Henry Schein Inc. has won a $ 53.4 million contract to supply personal protective equipment and other COVID-19 products for national strategic stock, the company said on Wednesday.
The Melville-based product distributor to dental and physician offices will stock and distribute 80,000 pallets of equipment under the contract with the Department of Health and Social Services.
The company did not disclose the length of the contract.
Henry Schein shares rose 0.8% to close at $ 76.85 on Wednesday, gaining ground after falling 1.7% on Tuesday.
In a research note, Evercore ISI analyst Elizabeth Anderson said the award extends Henry Schein’s work with the U.S. government’s COVID-19 supply chain task force.
The contract will add about 1.5% to the expected annual growth in the company’s medical sales, she said.
When the coronavirus began its rapid global spread in early 2020, U.S. healthcare providers faced a severe shortage of face masks and other protective gear.
Under the contract, Henry Schein will work with federal, state and local authorities “to provide the additional resources and infrastructure needed to get health products where they are needed most,” said Stanley M. Bergman, Chairman and CEO of Henry Schein, in a press release. declaration.
Henry Schein lobbied Washington to include dentists and doctors’ offices in the COVID-19 vaccination effort.
In April, Bergman submitted a letter to the House screening subcommittee on the coronavirus crisis saying dentists and doctors could help overcome “hesitation” and provide vaccines in postal codes not covered by other delivery systems.
Separately, on Tuesday, Henry Schein, Long Island’s largest public company by revenue, announced that its software arm had acquired 80% of Jarvis Analytics, a 4-year-old analytics company.
The financial terms of Dallas-based Jarvis, a provider of business analysis for dental offices, were not disclosed.
Henry Schein, with global sales of $ 10.1 billion in 2020, is a member of the Fortune 500.
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