Surmodics (Nasdaq:SRDX) this week posted second-quarter results that missed the earnings consensus on Wall Street but beat sales estimates.
The Eden Prairie, Minnesota-based company reported profit losses of $7.7 million, or 55¢ per share, on sales of $27.2 million, for the three months ended March 31, for a bottom-line loss compared to Q2 2022, when it reported $4 million in losses. Surmodics had 4.18% sales growth in Q2 2023.
Adjusted to exclude one-time items, earnings per share were -$1.98 per share, $1.47 behind The Street, where analysts were looking for sales of $25.86 million.
“Second quarter total revenue performance was driven by growth in our medical device segment, which increased 7% year-over-year, as we drove commercial progress for our innovative thrombectomy and radial access platforms. Specifically, we were pleased to see Medical Device product sales increase 23% year-over-year, with significant contributions from our vascular intervention products – Pounce arterial thrombectomy and Sublime radial access platforms,” President and CEO Gary Maharaj said in a news release. “Our team has performed exceedingly well in navigating the unexpected challenges along our path to securing premarket approval for our SurVeil DCB since the receipt of the letter from the FDA in January. In response, we engaged proactively with the FDA to obtain additional feedback and implemented measures to reduce our spending, preserve capital and more closely align our capital allocation priorities with our strategic objectives. We are pleased to have obtained formal feedback from the FDA before the end of our second quarter that provided additional clarity on the process and content required, which positions us to submit an amended PMA application during our third quarter.”
For fiscal 2023, Surmodics expects total revenue in the range of $103 million to $106 million representing an increase of 3% to 6% compared to the prior year. Prior guidance called for fiscal 2023 total revenue to range from $102 million to $106 million.
Shares in SRDX were up 3.27% to $24.64 apiece in afternoon trading. MassDevice‘s MedTech 100 Index, which includes stocks of the world’s largest medical device companies, was down slightly.