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Omnicell Updates 2008 Year End Guidance and Announces Company Reorganization
Date:1/20/2009

MOUNTAIN VIEW, Calif., Jan. 20 /PRNewswire-FirstCall/ -- Omnicell, Inc. (Nasdaq: OMCL), a leading provider of system solutions to acute healthcare facilities, today updated its 2008 year end guidance and provided initial guidance for expected 2009 financial results. In addition, Omnicell announced a reorganization focused on driving sales through higher levels of customer satisfaction.

Omnicell reconfirmed that it expects 2008 results to be consistent with previous guidance of 18% revenue growth from 2007 and at the higher end of previous guidance of $0.65 to 0.70 non-GAAP earnings per fully diluted share, which excludes stock compensation expense. 2008 year end backlog is expected to be $110 million compared with 2007 year end backlog of $137 million, and lower than previously expected.

"Economic conditions have caused some customers to postpone orders," said Omnicell CEO, president and chairman Randall Lipps. "We do not expect customers to stop their acquisition process, but believe the sales cycle will continue to be slow until the economic environment improves," Mr. Lipps added. "Order volume in the fourth quarter of 2008 was substantially less than expected, especially in December."

Omnicell now expects 2009 revenue of between $200 and $210 million and non-GAAP earnings per fully diluted share of $0.30 to $0.35 excluding stock compensation expense. Commenting on the forecast, Mr. Lipps added, "Our systems sales forecast reflects the challenging global economic and financial market environment. Still, the patient safety initiatives that our systems support remain a priority in hospitals, and to that affect we continue to secure contracts with large healthcare institutions. However, this will not preclude us from taking appropriate cost cutting measures in 2009 to balance our business with demand for our p
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SOURCE Omnicell, Inc.
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