Financial results: Invacare on track, Insulet raises outlook

Thursday, November 7, 2019

ELYRIA, Ohio – Invacare reported net sales of $235.8 million for the third quarter of 2019 compared to $244.6 million for the same period last year. Net loss was $8 million vs. $12 million. For North America HME, net sales decreased 1.8%, as slightly higher mobility and seating sales were more than offset by an 8.3% decline in respiratory sales and lower lifestyle product sales. Excluding respiratory, sales were up sequentially and essentially flat year over year. Invacare reported SG&A improved by 9.2% and constant currency SG&A improved by $5.3 million, or 7.6%, driven primarily by reduced employment costs as a result of previously announced restructuring actions. Operating income improved by $7.7 million to $2.4 million, primarily related to reduced SG&A expenses and increased gross profit, partially offset by higher restructuring costs and unfavorable foreign exchange. Invacare says it is on track to achieve its goal of at least $20 million in adjusted EBITDA by the end of 2019, with $14.7 million already accumulated through the third quarter. It also reaffirmed its 2020 year-end run-rate goal of $85 million to $105 million of adjusted EBITDA.

Insulet raises full-year outlook for 2019

ACTON, Mass. – Insulet Corp. reported revenue of $192.1 million for the third quarter of 2019 compared to $151.1 million for the same period in 2018, a 27% increase. Global Omnipod revenue was $177.2 million, a 34% increase. Of that, U.S. Omnipod revenue was $109.5 million, and international Omnipod revenue was $67.7 million, up 34% and 35%, respectively. The company reported gross margin of 64.1% and operating income of $17 million. "Consistent execution of our strategic imperatives combined with Insulet's strong foundation will fuel our continued growth,” said Shacey Petrovic, president and CEO. “We are raising our outlook for the full year 2019 and will continue to drive growth and value creation over the long term. Our team is focused on delivering life-changing innovation to people living with diabetes around the world." For the year ending Dec. 31, Insulet is raising its revenue guidance to between $722 million and $730 million, representing growth of 28% to 29%, previously 24% to 27%).