Core Viewpoint - AngioDynamics, Inc. reported a narrower adjusted loss per share for the second quarter of fiscal 2025, indicating improved financial performance compared to the previous year and exceeding consensus estimates [1][2][20]. Financial Performance - Adjusted loss per share for Q2 fiscal 2025 was 4 cents, compared to 5 cents in the same quarter last year and better than the Zacks Consensus Estimate of 11 cents [1][2]. - GAAP loss per share was 26 cents, an improvement from 72 cents in the prior-year period [2][3]. - Total revenues for the quarter were $72.8 million, down 7.9% year over year but exceeding the Zacks Consensus Estimate by 2.4% [4][20]. Revenue Breakdown - U.S. net revenues were $62.7 million, a decrease of 2.1% year over year, but up 12.3% on a pro forma basis [6]. - International revenues fell to $10.2 million, down 32.5% year over year on a reported basis [7]. - Med Tech segment revenues increased to $31.6 million, reflecting a 24.4% year-over-year growth [8][9]. - Med Device segment revenues were $41.3 million, down 23.1% from the previous year [11]. Margin and Expense Analysis - Pro forma gross profit rose 8.9% to $39.9 million, with a slight contraction in gross margin to 54.7% [13]. - Sales and marketing expenses increased by 6.6% to $25.6 million, while R&D expenses decreased by 22.8% to $6.4 million [14]. Cash Position - The company ended the quarter with cash and cash equivalents of $54.1 million, down from $55 million at the end of the previous quarter, and had no debt [16]. Guidance for Fiscal 2025 - AngioDynamics revised its fiscal 2025 guidance, expecting net sales between $282 million and $288 million, representing a growth of 4.2-6.4% from the previous year [17]. - Med Tech revenue growth is now projected at 12-15%, an increase from the earlier estimate of 10-12% [17]. - Adjusted loss per share is expected to be between 34 cents and 38 cents, narrower than the previous projection [18].

Company Overview - AngioDynamics, Inc. (NASDAQ: ANGO) designs and manufactures medical devices focused on oncology, vascular access, and peripheral vascular diseases [1] - The company is strategically shifting towards Med Tech, particularly in mechanical thrombectomy and targeted cancer therapy, which are expected to yield higher profits [1] Market Focus - The markets of mechanical thrombectomy and targeted cancer therapy are identified as areas with significant growth potential for AngioDynamics [1] - The company aims to capitalize on these emerging markets to enhance its profitability and market position [1]

Table of Content UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended November 30, 2024 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 0-50761 AngioDynamics, Inc. (Exact name of registrant as specified in its charter) Delaware 11-3146460 (State or other juri ...

Financial Data and Key Metrics - The company will discuss expected revenue, adjusted earnings, and gross margins for fiscal year 2025 during the call [3] - Management will use non-GAAP and pro forma financial measures to establish operational goals and review performance, which may help investors analyze underlying business trends [5] Business Line Data and Key Metrics - No specific data or metrics related to individual business lines were provided in the content Market Data and Key Metrics - No specific data or metrics related to individual markets were provided in the content Company Strategy and Industry Competition - No specific details on company strategy or industry competition were provided in the content Management Commentary on Operating Environment and Future Outlook - Management will make forward-looking statements about future events, including expected revenue, adjusted earnings, and gross margins for fiscal year 2025 [3] - Management encourages reviewing past and future SEC filings to understand factors that may cause actual results to differ from forward-looking statements [4] Other Important Information - The earnings call is being broadcast live on the company's website, with a replay available approximately one hour after the call ends [2] - Listeners are cautioned about the forward-looking nature of the statements made during the call [3] Q&A Session Summary - No Q&A session details were provided in the content

Company Performance - AngioDynamics reported a quarterly loss of $0.04 per share, better than the Zacks Consensus Estimate of a loss of $0.11, and an improvement from a loss of $0.05 per share a year ago, representing an earnings surprise of 63.64% [1] - The company posted revenues of $72.85 million for the quarter ended November 2024, surpassing the Zacks Consensus Estimate by 2.36%, although this is a decline from year-ago revenues of $79.07 million [2] - Over the last four quarters, AngioDynamics has exceeded consensus EPS estimates three times and topped consensus revenue estimates two times [2] Stock Outlook - AngioDynamics shares have increased approximately 2.6% since the beginning of the year, outperforming the S&P 500's gain of 0.5% [3] - The current consensus EPS estimate for the upcoming quarter is -$0.11 on revenues of $70.75 million, and for the current fiscal year, it is -$0.41 on revenues of $284.07 million [7] - The estimate revisions trend for AngioDynamics is mixed, resulting in a Zacks Rank 3 (Hold), indicating expected performance in line with the market in the near future [6] Industry Context - The Medical - Instruments industry, to which AngioDynamics belongs, is currently in the top 30% of over 250 Zacks industries, suggesting a favorable outlook compared to the bottom 50% [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5]

Financial Performance - Q2 FY25 net sales were $73.0 million, a 9.2% YoY increase[3][8] - Net sales for the three months ended November 30, 2024, were $73.015 million, a decrease from $79.073 million in the same period last year[32] - Net sales for the six months ended November 30, 2024, were $140.515 million, down from $157.752 million in the same period last year[36] - Net sales for the three months ended Nov 30, 2024 were $72,845 thousand, down 7.9% from $79,073 thousand in the prior year period[56] - Total net sales decreased by 11.0% to $140.336 million for the six months ended November 30, 2024, compared to $133.627 million in the same period last year[61] Med Tech Segment Performance - Med Tech net sales grew 25.0% YoY to $31.5 million, driven by strong performance in Auryon, AngioVac, AlphaVac, and NanoKnife disposables[3][8][9] - Med Tech net sales for the three months ended Nov 30, 2024 were $31,554 thousand, up 24.4% from $25,363 thousand in the prior year period[56] - Med Tech segment revenue increased by 27.2% to $20.113 million for the three months ended November 30, 2024, compared to $15.783 million in the same period last year[58] - Net sales for the Med Tech segment grew by 16.2% to $59.523 million for the six months ended November 30, 2024, compared to $50.971 million in the same period last year[61] - Gross profit for the Med Tech segment increased by 16.2% to $37.810 million for the six months ended November 30, 2024, compared to $32.471 million in the same period last year[63] Med Device Segment Performance - Med Device net sales decreased 0.4% YoY to $41.5 million, with U.S. sales growing 1.6%[3][10] - Med Device net sales for the three months ended Nov 30, 2024 were $41,291 thousand, down 23.1% from $53,710 thousand in the prior year period[56] - Med Device segment revenue decreased by 19.0% to $19.793 million for the three months ended November 30, 2024, compared to $20.889 million in the same period last year[58] - Net sales for the Med Device segment declined by 24.1% to $80.813 million for the six months ended November 30, 2024, compared to $82.656 million in the same period last year[61] - Gross profit for the Med Device segment decreased by 18.8% to $38.820 million for the six months ended November 30, 2024, compared to $40.808 million in the same period last year[63] Profitability and Margins - Adjusted EBITDA for Q2 FY25 was $3.1 million, compared to $(0.0) million in Q2 FY24[6][14] - Gross margin for Q2 FY25 was 54.7%, with Med Tech gross margin at 63.7% and Med Device gross margin at 47.8%[11][12] - Gross profit margin for the three months ended November 30, 2024, was 54.7%, up from 50.9% in the same period last year[32] - Gross profit margin for the six months ended November 30, 2024, was 54.6%, up from 50.9% in the same period last year[36] - Total gross profit percentage increased to 54.8% for the three months ended November 30, 2024, up from 50.9% in the same period last year[58] - Total gross profit percentage increased to 54.6% for the six months ended November 30, 2024, up from 50.9% in the same period last year[63] Net Loss and Adjusted Metrics - Net loss for the three months ended November 30, 2024, was $10.728 million, compared to a net loss of $29.702 million in the same period last year[32] - Net loss for the six months ended November 30, 2024, was $23.671 million, compared to a net loss of $32.432 million in the same period last year[36] - Adjusted net loss for the three months ended November 30, 2024, was $1.742 million, compared to an adjusted net loss of $2.038 million in the same period last year[39] - Adjusted net loss for the six months ended November 30, 2024, was $6.137 million, compared to an adjusted net loss of $6.869 million in the same period last year[39] - Adjusted diluted loss per share for the three months ended November 30, 2024, was $0.04, compared to $0.05 in the same period last year[40] - Adjusted diluted loss per share for the six months ended November 30, 2024, was $0.15, compared to $0.17 in the same period last year[40] - Net income (loss) for the three months ended Nov 30, 2024 was $(10,738) thousand, compared to $(29,048) thousand in the same period last year[43] - Adjusted EBITDA for the three months ended Nov 30, 2024 was $3,040 thousand, up from $1,819 thousand in the prior year period[43] - Pro forma net loss for the three months ended Nov 30, 2024 was $(10,728) thousand, an improvement from $(29,702) thousand in the prior year period[45] - Adjusted pro forma net loss for the three months ended Nov 30, 2024 was $(1,726) thousand, compared to $(3,365) thousand in the prior year period[45] - Net income (loss) for the three months ended Nov 30, 2024 was $(10.7 million), compared to $(29.0 million) in the same period last year[68] - Net income (loss) for the six months ended Nov 30, 2024 was $(23.5 million), compared to $16.8 million in the same period last year[68] Cash Flow and Liquidity - The company generated $2.5 million in operating cash flow and had $54.1 million in cash and cash equivalents at the end of Q2 FY25[15] - Cash and cash equivalents decreased to $54.089 million as of November 30, 2024, compared to $76.056 million as of May 31, 2024[66] - Net cash provided by operating activities for the three months ended Nov 30, 2024 was $2.5 million, down from $5.3 million in the prior year period[68] - Net cash used in operating activities for the six months ended Nov 30, 2024 was $(15.8 million), compared to $(20.6 million) in the prior year period[68] - Cash and cash equivalents decreased by $916 thousand for the three months ended Nov 30, 2024, compared to an increase of $3.3 million in the prior year period[68] - Cash and cash equivalents decreased by $22.0 million for the six months ended Nov 30, 2024, compared to an increase of $16.3 million in the prior year period[68] Capital Expenditures and Stock Repurchases - Additions to property, plant and equipment totaled $797 thousand for the three months ended Nov 30, 2024, up from $554 thousand in the prior year period[68] - Repurchase of common stock totaled $1.1 million for the three months ended Nov 30, 2024, compared to $0 in the prior year period[68] - Additions to property, plant and equipment totaled $1.9 million for the six months ended Nov 30, 2024, up from $1.3 million in the prior year period[68] - Repurchase of common stock totaled $1.7 million for the six months ended Nov 30, 2024, compared to $0 in the prior year period[68] Regulatory and Clinical Developments - NanoKnife System received FDA 510(k) clearance for prostate tissue ablation in December 2024[6][19] - NanoKnife System achieved all primary endpoints in the PRESERVE clinical trial, with 84.0% of patients free from in-field, clinically significant disease at 12 months[23] - CPT Category I codes for NanoKnife System's IRE technology for prostate and liver lesions will be effective January 1, 2026, facilitating reimbursement and market access[17][18] Guidance and Outlook - FY25 guidance updated: net sales expected to be $282-$288 million (4.2%-6.4% growth), Med Tech sales growth raised to 12%-15%, and Adjusted EBITDA now expected to be $1.0-$3.0 million[24] Restructuring and Plant Closure - Plant closure expenses for the three months ended Nov 30, 2024 were $5,102 thousand, related to the restructuring of the manufacturing footprint[51] Geographic Sales Performance - U.S. net sales for the three months ended Nov 30, 2024 were $62,678 thousand, down 2.1% from $64,002 thousand in the prior year period[56] - International net sales for the three months ended Nov 30, 2024 were $10,167 thousand, down 32.5% from $15,071 thousand in the prior year period[56]

Group 1: Stock Performance and Price Targets - AngioDynamics (ANGO) shares have increased by 5% over the past four weeks, closing at $6.69, with a mean price target of $13 indicating a potential upside of 94.3% [1] - The mean estimate includes three short-term price targets with a standard deviation of $1, where the lowest estimate of $12 suggests a 79.4% increase, and the highest estimate of $14 indicates a 109.3% surge [2] Group 2: Analyst Consensus and Earnings Estimates - Analysts show strong agreement in revising earnings estimates higher, which correlates with potential stock price increases, as indicated by a positive trend in earnings estimate revisions [4][9] - The Zacks Consensus Estimate for the current year has increased by 0.8% due to one upward revision over the last 30 days, with no negative revisions [10] Group 3: Analyst Behavior and Price Target Reliability - Analysts often set overly optimistic price targets due to business incentives, which can lead to inflated estimates [6] - A low standard deviation in price targets indicates a high degree of agreement among analysts regarding the stock's price movement direction, serving as a starting point for further research [7]

Core Viewpoint - AngioDynamics, Inc. (ANGO) has faced a significant decline in stock performance, dropping 13.8% over the past three months, contrasting with the industry's slight gain of 0.3% and the S&P 500's growth of 6.9% [1][4][6] Financial Performance - In the first quarter of fiscal 2025, AngioDynamics reported overall net sales growth, but Med Device net sales experienced a decline due to inflationary pressures on raw materials, labor shortages, and freight costs, negatively impacting gross profit [3][8] - The company anticipates fiscal 2025 revenues between $282 million and $288 million, reflecting a growth of 4.2% to 6.4% from fiscal 2024, although the Zacks Consensus Estimate indicates a 6.5% decline compared to the previous fiscal year [7][18] Recent Developments - AngioDynamics announced the grant of Category I CPT for Irreversible Electroporation (IRE), which is expected to enhance reimbursement for healthcare providers and improve patient access to the NanoKnife System [2] - The company launched the Auryon 1.7mm catheter and is executing a full commercial launch of AlphaVac for pulmonary embolism in the U.S. and CE-marked countries [10] - AngioDynamics received European CE mark approval for the Auryon Atherectomy System, allowing it to market the system for treating Peripheral Artery Disease in Europe [14] Market Position and Strategy - The company is focusing on expanding cancer treatment options and improving patient quality of life, with strong market acceptance of its NanoKnife system for tumor treatment [8][9] - AngioDynamics is investing in three key technologies: AngioVac, Auryon, and NanoKnife, while also working to enhance the profitability of its other products [9] - The majority of growth in the first quarter was driven by the U.S. market, with expectations for continued growth from AlphaVac in the near term [12] Stock Valuation - AngioDynamics' forward 12-month price-to-sales (P/S) ratio is 0.9X, significantly lower than the industry average of 4.5X and its five-year median of 1.5X, indicating potential for growth [15][19]

Core Insights - AngioDynamics, Inc. (ANGO) announced that its Irreversible Electroporation (IRE) technology has received Current Procedural Terminology (CPT) Category I codes for treating lesions in the prostate and liver, indicating clinical efficacy and value in the medical community [1][2] - Following the announcement, ANGO's stock price increased by nearly 11.2% to $7.27, although the stock has declined 7.3% year-to-date compared to an 8.4% rise in the industry and a 22.7% increase in the S&P 500 [2] - The recognition of IRE under CPT Category I codes is expected to enhance billing precision for healthcare providers, leading to broader insurance coverage and defined reimbursement rates for NanoKnife procedures [3] Company Developments - The NanoKnife System, which utilizes IRE technology to ablate targeted cells without thermal energy, has shown solid growth and previously received FDA clearance for surgical ablation of soft tissue [4] - The system was also granted Breakthrough Device Designation by the FDA, highlighting its innovative approach in the medical field [4] - ANGO's market capitalization currently stands at $265.8 million, and the company reported an earnings surprise of 26.7% in the last quarter [2] Industry Prospects - The global pancreatic cancer treatment market was valued at $2.86 billion in 2023 and is projected to exceed $10.69 billion by 2032, with a compound annual growth rate (CAGR) of 15.8% [5] - Factors driving market growth include unhealthy lifestyles, alcohol consumption, and obesity, which are primary causes of pancreatic cancer [5]

Core Viewpoint - AngioDynamics (ANGO) has experienced a significant downtrend, with a 15.9% decline over the past four weeks, but it is now in oversold territory, suggesting a potential turnaround due to analysts' positive earnings outlook [1][3]. Group 1: Stock Performance - ANGO's stock has declined 15.9% in the last four weeks, indicating strong selling pressure [1]. - The stock is currently in oversold territory, as indicated by an RSI reading of 24.7, suggesting that selling may be exhausting [3]. Group 2: Analyst Sentiment - There is strong consensus among sell-side analysts that ANGO will report better earnings than previously predicted, with a 0.8% increase in the consensus EPS estimate over the last 30 days [3]. - ANGO holds a Zacks Rank 2 (Buy), placing it in the top 20% of over 4,000 ranked stocks based on earnings estimate revisions and EPS surprises [3].