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ABIOMED (ABMD) Earnings and Revenues Beat Estimates in Q1
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ABIOMED, Inc. reported first-quarter fiscal 2021 adjusted earnings per share (EPS) of 58 cents, which beat the Zacks Consensus Estimate of 21 cents. The figure declined 42% year over year.
Revenues in Detail
In the fiscal first quarter, revenues came in at $164.9 million, which beat the Zacks Consensus Estimate of $138.2 million by 19.3%. The metric however fell 20.6% from the prior-year quarter.
Q1 in Detail
U.S. Impella product revenues totaled $126.2 million, showing a decline of 25% year over year. Per management, U.S. patient usage of the Impella heart pumps fell 22% in the quarter, mainly due to the coronavirus pandemic.
Outside the United States, Impella product revenues totaled $29.2 million, highlighting a decrease of 7% year over year. Japan Impella product revenues improved 4%, while European Impella product revenues fell 13% year over year.
Margin Trend
In the quarter under review, gross profit totaled $128.9 million, down 24.5% year over year. Gross margin in the quarter was 78.2% of net revenues, down 398 basis points (bps) year over year.
Operating profit totaled $34.1 million, down 43.9% on a year-over-year basis. Operating margin was 20.7%, down 858 bps.
Financial Condition
The company exited the first quarter of fiscal 2021 with $ 214.8 million of cash and cash equivalents compared with $192.3 million at the end of the previous quarter. The balance sheet was also debt free as of Jun 30, 2020.
Due to uncertainty regarding the extent and duration of the COVID-19 pandemic and the timing of global economic recovery, the company has not issued full-year revenue or operating margin outlook at this time.
Summing Up
ABIOMED exited the first quarter of fiscal 2021 on a strong note. Impella revenues in Japan improved in the quarter under review. New product launches and regulatory approvals continue to buoy optimism. Also, the company’s balance sheet is debt-free.
However, the company’s flagship Impella saw decline in revenues, both internationally and within the United States. Contraction in both the margins is also worrying.
Zacks Rank and Key Picks
ABIOMED currently carries a Zacks Rank #4 (Sell).
Some better-ranked stocks in the broader medical space are Thermo Fisher Scientific Inc. (TMO - Free Report) , PerkinElmer, Inc. and OPKO Health, Inc. (OPK - Free Report) . While PerkinElmer sports a Zacks Rank #1 (Strong Buy), the other two sport a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Thermo Fisher reported second-quarter 2020 adjusted EPS of $3.89, beating the Zacks Consensus Estimate by 45.7%. Revenues of $6.92 billion outpaced the consensus mark by 0.1%.
PerkinElmer reported second-quarter 2020 adjusted EPS of $1.57, surpassing the Zacks Consensus Estimate by 68.8%. Revenues of $811.7 million outpaced the consensus mark by 1.3%.
OPKO Health reported second-quarter 2020 EPS of 5 cents against the Zacks Consensus Estimate of a loss of 7 cents per share. Revenues of $301.2 million surpassed the consensus estimate by 28.4%.
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ABIOMED (ABMD) Earnings and Revenues Beat Estimates in Q1
ABIOMED, Inc. reported first-quarter fiscal 2021 adjusted earnings per share (EPS) of 58 cents, which beat the Zacks Consensus Estimate of 21 cents. The figure declined 42% year over year.
Revenues in Detail
In the fiscal first quarter, revenues came in at $164.9 million, which beat the Zacks Consensus Estimate of $138.2 million by 19.3%. The metric however fell 20.6% from the prior-year quarter.
Q1 in Detail
U.S. Impella product revenues totaled $126.2 million, showing a decline of 25% year over year. Per management, U.S. patient usage of the Impella heart pumps fell 22% in the quarter, mainly due to the coronavirus pandemic.
Outside the United States, Impella product revenues totaled $29.2 million, highlighting a decrease of 7% year over year. Japan Impella product revenues improved 4%, while European Impella product revenues fell 13% year over year.
Margin Trend
In the quarter under review, gross profit totaled $128.9 million, down 24.5% year over year. Gross margin in the quarter was 78.2% of net revenues, down 398 basis points (bps) year over year.
Operating profit totaled $34.1 million, down 43.9% on a year-over-year basis. Operating margin was 20.7%, down 858 bps.
Financial Condition
The company exited the first quarter of fiscal 2021 with $ 214.8 million of cash and cash equivalents compared with $192.3 million at the end of the previous quarter. The balance sheet was also debt free as of Jun 30, 2020.
ABIOMED, Inc. Price, Consensus and EPS Surprise
ABIOMED, Inc. price-consensus-eps-surprise-chart | ABIOMED, Inc. Quote
Fiscal 2021 Guidance
Due to uncertainty regarding the extent and duration of the COVID-19 pandemic and the timing of global economic recovery, the company has not issued full-year revenue or operating margin outlook at this time.
Summing Up
ABIOMED exited the first quarter of fiscal 2021 on a strong note. Impella revenues in Japan improved in the quarter under review. New product launches and regulatory approvals continue to buoy optimism. Also, the company’s balance sheet is debt-free.
However, the company’s flagship Impella saw decline in revenues, both internationally and within the United States. Contraction in both the margins is also worrying.
Zacks Rank and Key Picks
ABIOMED currently carries a Zacks Rank #4 (Sell).
Some better-ranked stocks in the broader medical space are Thermo Fisher Scientific Inc. (TMO - Free Report) , PerkinElmer, Inc. and OPKO Health, Inc. (OPK - Free Report) . While PerkinElmer sports a Zacks Rank #1 (Strong Buy), the other two sport a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Thermo Fisher reported second-quarter 2020 adjusted EPS of $3.89, beating the Zacks Consensus Estimate by 45.7%. Revenues of $6.92 billion outpaced the consensus mark by 0.1%.
PerkinElmer reported second-quarter 2020 adjusted EPS of $1.57, surpassing the Zacks Consensus Estimate by 68.8%. Revenues of $811.7 million outpaced the consensus mark by 1.3%.
OPKO Health reported second-quarter 2020 EPS of 5 cents against the Zacks Consensus Estimate of a loss of 7 cents per share. Revenues of $301.2 million surpassed the consensus estimate by 28.4%.
More Stock News: This Is Bigger than the iPhone!
It could become the mother of all technological revolutions. Apple sold a mere 1 billion iPhones in 10 years but a new breakthrough is expected to generate more than 27 billion devices in just 3 years, creating a $1.7 trillion market.
Zacks has just released a Special Report that spotlights this fast-emerging phenomenon and 6 tickers for taking advantage of it. If you don't buy now, you may kick yourself in 2021.
Click here for the 6 trades >>