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Insulet Q1 Earnings Top Estimates, Stock Up, 2025 Sales View Raised

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Insulet Corporation (PODD - Free Report) reported first-quarter 2025 adjusted earnings per share (EPS) of $1.02, up 39.7% from the year-ago period’s figure. The bottom line surpassed the Zacks Consensus Estimate by 25.9%.

GAAP EPS was 50 cents, down 32.4% from the year-ago quarter’s figure.

PODD’s Q1 Revenues

Revenues totaled $569 million, which beat the Zacks Consensus Estimate by 4.9%. The top line jumped 28.8% year over year and 29.8% at constant exchange rate or CER. CER growth exceeded the company’s high end of the guidance range of 25%.

Since the announcement on May 8, PODD’s share price gained 20.9%, closing at $310.67 on Friday.

PODD’s Q1 Segmental Revenues

Insulet’s total Omnipod revenues of $554.1 million reflected an increase of 28% year over year and 29% at CER. International Omnipod revenues of $152.4 million rose 32.2% (up 36.1% at CER). U.S. Omnipod revenues grew 26.4% year over year to $401.7 million.

Insulet Corporation Price, Consensus and EPS Surprise

Insulet Corporation Price, Consensus and EPS Surprise

Insulet Corporation price-consensus-eps-surprise-chart | Insulet Corporation Quote

The Drug Delivery business revenues totaled $14.9 million, reflecting an increase of 71.3% year over year.

PODD’s Q1 Margin Performance

Gross profit in the reported quarter was $409 million, up 33.3% from the prior-year quarter’s figure. Gross margin of 71.9% expanded 242 basis points year over year.

Selling, general & administrative expenses rose 30.5% year over year to $260.6 million.

Research and development expenses rose 18.7% year over year to $59.6 million.

The operating profit in the quarter totaled $88.8 million, up 56.1% from the year-ago reported actuals. Operating margin of 15.6% expanded 272 basis points year over year.

Insulet’s Cash Position

Insulet exited the first quarter of 2025 with cash and cash equivalents of $1.28 billion compared with $953 million at the end of fourth-quarter 2024.

Cumulative net cash provided by operating activities at the end of the first quarter was $63.8 million, compared with $87.6 million in the year-ago period.

PODD’s 2025 Revenue Guidance

For 2025, the company now expects revenue growth to be 19%-22% (earlier 16%-20%). Insulet’s total Omnipod revenue growth is expected to be in the range of 20% to 23% (previously 17% to 21%). The company expects Drug Delivery revenues to decline 35%-25% (earlier 55%-45%). The Zacks Consensus Estimate for the company’s 2025 revenues currently stands at $2.45 billion.

For the second quarter, Insulet projects revenue growth of 23%-26%. Total Omnipod revenues are also anticipated to grow 23-26%. Drug Delivery revenue decline is expected to be in the range of 10%-15%. The Zacks Consensus Estimate for the company’s second-quarter revenues is at $578 million. 

Our Take on PODD’s Q1 Results

Insulet exited the first quarter of 2025 on a solid note, with both earnings and revenues beating estimates. New customer starts increased on both a year-over-year and a sequential basis in the United States and internationally. U.S. Omnipod revenue growth was driven by strong commercial execution with growing demand for Omnipod 5. Furthermore, expansion of both margins is highly promising. The upbeat revenue guidance for 2025 also bodes well for the stock.

In the United States, Insulet witnessed robust adoption of Omnipod 5 with Dexcom's G7 and early traction with Abbott's FreeStyle Libre 2 Plus sensors. During the quarter, the company launched Omnipod 5 in Australia, Belgium, Canada and Switzerland, marking nine new countries where Omnipod 5 has become available since the start of the year and 14 overall globally.

PODD’s Zacks Rank & Key Picks

PODD currently carries a Zacks Rank #3 (Hold).

Some better-ranked stocks from the broader medical space are AngioDynamics (ANGO - Free Report) , Integer Holdings Corporation (ITGR - Free Report) and Boston Scientific (BSX - Free Report) .

AngioDynamics, currently sporting a Zacks Rank #1 (Strong Buy), reported a third-quarter fiscal 2025 adjusted EPS of 3 cents against the Zacks Consensus Estimate of a 13-cent loss. Revenues of $72 million beat the Zacks Consensus Estimate by 2%. You can see the complete list of today’s Zacks #1 Rank stocks here.

ANGO has an estimated fiscal 2026 earnings growth rate of 27.8% compared with the S&P 500 composite’s 10.5% growth. The company surpassed earnings estimates in each of the trailing four quarters, with the average surprise being 70.9%.

Integer Holdings, sporting a Zacks Rank #1 at present, posted a first-quarter 2025 adjusted EPS of $1.31, exceeding the Zacks Consensus Estimate by 3.1%. Revenues of $437.4 million surpassed the Zacks Consensus Estimate by 1.3%.

ITGR has an estimated long-term earnings growth rate of 20.8% compared with the industry’s 14.3% growth. The company’s earnings surpassed estimates in three of the trailing four quarters and missed on one occasion, with the average surprise being 2.8%.

Boston Scientific, currently carrying a Zacks Rank #2 (Buy), reported a first-quarter 2025 adjusted EPS of 75 cents, which surpassed the Zacks Consensus Estimate by 11.9%. Revenues of $4.66 billion topped the Zacks Consensus Estimate by 2.3%.

BSX has an estimated 2025 earnings growth rate of 15.9% compared with the S&P 500 composite’s 11.9% growth. The company’s earnings surpassed estimates in each of the trailing four quarters, with the average surprise being 8.8%.

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