InfuSystem Holdings, Inc. (NYSE:INFU) Chief Executive Officer Richard Dilorio recently sold a significant portion of his holdings in the company. According to a filing with the Securities and Exchange Commission, Dilorio sold a total of 39,000 shares over three consecutive days, from November 25 to November 27, 2024.
The sales were executed at prices ranging from $8.8708 to $9.3208 per share, amounting to a total transaction value of $364,465. Following these transactions, Dilorio holds 416,659 shares of InfuSystem.
These transactions were conducted under a pre-established Rule 10b5-1 trading plan, which allows company insiders to sell a predetermined number of shares at a specified time. This plan was adopted by Dilorio on August 23, 2024.
The filing also notes that the total shares held by Dilorio include an additional 885 shares acquired through the company's Employee Stock Purchase Plan.
In other recent news, InfuSystem Holdings, Inc. has reported record revenue of $35.2 million for Q3 2024, marking an 11% increase from the same period last year. The company's earnings call also highlighted an increase in adjusted EBITDA to $7.9 million, representing 22.3% of revenue. This growth has been driven by strategic initiatives and partnerships, particularly in the negative pressure wound therapy and oncology sectors. Significant debt reduction of $6.4 million and $700,000 in stock repurchases were also reported.
In addition, InfuSystem recently announced the appointment of Ronald Hundzinski, an experienced financial leader, as an independent director to its Board of Directors. Hundzinski's wealth of experience, particularly in financial leadership roles, is expected to contribute significantly to the company's board oversight and committees.
The company expects high single-digit net revenue growth for 2024 and adjusted EBITDA margin in the high teens, surpassing the previous year's 17.8%. These developments are part of InfuSystem's ongoing initiative to strengthen its leadership as it continues to expand its services in the health care sector.
InvestingPro Insights
To provide additional context to CEO Richard Dilorio's recent stock sales, let's examine some key financial metrics and insights from InvestingPro for InfuSystem Holdings, Inc. (NYSE:INFU).
InvestingPro Data shows that InfuSystem's revenue for the last twelve months as of Q3 2024 stood at $132.78 million, with a revenue growth of 8.17% over the same period. This growth trend is further emphasized by the company's quarterly revenue growth of 10.69% in Q3 2024, indicating a positive trajectory in the company's top-line performance.
An InvestingPro Tip suggests that net income is expected to grow this year, which aligns with the company's recent revenue growth and may provide some reassurance to investors in light of the CEO's stock sales. Additionally, InvestingPro notes that the company has been profitable over the last twelve months, with a basic EPS (Continuing Operations) of $0.07 USD.
It's worth noting that InfuSystem has shown strong stock performance in the short term. According to InvestingPro Data, the company has delivered a 35.68% return over the last month and a 36.52% return over the last three months. This recent stock appreciation might explain the timing of Dilorio's decision to sell some of his holdings.
For investors seeking a more comprehensive analysis, InvestingPro offers 8 additional tips for InfuSystem Holdings, providing a deeper understanding of the company's financial health and market position.
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