OptimizeRx Continues to Expand its Strategic Relationship with a Top-Tier Pharma Client via a Multi-Brand, Multi-Solution Investment Commitment with Over $10M In-Year Total Value

Rhea-AI Summary

OptimizeRx Corp. (Nasdaq: OPRX) has expanded its strategic relationship with a major pharma client, resulting in a multi-solution, multi-brand program with a total in-year commitment of over $10 million. This includes the previously mentioned $6 million DAAP contract, which is still undergoing internal review. The expansion demonstrates the value of OptimizeRx's solutions in driving stronger commercial performance through HCP and DTC marketing alignment.

Key highlights:

• Top 20 pharma clients now average $2.7 million in revenue per client
• Top 3 clients contribute $9.7 million in revenue
• Organic growth remains a key driver for the business
• The company is leveraging its omni-channel platform powered by AI-targeted reach

Positive

• Expanded strategic relationship with a major pharma client, bringing total in-year commitment to over $10 million
• Multi-solution, multi-brand engagement demonstrating value across client's portfolio
• Top 20 pharma clients now average $2.7 million in revenue per client
• Top 3 clients contribute $9.7 million in revenue
• Continued momentum in organic growth

Negative

• Previously mentioned $6 million DAAP contract still undergoing internal review and approval process

Insights

Financial Analyst

This news is significantly positive for OptimizeRx. The expanded relationship with a top-tier pharma client, resulting in a $10 million in-year commitment, demonstrates strong client confidence and potential for future growth. The increase from the previously mentioned $6 million DAAP contract indicates upselling success. The company's ability to secure multi-solution, multi-brand engagements suggests a scalable business model. With average revenue from Top 20 pharma clients reaching $2.7 million and $9.7 million from the top 3, OptimizeRx shows promising client concentration and potential for further expansion. This deal could positively impact the company's financial performance and stock valuation in both short and long term.

Market Research Analyst

OptimizeRx's expansion of its strategic relationship with a major pharma client is a strong market validation of its omni-channel platform and AI-powered targeting capabilities. This deal showcases the company's ability to cross-sell and upsell its solutions across multiple brands within a client's portfolio. The trend of increasing engagement from Top 20 pharma clients suggests OptimizeRx is gaining traction in a highly competitive market. The upcoming Digital Pharma East event and a solid RFP season could further boost the company's market position. However, investors should monitor client concentration risk, as significant revenue comes from a small number of top clients. Overall, this news indicates positive momentum in OptimizeRx's market penetration strategy.

Tech Expert

OptimizeRx's success in expanding its client relationship highlights the effectiveness of its AI-driven platform in reaching healthcare professionals and patients. The company's ability to offer multi-solution, multi-brand programs demonstrates the scalability and versatility of its technology stack. The mention of "dynamic audiences" and "precision AI targeted reach" suggests advanced data analytics and machine learning capabilities, which are important differentiators in the digital health marketing space. As the healthcare industry continues to digitize, OptimizeRx's tech-forward approach positions it well for future growth. However, the company must continue innovating to maintain its competitive edge in this rapidly evolving sector.

WALTHAM, Mass., Sept. 10, 2024 (GLOBE NEWSWIRE) -- OptimizeRx Corp. (the “Company”) (Nasdaq: OPRX), the leading provider of healthcare technology solutions helping life sciences companies reach and engage healthcare professionals (HCPs) and patients, today announced an expansion of a strategic relationship with a major pharma client via a muti-solution, multi-brand program bringing the total in year commitment to over $10 million, which includes the previously mentioned $6 million DAAP contract. This initial program, however, ultimately resulted in a multi-solution, multi-brand engagement while DAAP conversion continues through the client’s internal review and approval process. This engagement represents an ongoing expansion of investment by a top-tier pharma client in OptimizeRx’s solutions and demonstrates the value of scaling them across several brands in its portfolio, driving stronger commercial performance from brands through HCP and DTC marketing alignment.

“We are pleased to see the expansion of this relationship as recognition of our strategic partnership and further demonstration of the value our clients see in OptimizeRx’s unique capabilities as they are applied across multi-solution, multi-brand programs,” said Will Febbo, OptimizeRx CEO. “We continue to leverage the strength and merits of our omni-channel platform powered by our best-in-class dynamic audiences which enables precision AI targeted reach to both HCPs and DTC channels alike. As such, organic growth remains a key driver in the business as reflected in the momentum we continue to see as we approach the back half of the year.”

This close furthers the Company’s growth momentum with Top 20 pharma clients which now have revenue that averages $2.7 million per client and $9.7 million from the Company’s top 3 clients. “We are seeing more engagement from our Top 20 pharma clients as we look to scale with them along their commercialization strategies,” continued Febbo. “We are looking forward to Digital Pharma East, upcoming investor conferences, and a solid RFP season for the business and our clients.”

About OptimizeRx
OptimizeRx provides trailblazing technology that fosters care-focused engagement between life sciences organizations, healthcare providers, and patients at critical junctures throughout the healthcare journey. With the ability to synchronize messaging across 2 million healthcare providers and over 240 million adults across a multitude of digital channels including a proprietary point-of-care network, OptimizeRx is changing the way life science companies engage with customers.

For more information, follow the Company on X, LinkedIn, and Instagram or visit www.optimizerx.com.

Important Cautions Regarding Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as “anticipates”, “believes”, “estimates”, “expects”, “forecasts”, “intends”, “plans”, “projects”, “targets”, “designed”, “could”, “may”, “should”, “will” or other similar words and expressions are intended to identify these forward-looking statements. All statements that reflect the Company’s expectations, assumptions, projections, beliefs or opinions about the future, other than statements of historical fact, are forward-looking statements, including, without limitation, statements relating to the Company’s growth, business plans, future performance. These forward-looking statements are based on the Company’s current expectations and assumptions regarding the Company’s business, the economy, and other future conditions. The Company disclaims any intention or obligation to publicly update or revise any forward-looking statements, whether because of new information, future events, or otherwise, except as required by applicable law. Forward-looking statements are inherently subject to risks and uncertainties, some of which cannot be predicted, or quantified. Future events and actual results could differ materially from those set forth in, contemplated by, or underlying the forward-looking statements. The risks and uncertainties to which forward-looking statements are subject include, but are not limited to, the effect of government regulation, seasonal trends, our ability to maintain our contracts with electronic prescription platforms, competition, and other risks summarized in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2023, its subsequent Quarterly Reports on Form 10-Q, and its other filings with the Securities and Exchange Commission.

OptimizeRx Contact:
Andy D’Silva, SVP Corporate Finance
adsilva@optimizerx.com

Investor Relations Contact
Ashley Robinson
LifeSci Advisors, LLC
arr@lifesciadvisors.com

FAQ

What is the total value of OptimizeRx's expanded relationship with the top-tier pharma client?

The total in-year commitment from the expanded relationship with the top-tier pharma client is over $10 million, which includes the previously mentioned $6 million DAAP contract.

How much revenue does OptimizeRx (OPRX) generate from its top 20 pharma clients on average?

OptimizeRx's top 20 pharma clients now generate an average revenue of $2.7 million per client.

What is the combined revenue from OptimizeRx's (OPRX) top 3 clients?

The combined revenue from OptimizeRx's top 3 clients is $9.7 million.

What type of engagement resulted from OptimizeRx's initial program with the major pharma client?

The initial program resulted in a multi-solution, multi-brand engagement with the major pharma client.