We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Insulet (PODD) Beats Earnings and Revenue Estimates in Q1
Read MoreHide Full Article
Insulet Corporation (PODD - Free Report) reported earnings per share (EPS) of 7 cents in first-quarter 2019 against a net loss of 11 cents posted in the prior-year quarter. The figure also surpassed the Zacks Consensus Estimate of earnings of 2 cents by a massive 250%.
Revenues in Detail
Revenues in the first quarter totaled $159.6 million, beating the Zacks Consensus Estimate by 3.4%. Moreover, the top line improved 29% from the year-ago quarter’s reported figure.
Insulet reported first-quarter 2019 U.S. Omnipod revenues of $86.1 million, reflecting an increase of 23% year over year.
Insulet Corporation Price, Consensus and EPS Surprise
International Omnipod revenues of $56.9 million surged 48%.
The Drug Delivery business’ revenues totaled $16.6 million, up 11% year over year.
Margins
Gross profit in the reported quarter was $10.6 million, up 40.7% from the prior-year quarter. Gross margin came in at 66.9%, expanding 552 basis points (bps) on continued improvement in manufacturing and supply-chain operations.
Total operating expenses came in at $99.4 million compared with $75.8 million witnessed in the prior-year quarter. Operating margin came in at 4.6% in the first quarter, indicating an expansion of 455 bps.
2019 Guidance
For 2019, the company has raised its revenue expectation to the range of $667-$690 million compared to prior estimate of $662-687 million. This suggests growth of roughly 18-22% from 2018. The Zacks Consensus Estimate for revenues is pegged at $677.4 million, within the guided range.
For the second quarter of 2019, Insulet expects revenues in the band of $160-165 million, reflecting growth of approximately 29-33% from the year-ago quarter. The Zacks Consensus Estimate for the metric is pegged at $162.6 million, within the guided range.
Our Take
Insulet exited the first quarter of 2019 on a solid note as both earnings and revenues beat the Zacks Consensus Estimates. We are encouraged by the year-over-year improvement in revenues on the solid uptake of Omnipod system both in the United States and international markets. We are upbeat about Insulet’s solid revenue growth within its Drug Delivery segment as well. Per management, Pod production at the U.S. manufacturing facility and the full U.S. commercial launch of the Omnipod DASH system drove revenues in the first quarter.
Nonetheless, Insulet is exposed to risks associated with a weaker global economy and lower reimbursement rates.
Stryker delivered first-quarter 2019 adjusted EPS of $1.88, beating the Zacks Consensus Estimate by 2.2%. Revenues of $3.52 billion were in line with the consensus estimate.
Abbott reported first-quarter 2019 adjusted EPS of 63 cents, topping the Zacks Consensus Estimate by 3.3%. Worldwide sales came in at $7.54 billion, beating the consensus estimate of $7.47 billion.
CONMED posted first-quarter 2019 adjusted EPS of 57 cents, which exceeded the Zacks Consensus Estimate of 54 cents. Revenues summed $218.4 million, outshining the consensus mark of $213 million.
Today's Best Stocks from Zacks
Would you like to see the updated picks from our best market-beating strategies? From 2017 through 2018, while the S&P 500 gained +15.8%, five of our screens returned +38.0%, +61.3%, +61.6%, +68.1%, and +98.3%. This outperformance has not just been a recent phenomenon. From 2000 – 2018, while the S&P averaged +4.8% per year, our top strategies averaged up to +56.2% per year.
Image: Bigstock
Insulet (PODD) Beats Earnings and Revenue Estimates in Q1
Insulet Corporation (PODD - Free Report) reported earnings per share (EPS) of 7 cents in first-quarter 2019 against a net loss of 11 cents posted in the prior-year quarter. The figure also surpassed the Zacks Consensus Estimate of earnings of 2 cents by a massive 250%.
Revenues in Detail
Revenues in the first quarter totaled $159.6 million, beating the Zacks Consensus Estimate by 3.4%. Moreover, the top line improved 29% from the year-ago quarter’s reported figure.
Insulet reported first-quarter 2019 U.S. Omnipod revenues of $86.1 million, reflecting an increase of 23% year over year.
Insulet Corporation Price, Consensus and EPS Surprise
Insulet Corporation price-consensus-eps-surprise-chart | Insulet Corporation Quote
International Omnipod revenues of $56.9 million surged 48%.
The Drug Delivery business’ revenues totaled $16.6 million, up 11% year over year.
Margins
Gross profit in the reported quarter was $10.6 million, up 40.7% from the prior-year quarter. Gross margin came in at 66.9%, expanding 552 basis points (bps) on continued improvement in manufacturing and supply-chain operations.
Total operating expenses came in at $99.4 million compared with $75.8 million witnessed in the prior-year quarter. Operating margin came in at 4.6% in the first quarter, indicating an expansion of 455 bps.
2019 Guidance
For 2019, the company has raised its revenue expectation to the range of $667-$690 million compared to prior estimate of $662-687 million. This suggests growth of roughly 18-22% from 2018. The Zacks Consensus Estimate for revenues is pegged at $677.4 million, within the guided range.
For the second quarter of 2019, Insulet expects revenues in the band of $160-165 million, reflecting growth of approximately 29-33% from the year-ago quarter. The Zacks Consensus Estimate for the metric is pegged at $162.6 million, within the guided range.
Our Take
Insulet exited the first quarter of 2019 on a solid note as both earnings and revenues beat the Zacks Consensus Estimates. We are encouraged by the year-over-year improvement in revenues on the solid uptake of Omnipod system both in the United States and international markets. We are upbeat about Insulet’s solid revenue growth within its Drug Delivery segment as well. Per management, Pod production at the U.S. manufacturing facility and the full U.S. commercial launch of the Omnipod DASH system drove revenues in the first quarter.
Nonetheless, Insulet is exposed to risks associated with a weaker global economy and lower reimbursement rates.
Zacks Rank and Key Picks
Insulet currently carries a Zacks Rank #3 (Hold).
Some other better-ranked stocks which posted solid results this earnings season are Stryker Corporation (SYK - Free Report) , Abbott Laboratories (ABT - Free Report) and CONMED Corporation (CNMD - Free Report) , each carrying a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Stryker delivered first-quarter 2019 adjusted EPS of $1.88, beating the Zacks Consensus Estimate by 2.2%. Revenues of $3.52 billion were in line with the consensus estimate.
Abbott reported first-quarter 2019 adjusted EPS of 63 cents, topping the Zacks Consensus Estimate by 3.3%. Worldwide sales came in at $7.54 billion, beating the consensus estimate of $7.47 billion.
CONMED posted first-quarter 2019 adjusted EPS of 57 cents, which exceeded the Zacks Consensus Estimate of 54 cents. Revenues summed $218.4 million, outshining the consensus mark of $213 million.
Today's Best Stocks from Zacks
Would you like to see the updated picks from our best market-beating strategies? From 2017 through 2018, while the S&P 500 gained +15.8%, five of our screens returned +38.0%, +61.3%, +61.6%, +68.1%, and +98.3%. This outperformance has not just been a recent phenomenon. From 2000 – 2018, while the S&P averaged +4.8% per year, our top strategies averaged up to +56.2% per year.
See their latest picks free >>