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Why Is AngioDynamics (ANGO) Up 8.7% Since Last Earnings Report?

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A month has gone by since the last earnings report for AngioDynamics (ANGO - Free Report) . Shares have added about 8.7% in that time frame, outperforming the S&P 500.

Will the recent positive trend continue leading up to its next earnings release, or is AngioDynamics due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important drivers.

AngioDynamics Q2 Earnings and Revenues Top Estimates

AngioDynamics,Inc reported second-quarter fiscal 2021 adjusted earnings per share of 1 cent. The Zacks Consensus Estimate was of a loss of 2 cents per share. The company, however, saw an 83.3% plunge in its bottomline from the year-ago quarter.

Revenue Details

For the fiscal second quarter, revenues totaled $72.8 million, which beat the Zacks Consensus Estimate by 8%. Further, the top line rose 4% on a year-over-year basis.

Geographical Analysis

In the quarter under review, U.S. net revenues totaled $60.7 million, up 9.2% year over year.

International revenues came in at $12.1 million, down 16.3% from the year-ago quarter.

Segmental Analysis

Vascular Interventions and Therapies (VIT) Business

VIT revenues in the fiscal second quarter grossed $33.9 million, up 8.8% from the year-ago period. This was driven bygrowth in AngioVac sales, partially offset by a fall in Venous product sales due to a drop in elective procedure volumes. 

Vascular Access (VA) Business

Revenues at this segment amounted to $23.9 million, up 5% on a year-over-year basis.

Oncology/Surgery Business

Here revenues declined 7% year over year to $14.9 million. Per management, this  downside was due to lower capital sales, partially offset by robust growth in the sales of NanoKnife disposables, especially in the United States.

Margin Analysis

In the quarter under review, gross profit totaled $40.2 million, down 3.3% from the year-ago quarter. Moreover, gross margin was 55.2%, down 414 basis points (bps).

Adjusted operating profit came in at $1.1 million, down 60% year over year. Adjusted operating margin contracted 235 bps to 1.5%.

2021 Guidance

Revenues are reaffirmed in the range of $278-$284 million.The Zacks Consensus estimate for the same is pegged at $281 million.

Adjusted EPS is reiterated between a breakeven and 5 cents. The Zacks Consensus Estimate for the metric is pegged at a penny..

Cash Position

The company exited the fiscal second quarter with cash and cash equivalents of $58 million compared with $47.9 million at the end of the first quarter of fiscal 2021. Cumulative net cash provided by operating activities came in at $6 million compared with net cash from the same of$0.6 million a year ago.

How Have Estimates Been Moving Since Then?

In the past month, investors have witnessed a downward trend in estimates revision.

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