Sharps Compliance Provides Company Update

Experiencing Robust Order Activity and Playing a Key Role in COVID-19 Vaccination Programs in the Retail and Long-Term Care Settings

Infrastructure Projects Completed Have Almost Tripled Treatment Capacity and Company is Well-Positioned with Strong Mailback Inventory Levels and Production Schedule

HOUSTON, Texas, Jan. 11, 2021 (GLOBE NEWSWIRE) -- Sharps Compliance Corp. (NASDAQ: SMED) (“Sharps Compliance” or the “Company”), a leading full-service national provider of comprehensive waste management solutions including medical, pharmaceutical and hazardous, is providing an update on the completion of its infrastructure expansion announced in March 2020 to strengthen its service capabilities to proactively prepare for an anticipated strong flu season as well as increased customer activity related to the COVID-19 pandemic. The Company also announces that it has been shipping COVID-19 related mailback orders since December 2020, supporting immunizations in the long-term care market, and has approximately $10 million in advance mailback orders to be filled primarily during the quarter ended March 31, 2021. These advance orders are expected to support further immunizations in the long-term care and, ultimately, in the retail markets.  While these orders are expected to be shipped during the March 2021 quarter, the unprecedented economic and public health situation in the U.S. could affect the timing and status of these orders.

The Company has completed the growth infrastructure initiatives which it began in March 2020, to expand its capacity to support growth across its service and solution offerings. The completed projects include: (i) new autoclaves (one each) at the Company’s Texas and Pennsylvania treatment facilities essentially tripling capacity, (ii) the addition of mailback related warehouse and distribution space of 52,000 square feet and (iii) mailback inventory on January 1, 2021 of 300,000 units with a plan to manufacture as many as an additional 1 million units by the end of the fiscal year 2021. Additionally, the Company recently expanded its line of credit from $14 million to $18 million to support its growth.

David P. Tusa, President and Chief Executive Officer of Sharps Compliance commented, “The growth we are experiencing in our mailback and route-based businesses presents an opportunity to reshape our seasonally low March quarter. The proactive strengthening of our infrastructure and mailback inventory levels has been critical to our ability to service our customers’ needs during the COVID-19 pandemic on an uninterrupted basis. Additionally, we have demonstrated to our customer base that we are very well prepared to address their current needs as well as for significantly increased demand expected as we move through 2021 and as our customers continue to flex their operations to meet the immunization and healthcare needs of the American public.