Company overview

Inogen Inc serves patients who need supplemental oxygen over the long term. Its Inogen One and Inogen Rove portable systems concentrate oxygen from surrounding air and deliver it as patients inhale. Equipment sales provide most of its revenue. Home medical equipment providers, distributors and resellers buy its products, while patients can also buy directly in the United States. Outside the United States, Inogen bills distributors and large provider accounts, which handle patient billing and care locally.

Inogen also rents equipment directly to U.S. patients using insurance benefits. It checks coverage, obtains physician paperwork and bills Medicare, private insurers and patients. Medicare supplies most rental revenue, so coverage rules and reimbursement rates matter to this part of the business. Medicare stops regular equipment rental payments before the supplier’s service obligation ends, leaving Inogen responsible for continued oxygen service and equipment upkeep without further equipment rental payments during that period.

A small group of customers contributes a substantial share of revenue, including one particularly large customer. Direct Medicare rentals also require supplier approval, independent accreditation and state licensing; Inogen cannot simply sell a device and bill Medicare without meeting those requirements.