 1, 2023, the Company completed the acquisition of 100 % of the membership interests in Revitalized, LLC for a purchase price, net of cash acquired, of $ 12.5 million, which primarily consisted of $ 6.7 million of goodwill and $ 5.5 million of intangible assets.

Respiratory Therapy Asset Sale — The Company closed the transaction in December 2022, for a sale price of $ 18.4 million comprised of $ 14.7 million in proceeds received at the time of closing and $ 3.7 million recorded as a current asset which was paid in the year ended December 31, 2023.

Pursuant to the final transaction terms, $ 8.8 million of assets were sold, along with $ 0.7 million of liabilities that were previously classified as held for sale at the lower of their carrying amount or fair values less cost to sell.

As a result of the transaction, a $ 10.3 million pre-tax gain on sale was recorded within Other, net in the Company’s consolidated statements of comprehensive income within the year ended December 31, 2022.

Rochester Home Infusion, Inc.

— In August 2022, pursuant to the stock purchase agreement dated June 10, 2022, the Company completed the acquisition of 100 % of the equity interests in Rochester Home Infusion, Inc.

(“RHI”) for a purchase price, net of cash acquired, of $ 27.4 million.

Specialty Pharmacy Nursing Network, Inc.

— In April 2022, pursuant to the equity purchase agreement dated February 7, 2022, the Company completed the acquisition of 100 % of the equity interests in Specialty Pharmacy Nursing Network, Inc.

(“SPNN”) for a purchase price, net of cash acquired, of $ 59.9 million.

The following table sets forth the net revenue earned by category of payer for the years ended December 31, 2025, 2024, and 2023 (in thousands):

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14,030 8,141 16,439

Total income tax expense (benefit) $ 71,776 $ 91,652 $ 55,212

The difference between the statutory federal income tax rate and the effective tax rate is as follows for the years ended December 31, 2024, 2023 and 2022:

Total income tax expense $ 75,315 $ 71,776 $ 91,652

Beginning with the year ended December 31, 2025, the Company has prospectively adopted the guidance in ASU 2023-09, Income Taxes (Topic 740):

Improvements to Income Taxes Disclosures (“ASU 2023-09”).

The following table is a reconciliation of the U.S.

federal statutory rate of 21% to the Company’s effective rate for the year ended December 31, 2025 in accordance with the guidance in ASU 2023-09 (in thousands, except for percentages):

Year Ended December 31, 2025

2024 2023 2022

Amount Percent

federal statutory income tax rate $ 59,409 21.0 %

State and local income taxes, net of federal income tax effect (1) 11,382 4.0 %

Research and development tax credits ( 555 ) ( 0.2 ) %

Nontaxable or nondeductible items:

Share-based compensation impacts 4,779 1.7 %

Other 300 0.1 %

Effective income tax rate $ 75,315 26.6 %

(1) State tax in California, Florida, New York and Pennsylvania made up more than 50% of the tax effect in this category.

Also in accordance with ASU 2023-09, the following table reflects income taxes paid disaggregated by Federal and State for the year ended December 31, 2025 (in thousands):

Federal $ 57,500

Total income taxes paid $ 67,287

The following table is a reconciliation of the U.S.

federal statutory rate of 21% to the Company’s effective rate for the years ended December 31, 2024 and 2023 in accordance with the guidance prior to the adoption of ASU 2023-09:

Year Ended December 31,

federal statutory tax rate 21.0 % 21.0 %

State and local income taxes net of federal tax benefit 3.5 % 4.8 % 5.0 %

State and local income taxes, net of federal income tax effect 3.5 % 4.8 %

Valuation allowance ( 0.8 ) % ( 1.5 ) %

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The Company recorded income tax expense of $ 75.3 million, $ 71.8 million, and $ 91.7 million, which represents an effective tax rate of 26.6 %, 25.3 %, and 25.5 % for the years ended December 31, 2025, 2024, and 2023, respectively.

In March 2024, the Company released $ 2.2 million of state valuation allowance.

The variance in the Company’s effective tax rate of 25.3 % for the year ended December 31, 2024 compared to the federal statutory rate of 21% is primarily attributable to the difference in state taxes, various non-deductible expenses, and a change in state valuation allowance.

The variance in the Company’s effective tax rate of 25.3 % and 25.5 % for the years ended December 31, 2024 and 2023, respectively, is also primarily attributable to the difference in state taxes, various non-deductible expenses, and a change in state valuation allowance.

The Company released $ 0.4 million, $ 2.2 million, and $ 5.8 million of state valuation allowances for the years ended December 31, 2025, 2024, and 2023, respectively.

The income tax expense for the year ended December 31, 2023 includes $ 21.8 million of tax expense related to the Termination Fee payment received on behalf of Amedisys, under the terms of the Mutual Termination Agreement, net of merger-related expenses.

In September 2023, the Company released $ 5.8 million of state valuation allowance.

The variance in the Company’s effective tax rate of 25.5 % and 26.8 % for the years ended December 31, 2023 and 2022, respectively, is primarily attributable to the difference in state taxes, various nondeductible expenses, and a change in state valuation allowance.

The variance in the Company’s effective tax rate of 26.6 %, 25.3 %, and 25.5 % for the years ended December 31, 2025, 2024, and 2023, respectively, compared to the federal statutory rate of 21%, as well as year-over-year changes, was primarily attributable to the inclusion of state taxes in multiple jurisdictions, various non-deductible expenses, and changes in state valuation allowance.

The components of deferred income tax assets and liabilities were as follows as of December 31, 2025 and 2024 (in thousands):

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At December 31, 2025, the Company also had $ 12.8 million tax-effected amounts of cumulative state NOL carryforwards available to offset future taxable income in various states.

These state NOL carryforwards will begin to expire beginning in 2025 through 2043, with some having an indefinite carryforward period.

These state NOL carryforwards will expire beginning in 2026 through 2044, with some having an indefinite carryforward period.

At December 31, 2025, 2024, and 2023, there were no unrecognized tax benefits for uncertain tax positions.

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There are no ongoing Federal or state income tax audits as of December 31, 2025.

The statute remains open for examination by the Internal Revenue Service beginning with year 2021 in state jurisdictions for periods beginning in 2020.

The statute remains open for examination by the Internal Revenue Service beginning with year 2022 and in state jurisdictions for periods beginning in 2021.

On July 4, 2025, the One Big Beautiful Bill Act (“OBBBA”) was enacted in the United States.

The OBBBA includes significant provisions, such as the permanent extension of certain expiring provisions of the Tax Cuts and Jobs Act, modifications to the international tax framework and the restoration of favorable tax treatment for certain business provisions.

The legislation has multiple effective dates, with certain provisions effective in 2025 and others implemented through 2027.

The Company has reflected the applicable provisions of the OBBBA into its consolidated financial statements for the year ended December 31, 2025, and there is no material impact on the Company’s effective tax rate.

EARNINGS PER SHARE

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The earnings are used as the basis of determining whether the inclusion of common stock equivalents would be anti-dilutive.

The computation of diluted shares for the years ended December 31, 2024, 2023 and 2022 includes the effect of shares that would be issued in connection with warrants, stock options, restricted stock awards and performance stock unit awards, as these common stock equivalents are dilutive to the earnings per share.

The computation of diluted shares for the years ended December 31, 2025, 2024, and 2023 includes the effect of shares that would be issued in connection with warrants, stock options, restricted stock awards and performance stock unit awards, as these common stock equivalents are dilutive to the earnings per share recorded in those periods.

The following table presents the Company’s common stock equivalents that were excluded from the calculation of earnings per share as they would be anti-dilutive:

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2025 2024 2023

Warrants — — —

Stock option awards 697,024 854,545 1,214,560

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Performance stock unit awards 354,696 286,881 —

The following tables present the Company’s basic and diluted earnings per share and shares outstanding (in thousands, except per share data):

The following table presents the Company’s basic earnings per share and shares outstanding (in thousands, except per share data):

Year Ended December 31,

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Earnings per common share, basic $ 1.28 $ 1.23 $ 1.49

(1) Net income for the year ended December 31, 2023 includes $ 63.1 million related to the termination payment received on behalf of Amedisys, under the terms of the Mutual Termination Agreement, net of merger-related expenses and taxes.

See Note 3, Business Acquisitions , for further discussion.

The following table presents the Company’s diluted earnings per share and shares outstanding (in thousands, except per share data):

Year Ended December 31,

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See Note 3, Business Acquisitions and Divestitures , for further discussion.

(2) Net income for the year ended December 31, 2022 includes the impact of the Company’s Respiratory Therapy Asset Sale.

See Note 3, Business Acquisitions and Divestitures , for further discussion.

See Note 3, Business Acquisitions , for further discussion.

During the years ended December 31, 2025, 2024, and 2023, the Company incurred operating lease expenses of $ 35.1 million, $ 32.7 million, and $ 30.6 million, respectively, including short-term lease expenses, which were included as a component of selling, general and administrative expenses in the consolidated statements of comprehensive income.

As of December 31, 2024 and December 31, 2023, the weighted-average remaining lease term was 6.5 years and 6.8 years, respectively, and the weighted-average discount rate was 6.56 % and 6.16 %, respectively.

As of December 31, 2025 and 2024, the weighted-average remaining lease term was 6.5 years and the weighted-average discount rate was 6.97 % and 6.56 %, respectively.

Operating leases mature as follows (in thousands):

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2026 $ 30,992

2030 and beyond 36,515

Thereafter 41,711

Total lease payments 142,882

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Circumstances that could trigger an interim impairment test include:

a significant adverse change in the business climate or legal factors;

an adverse action or assessment by a regulator;

unanticipated competition;

the loss of key personnel;

a change in reporting units;

the likelihood that a reporting unit or significant portion of a reporting unit will be sold or otherwise disposed of;

and the results of testing for recoverability of a significant asset group within a reporting unit.

a significant adverse change in the business climate or legal factors, an adverse action or assessment by a regulator, unanticipated competition, the loss of key personnel, a change in reporting units, the likelihood that a reporting unit or significant portion of a reporting unit will be sold or otherwise disposed of, and the results of testing for recoverability of a significant asset group within a reporting unit.

A qualitative impairment analysis was performed in the fourth quarter of 2025, 2024, and 2023, to assess whether it is more likely than not that the fair value of the Company’s reporting units are less than their carrying value.

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2026 $ 37,078

2030 and beyond 131,077

Thereafter 138,650

Total $ 309,178

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Total long-term debt $ 1,104,641

On May 8, 2024, the Company entered into the Third Amendment to the amended and restated First Lien Credit Agreement dated as of October 27, 2021.

The Third Amendment, among other things, (i) increases borrowings by $ 50.0 million and (ii) reduces the interest rate on the First Lien Term Loan from Term SOFR (including a credit spread adjustment) plus 2.75 % to Term SOFR plus 2.25 % and removes the credit spread adjustment with respect to such First Lien Term Loan.

The principal balance of the First Lien Term Loan is repayable in quarterly installments of $ 1.6 million plus interest, with a final payment of all remaining outstanding principal due on October 27, 2028.

The quarterly principal payments commenced in March 2022.

Under the Third Amendment, interest on the First Lien Term Loan is payable monthly on either (i) SOFR (with a floor of 0.50 % per annum) plus an applicable margin of 2.25 % for Term SOFR Loans (as such term is defined in the Third Amendment);

or (ii) a base rate determined in accordance with the Third Amendment, plus 1.25 % for Base Rate Loans (as such term is defined in the Third Amendment).

On September 22, 2025, the Company entered into the fourth amendment (“the Fourth Amendment”) to the amended and restated First Lien Credit Agreement (the “Credit Agreement”) dated as of October 27, 2021.

The Fourth Amendment, among other things, (i) refinances the existing term loans with a new class of term loans (the “First Lien Term Loan”), reduces the interest rate on the First Lien Term Loan from Term Secured Overnight Financing Rate (“SOFR”) plus 2.25 % to Term SOFR plus 1.75 % and extends the maturity date of the First Lien Term Loan to September 22, 2032, (ii) provides for an additional $ 49.6 million of incremental First Lien Term Loan indebtedness, and (iii) extends the maturity date of the revolving credit commitments under the Credit Agreement (the “Revolver Facility”) to September 22, 2030.

The principal balance of the First Lien Term Loan is repayable in quarterly installments of $ 1.7 million plus interest, with a final payment of all remaining outstanding principal due on September 22, 2032.

Under the Fourth Amendment, interest on the First Lien Term Loan is payable monthly on either (i) SOFR plus an applicable margin of 1.75 % for Term SOFR Loans (as such term is defined in the Fourth Amendment);

or (ii) a base rate determined in accordance with the Fourth Amendment, plus 0.75 % for Base Rate Loans (as such term is defined in the Fourth Amendment).

The interest rate on the First Lien Term Loan was 5.67 % and 6.82 % as of December 31, 2025 and 2024, respectively.

The weighted average interest rate incurred on the First Lien Term Loan was 6.34 % and 7.61 % for the years ended December 31, 2025 and 2024, respectively.

As part of the above refinancing, certain lenders exited while others joined, resulting in both repayment and proceeds.

The Company assessed whether the repayment of the First Lien Term Loan indebtedness resulted in an insubstantial modification or an extinguishment of the existing debt for each loan in the syndication by grouping lenders as follows:

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and (iii) new lenders.

The Company determined that proceeds from the issuance of debt totaled $ 229.8 million, resulting in a cash inflow from financing activities, net of $ 0.3 million in fees incurred, in the consolidated statements of cash flows.

The Company also recognized $ 180.2 million of retirement of debt obligations, resulting in a cash outflow from financing activities, in the consolidated statements of cash flows.

In connection with the refinancing of the First Lien Term Loan, the Company incurred $ 6.7 million in debt issuance costs and third-party fees, of which $ 3.5 million was capitalized, $ 2.8 million was expensed as a component of selling, general and administrative expenses and $ 0.4 million was expensed as a loss on extinguishment as a component of other expense in the consolidated statements of comprehensive income.

The Company recognized a loss on extinguishment of debt of $ 4.7 million included in the line entitled “Other, net” in the consolidated statements of comprehensive income, of which $ 0.4 million related to debt issuance costs incurred with the First Lien Term Loan refinancing, as discussed above, and $ 4.3 million related to existing deferred financing fees that were written off upon extinguishment.

As part of the above refinancing, the Company incurred $ 0.3 million in fees related to the Revolver Facility, all of which were capitalized and included as a cash outflow from financing activities within the consolidated statements of cash flows.

On May 8, 2024, the Company entered into the third amendment to the amended and restated Credit Agreement dated as of October 27, 2021 (the “Third Amendment”).

(i) Lenders participating in both the First Lien Term Loan and Senior Notes;

(ii) previous lenders that exited;

and (iii) new lenders.

The Company determined that $ 0.4 million of the First Lien Term Loan were extinguished.

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The Company entered into the First Lien Term Loan Agreement (the “First Lien Credit Agreement Amendment”), which commenced in October 2021 (the “October 2021 Refinancing”) to provide $ 600.0 million of refinanced borrowings.

On December 7, 2023, the Company entered into the Second Amendment to the amended and restated First Lien Credit Agreement dated as of October 27, 2021.

On December 7, 2023, the Company entered into the second amendment to the amended and restated Credit Agreement dated as of October 27, 2021 (the “Second Amendment”).

The Second Amendment, among other things, creates a Revolver Facility which provides for borrowings up to $ 400.0 million.

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As of December 31, 2024, the Company had $ 4.1 million of undrawn letters of credit issued and outstanding, resulting in net borrowing availability under the Revolver Facility of $ 395.9 million.

The Revolver Facility matures on the date that is the earlier of (i) December 7, 2028 and (ii) the date that is 91 days prior to the stated maturity date applicable to any Term B Loans.

Borrowings under the Revolver Facility bear interest at a rate equal to, at the option of the Company, either (i) the Term SOFR applicable thereto plus the Applicable Rate or (ii) the then-applicable Base Rate plus the Applicable Rate, which Applicable Rate shall be, subject to certain caveats thereto, as follows (i) until delivery of financial statements and related Compliance Certificate for the first full fiscal quarter ending after the effective date of the Second Amendment, (A) for Term SOFR Loans, 1.75 %, or (B) for Base Rate Loans, 0.75 % and (ii) thereafter, the Applicable Rate for Term SOFR Loans and Base Rate Loans, based upon the Total Net Leverage Ratio as set forth in the most recent Compliance Certificate received by the Administrative Agent pursuant to the terms of the Credit Agreement.

The Revolver Facility matures on the date that is the earlier of (i) September 22, 2030 and (ii) the date that is 91 days prior to the stated maturity date applicable to the Senior Notes to the extent any amount of the Senior Notes remains unpaid and outstanding as of the date that is 91 days prior to the stated maturity date applicable to the Senior Notes.

Borrowings under the Revolver Facility bear interest at a rate equal to, at the option of the Company, either (i) the Term SOFR applicable thereto plus the Applicable Rate or (ii) the then-applicable Base Rate plus the Applicable Rate, which Applicable Rate shall be, subject to certain caveats thereto, as follows (i) until delivery of financial statements and related Compliance Certificate for the first full fiscal quarter ending after the effective date of the Fourth Amendment, (A) for Term SOFR Loans, 1.75 %, or (B) for Base Rate Loans, 0.75 % and (ii) thereafter, the Applicable Rate for Term SOFR Loans and Base Rate Loans, based upon the Total Net Leverage Ratio as set forth in the most recent Compliance Certificate received by the Administrative Agent pursuant to the terms of the Credit Agreement.

Concurrently with the creation of the Revolver Facility, the Company terminated the asset-based lending revolving credit facility (the “ABL Facility”) with a maturity date of October 27, 2026.

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Borrowings under the ABL Facility were secured by a first priority security interest in the Company’s and each of its subsidiaries’ inventory, accounts receivable, cash, deposit accounts and certain assets and property related thereto (the “ABL Priority Collateral”), in each case subject to certain exceptions, and a third priority security interest in each of the Company’s subsidiaries’ capital stock (subject to certain exceptions) and substantially all of the Company’s property and assets (other than the ABL Priority Collateral).

In conjunction with the October 2021 Refinancing, the Company also issued $ 500.0 million in aggregate principal of unsecured senior notes (“Senior Notes”).

In conjunction with the October 2021 Refinancing, the Company also issued $ 500.0 million in aggregate principal of Senior Notes.

The Senior Notes bear interest at a rate of 4.375 % per annum payable semi-annually in arrears on October 31 and April 30 of each year, commencing on April 30, 2022.

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Fiscal Year Ended December 31, Minimum Payments

Thereafter 642,405

Total $ 1,176,305

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Total debt instruments $ 1,160,832 $ — $ 1,167,187 $ —

See Note 13, Fair Value Measurements , for further discussion.

DERIVATIVE INSTRUMENTS

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Interest rate cap designated as cash flows hedge Interest expense, net $ 8,638 $ 11,527 $ 10,974

The Company expects to reclassify $ 2.8 million of total interest rate costs from accumulated other comprehensive income (loss) against interest expense during the next 12 months.

T he Company expects to reclassify $ 2.5 million of total interest rate costs from accumulated other comprehensive income (loss) against interest expense during the next 12 months.

FAIR VALUE MEASUREMENTS

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The fair value of the money market funds is derived from the closing price reported by the fund sponsor and classified as cash and cash equivalents on the Company’s consolidated balance sheets (Level 1 inputs).

There were no other assets or liabilities measured at fair value at December 31, 2024 or 2023.

There were no other material assets or liabilities measured at fair value at December 31, 2025 or 2024.

COMMITMENTS AND CONTINGENCIES

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From time to time, the Company may also be involved in legal proceedings as a plaintiff involving antitrust, tax, contract, intellectual property, and other matters.

Material loss contingencies, if any, are accrued for when they are probable and reasonably estimable, and are disclosed when they are reasonably possible.

Gain contingencies, if any, are recognized when they are realized.

The results of legal proceedings are often uncertain and difficult to predict, and the costs incurred in litigation can be substantial, regardless of the outcome.

The Company does not believe that any of these pending matters, after consideration of applicable reserves and rights to indemnification, will have a material adverse effect on the Company’s consolidated balance sheets.

However, substantial unanticipated verdicts, fines, and rulings may occur.

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STOCK-BASED INCENTIVE COMPENSATION

Equity Incentive Plans — Under the Company’s 2018 Equity Incentive Plan (the “2018 Plan”), approved at the annual meeting by stockholders on May 3, 2018, the Company may issue, among other things, incentive stock options, non-qualified stock options, stock appreciation rights, restricted stock units, stock grants, and performance units to key employees and directors.

The 2018 plan is administered by the Company’s Compensation Committee, a standing committee of the Board of Directors.

In May 2024, an additional 4,000,000 shares were authorized for issuance under the amended 2018 Plan, resulting in a total of 13,101,734 shares of common stock authorized for issuance as of December 31, 2024.

As of December 31, 2023, a total of 9,101,734 shares of common stock were authorized for issuance under the amended 2018 Plan.

Equity Incentive Plans — Under the Company’s 2018 Equity Incentive Plan (the “2018 Plan”), approved at the annual meeting by stockholders on May 3, 2018 and amended and restated on May 19, 2021 and May 15, 2024, the Company may issue, among other things, incentive stock options, non-qualified stock options, stock appreciation rights, restricted stock units, stock grants, and performance units to key employees and directors.

The 2018 Plan is administered by the Company’s Compensation Committee, a standing committee of the Company’s Board of Directors.

As of May 2021, a total of 9,101,734 shares of common stock were authorized for issuance under the 2018 Plan.

In May 2024, an additional 4,000,000 shares were authorized for issuance under the 2018 Plan, resulting in a total of 13,101,734 shares of common stock authorized for issuance as of December 31, 2025 and 2024.

During the years ended December 31, 2025, 2024, and 2023, the Company recognized total compensation expense related to the 2018 Plan of $ 40.0 million, $ 36.1 million, and $ 30.5 million, respectively.

Stock Options — Options granted under the 2018 Plan typically vest over a three - or four-year period and, in certain instances, may fully vest upon a change in control of the Company.

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During the years ended December 31, 2025, 2024, and 2023, the Company recognized compensation expense related to stock options of $ 4.6 million, $ 5.9 million, and $ 6.5 million, respectively.

There were no options granted during the year ended December 31, 2024.

The weighted average grant-date fair value of options granted during the years ended December 31, 2023 and 2022 was $ 15.72 and $ 12.51 , respectively.

There were no options granted during the years ended December 31, 2025 and 2024.

The weighted average grant-date fair value of options granted during the year ended December 31, 2023 was $ 15.72 .

The fair value of stock options granted was estimated on the date of grant using a Black-Scholes pricing model.

The assumptions used to compute the fair value of options for the years ended December 31, 2023 and 2022 are as follows:

The assumptions used to compute the fair value of options for the year ended December 31, 2023 are as follows:

Year Ended December 31,

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Risk-free interest rate 4.16 %

Expected life of options 6.2 years 6.2 years

Expected life of options 6.2 years

Dividend rate —

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The maximum term of stock options under these plans is ten years .

Options outstanding as of December 31, 2024 expire on various dates ranging from September 2025 through July 2033.

Options outstanding as of December 31, 2025 expire on various dates ranging from February 2027 through July 2033.

The following table outlines the outstanding and exercisable stock options as of December 31, 2025:

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$ 0.00 - $ 8.24

9,901 $ 6.52 2.1 9,901 $ 6.52

$ 8.24 - $ 16.52

64,775 $ 12.14 4.0 64,775 $ 12.14

$ 16.52 - $ 24.76

9,901 $ 6.52 1.1 years 9,901 $ 6.52

$ 8.24 - $ 16.52

55,275 $ 12.39 3.6 years 55,275 $ 12.39

$ 16.52 - $ 24.76

327,926 $ 21.54 5.7 years 278,540 $ 21.13

$ 24.76 - $ 33.00

978,324 $ 28.37 6.9 years 334,450 $ 27.40

All options 1,371,426 678,166

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Whether PSU awards are earned at the end of the performance period will be determined based on the achievement of certain performance objectives over the performance period.

The performance objectives include achieving a target growth for adjusted EBITDA and revenue combined in addition to a target growth for cash flows from operations over the performance period.

The performance objectives include achieving a target growth for adjusted EBITDA and revenue combined in addition to a target growth for cash flows from operations (2023 and 2024 PSUs) or a target growth for adjusted diluted earnings per share (2025 PSUs) over the performance period.

Depending on the results achieved during the performance period, the actual number of shares that a grant recipient receives at the end of the period may range from 0 % to 200 % of the Target Shares granted.

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During the years ended December 31, 2025, 2024, and 2023, the Company recognized compensation expense related to the PSU awards of $ 11.0 million, $ 8.8 million, and $ 7.5 million, respectively.

During the years ended December 31, 2024, shares were surrendered to satisfy tax withholding obligations on the performance-based stock units with a cost basis of $ 4.9 million.

There were no shares surrendered to satisfy tax withholding obligations on the PSU awards during the years ended December 31, 2023 or 2022.

As of December 31, 2024, there were $ 11.6 million in unrecognized compensation expense related to unvested PSU awards that are expected to be recognized over a weighted-average period of 1.32 years.

During the years ended December 31, 2025 and 2024, shares were surrendered to satisfy tax withholding obligations on the performance-based stock units with a cost basis of $ 4.3 million and $ 4.9 million, respectively.

During the year ended December 31, 2023, no shares were surrendered to satisfy tax withholding obligations on the PSU awards.

As of December 31, 2025, there was $ 14.2 million in unrecognized compensation expense related to unvested PSU awards that are expected to be recognized over a weighted-average period of 1.2 years.

STOCKHOLDERS’ EQUITY

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The 2017 Warrants are classified as equity instruments, and the fair value of these warrants of $ 14.1 million was recorded in paid-in capital as of the Merger Date.

During the years ended December 31, 2024, 2023, and 2022, warrant holders exercised warrants to purchase 0 , 188,350 , and 1,130,089 shares of common stock, respectively.

No proceeds were received from these exercises as the warrant holders elected to surrender shares to pay the exercise price.

At December 31, 2024, 2023, and 2022, the remaining warrant holders are entitled to purchase 51,838 , 51,838 , and 240,188 shares of common stock, respectively.

During the years ended December 31, 2025 and 2024, warrant holders did not elect to exercise any warrants to purchase shares of common stock.

At December 31, 2025 and 2024, the remaining warrant holders are entitled to purchase 51,838 shares of common stock.

2015 Warrants — Prior to the Merger, BioScrip issued warrants pursuant to a Common Stock Warrant Agreement dated as of March 9, 2015 which entitle the holders to purchase 0.9 million shares of common stock.

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During the years ended December 31, 2025 and 2024, warrant holders exercised an immaterial number of warrants to purchase shares of common stock.

During the year ended December 31, 2022, warrant holders exercised warrants to purchase 900,272 shares of common stock.

During the years ended December 31, 2025 and 2024, no cash proceeds were received from warrant exercises.

During the year ended December 31, 2022, $ 20.9 million of cash was received as proceeds from warrant exercises.

At December 31, 2024, 2023, and 2022, the remaining warrant holders are entitled to purchase 11,765 , 13,888 , and 15,231 shares of common stock, respectively.

Share Repurchase Program — On February 20, 2023, the Company’s Board of Directors approved a share repurchase program of up to an aggregate $ 250.0 million of common stock of the Company.

The 2015 warrants expired on June 30, 2025.

At December 31, 2025, any outstanding warrants are no longer exercisable.

At December 31, 2024 the remaining warrant holders are entitled to purchase 11,765 shares of common stock.

Share Repurchase Program — On February 20, 2023, the Company’s Board of Directors authorized a share repurchase program of up to an aggregate $ 250.0 million of common stock of the Company.

On December 6, 2023, the Company’s Board of Directors approved an increase to its share repurchase program authorization from $ 250.0 million to $ 500.0 million.

This program was completed in December 2024.

On January 10, 2025, the Company’s Board of Directors authorized a 2025 share repurchase program of up to an aggregate $ 500.0 million of common stock of the Company.

Under the share repurchase program, repurchases may occur in any number of methods depending on timing, market conditions, regulatory requirements, and other corporate considerations.

The share repurchase program has no specified expiration date.

During the years ended December 31, 2024 and 2023, the Company purchased 9,255,591 and 7,946,301 shares of common stock for an average share price of $ 27.01 and $ 31.46 , totaling $ 250.0 million and $ 250.0 million, respectively.

During the years ended December 31, 2025, 2024, and 2023, the Company purchased 10,079,009 , 9,255,591 , and 7,946,301 shares of common stock under this program for an average share price of $ 30.51 , $ 27.01 , and $ 31.46 , totaling $ 307.5 million, $ 250.0 million, and $ 250.0 million, respectively.

All repurchased shares became treasury stock.

As of December 31, 2024, the Company completed share repurchases under its prior share repurchase program.

In January 2025, the Company’s Board of Directors approved a new $ 500.0 million stock repurchase program.

This program has no specified expiration date.

As of December 31, 2025, the Company is authorized to repurchase up to a remaining $ 192.5 million of common stock of the Company.

In January 2026, the Company’s Board of Directors approved an increase to its 2025 share repurchase program authorization from $ 500.0 million to $ 1.0 billion.

Shares Outstanding — The following table shows the Company’s changes in shares of common stock for the years ended December 31, 2025, 2024, and 2023 (in thousands):

Number of Shares

Balance at December 31, 2022 181,958

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Balance at December 31, 2024 166,261

Equity award issuances 676

Share repurchases ( 10,079 )

Balance at December 31, 2025 156,858

Treasury Stock — As of December 31, 2025 and 2024, the Company held 27,664,622 and 17,585,613 shares of treasury stock, respectively.

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Management fees are recorded in net revenues in the accompanying consolidated statements of comprehensive income.

The Company had amounts due to its joint ventures totaling $ 1.4 million as of December 31, 2024.

The Company had amounts due to its joint ventures of $ 0.5 million and due from its joint ventures of $ 0.1 million as of December 31, 2023.

These receivables were included in prepaid expenses and other current assets in the accompanying balance sheets and these payables were included in accrued expenses and other current liabilities in the accompanying balance sheets.

During the years ended December 31, 2025, 2024, and 2023, the Company received distributions from the investees of $ 4.0 million, $ 2.4 million, and $ 4.0 million, respectively.

The Company had amounts due to its joint ventures totaling $ 2.7 million and $ 1.4 million as of December 31, 2025 and 2024, respectively.

Receivables were included in prepaid expenses and other current assets in the accompanying balance sheets, while payables were included in accrued expenses and other current liabilities in the accompanying balance sheets.

These balances primarily relate to cash collections received by the Company on behalf of the joint ventures, offset by certain pharmaceutical inventories and other expenses paid for by the Company on behalf of the joint ventures.

Share Repurchase Agreement — On February 28, 2023, we entered into a Share Repurchase Agreement (the “Share Repurchase Agreement”) with HC I, pursuant to which we agreed to repurchase, subject to the terms and conditions contained therein, up to $ 75.0 million of our common stock then held by HC I at the same purchase price per share as the underwriter in a concurrent underwritten public offering of our common stock held by HC I.

Share Repurchase Agreement — On February 28, 2023, we entered into a Share Repurchase Agreement (the “Share Repurchase Agreement”) with HC Group Holdings I, LLC.

(“HC I”) pursuant to which we agreed to repurchase, subject to the terms and conditions contained therein, up to $ 75.0 million of our common stock then held by HC I at the same purchase price per share as the underwriter in a concurrent underwritten public offering of our common stock held by HC I.

On March 3, 2023, the transactions contemplated by the Share Repurchase Agreement closed, and we repurchased directly from HC I 2,475,166 shares of our common stock.

SEGMENT REPORTING

The Company has adopted ASU 2023-07, Segment Reporting (Topic 280):

Improvements to Reportable Segment Disclosures and has revised prior year disclosures to conform with the current year presentation.

The Company operates as a single reportable segment, infusion services.

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(2) Other segment items includes expenses for medical supplies, delivery and packaging, leases, professional services, and other expenses.

SUBSEQUENT EVENTS

The Company has evaluated whether any subsequent events occurred since December 31, 2024 and noted the following subsequent event:

On January 24, 2025 the Company completed the acquisition of all equity interests in Intramed Plus, Inc., a leading provider of home and alternate site infusion services in the Southeastern United States.

The total purchase price for the transaction was approximately $ 117 million, paid in cash.

Changes in and Disagreements with Accountants on Accounting and Financial Disclosure

Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-K

Item 8. Financial Statements and Supplementary Data