The Oncology Institute Q2 Revenue Surges

The Oncology Institute (NASDAQ:TOI) reported fiscal second quarter ended June 30, 2025, earnings on August 13, 2025, posting 21.5% year-over-year revenue growth to $119.8 million. Pharmacy revenue increased 41% year over year, and over 50,000 new capitated lives were added. Management reiterated full-year revenue guidance of $460 million to $480 million for fiscal year 2025, expects positive adjusted EBITDA (non-GAAP) in the fourth quarter, and highlighted meaningful scale expansion within Florida, Nevada, and California. Key insights below detail pharmacy margin expansion, the strategic shift to fully delegated risk models beyond California, and operating leverage gains from technology integration.Pharmacy revenue accounted for 52% of total revenue in the fiscal second quarter ended June 30, 2025, with year-over-year growth of 41% in pharmacy revenue, and the company anticipates another pharmacy location will open in Florida in the second half of the year. Technological investments and increased patient volumes have contributed to improved procurement efficiency and drug margin expansion, as discussed on the earnings call, focusing on oral specialty (Part D) drugs where margin improvements are most actionable.Improved pharmacy scale materially enhances purchasing leverage, driving durable gross margin growth while steadily reducing prescription leakage and positioning the company to offset industry-wide drug cost inflation.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool