Embecta Corp. (EMBC) came out with quarterly earnings of $0.70 per share, beating the Zacks Consensus Estimate of $0.66 per share. This compares to earnings of $0.67 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 6.06%. A quarter ago, it was expected that this company would post earnings of $0.45 per share when it actually produced earnings of $0.65, delivering a surprise of 44.44%.Over the last four quarters, the company has ...

Earnings Conference Call Q2 Fiscal Year 2025 May 9, 2025 Safe Harbor Statement Regarding Forward-Looking Statements This presentation contains express or implied "forward-looking statements" as that term is defined in the Private Securities Litigation Reform Act of 1995 and other securities laws. These forward-looking statements concern our current expectations regarding our future results from operations, performance, financial condition, goals, strategies, plans, achievements, and anticipated product clea ...

FOR IMMEDIATE RELEASE Embecta Corp. Reports Second Quarter Fiscal 2025 Financial Results PARSIPPANY, N.J., May 9, 2025 (GLOBE NEWSWIRE) – Embecta Corp. ("embecta" or the "Company") (Nasdaq: EMBC), a global diabetes care company, today reported financial results for the three and six month periods ended March 31, 2025. "This quarter's financial results were once again slightly ahead of our prior expectations, as our teams executed well, which included driving an acceleration in our free-cash flow generation, ...

PARSIPPANY, N.J., May 09, 2025 (GLOBE NEWSWIRE) -- Embecta Corp. (“embecta” or the "Company") (Nasdaq: EMBC), a global diabetes care company, today reported financial results for the three and six month periods ended March 31, 2025. "This quarter’s financial results were once again slightly ahead of our prior expectations, as our teams executed well, which included driving an acceleration in our free-cash flow generation, thereby allowing us to continue to repay debt and create additional balance sheet flex ...

PARSIPPANY, N.J., April 28, 2025 (GLOBE NEWSWIRE) -- Embecta Corp. ("embecta") (Nasdaq: EMBC), a global diabetes care company with a 100-year legacy in insulin delivery, will hold an Analyst and Investor Day on May 22, 2025, from 9:00 a.m. to 12:30 p.m. in New York City. Dev Kurdikar, President & Chief Executive Officer, and Jake Elguicze, Chief Financial Officer, will be joined by members of the embecta leadership team to present strategic and business overview, including value creation opportunities, the ...

Core Viewpoint - Embecta Corp. will host a conference call to discuss its fiscal second quarter 2025 financial results and provide an operational update on May 9, 2025 [1] Group 1: Conference Call Details - The conference call is scheduled for 8:00 a.m. Eastern Time (ET) [1] - Participants can access the live webcast through the company's website or via a teleconference link [2] - A replay of the call will be available starting at 11:00 a.m. ET on the same day and will be archived for one year [2] Group 2: Company Overview - Embecta is a global diabetes care company with a 100-year legacy in insulin delivery [3] - The company aims to empower people with diabetes through innovative solutions and partnerships, supported by approximately 2,000 employees worldwide [3]

Core Insights - Embecta Corp. has announced the FITTER Forward Expert Recommendations, a significant update to global best practices for insulin injection technique and education, aimed at improving clinical outcomes for diabetes patients worldwide [1][2][3] Group 1: Publication and Initiative - The FITTER Forward initiative is a collaboration of 16 diabetes specialists from 13 countries, emphasizing the need for improved training and standardization in insulin delivery [1][2] - The publication titled "Advance Insulin Injection Technique and Education with FITTER Forward Expert Recommendations" is featured in the April edition of Mayo Clinic Proceedings [3] Group 2: Importance of Injection Technique - Proper injection technique, device handling, and insulin management are crucial for long-term glycemic control, often overlooked in discussions about insulin treatments [2] - The new recommendations provide healthcare professionals with evidence-based strategies to ensure correct and safe insulin delivery [2][3] Group 3: Advancements and Training - The update reflects advancements in device technology, research, and real-world patient data since the original FITTER guidelines were developed in 2016 [2] - Key components of the recommendations include new insights on injection device technology, standardized injection techniques, structured training programs for healthcare providers, and patient-centered tools [7]

Core Insights - Embecta's end market growth is influenced by new technologies that are capturing market share in insulin delivery, alongside the rising use of GLP-1 drugs which are reducing the frequency of Embecta's product usage [1] Company Analysis - Embecta is facing competition from emerging technologies in the insulin delivery market, which may impact its market share [1] - The increased adoption of GLP-1 drugs is leading to a decline in the frequency of Embecta's product usage, indicating a shift in treatment preferences among patients [1]

Group 1 - Embecta Corp. will have its Chief Financial Officer, Jake Elguicze, present at the J.P. Morgan Global Leveraged Finance Conference on February 25, 2025 [1] - The conference will take place in Miami at 3:00 p.m. ET [1] Group 2 - Embecta is a global diabetes care company with nearly 100 years of experience in insulin delivery [2] - The company aims to empower people with diabetes through innovative solutions and partnerships [2] - Embecta employs approximately 2,000 individuals worldwide [2]

Financial Data and Key Metrics Changes - Embecta Corp. generated approximately $262 million in revenue for Q1 2025, reflecting a 5.6% decline year-over-year on a reported basis and a 4.8% decline on an adjusted constant currency basis [14][21][22] - GAAP gross profit for Q1 2025 was $157.1 million with a margin of 60%, compared to $185.9 million and 67% in the prior year [26] - Adjusted net income for Q1 2025 was $38.3 million, resulting in adjusted earnings per share of $0.65, compared to $35.3 million and $0.61 in the prior year [30] Business Line Data and Key Metrics Changes - Pen needle revenue declined approximately 8.5%, while syringe revenue declined approximately 4.2% [24] - Safety products grew approximately 11.3%, and contact manufacturing revenue grew approximately 153% [24] - The decline in pen needle revenue was attributed to additional revenue in Q4 2024 due to distributor inventory purchases in anticipation of a US port strike [24][51] Market Data and Key Metrics Changes - US revenue for Q1 totaled $141.7 million, reflecting a year-over-year decline of 4.6% on an adjusted constant currency basis [22] - International revenue totaled $120.2 million, equating to a 5.1% decline on an adjusted currency basis [23] - The year-over-year decline in international business was primarily due to distributor rebalancing and difficult comparisons from prior inventory purchases [23] Company Strategy and Development Direction - The company is focused on three key priorities: strengthening the core business, expanding the product portfolio, and increasing financial flexibility [10][12] - The brand transition program is on track, with efforts to co-package pen needles with potential generic GLP-1 drugs [15][18] - The restructuring plan related to the discontinuation of the insulin patch pump program is expected to be completed by the end of the first half of fiscal year 2025 [16] Management's Comments on Operating Environment and Future Outlook - Management noted that the first quarter slightly exceeded internal expectations, but revenue comparisons will be impacted by prior year order timing and ERP implementations [14][21] - The company expects to materially reduce outstanding debt over the next few years, enhancing financial agility [12][32] - Management updated fiscal 2025 guidance, reaffirming constant currency revenue guidance while raising adjusted operating and EBITDA margin guidance ranges [17][40] Other Important Information - The company plans to pay down approximately $110 million in debt during 2025 [12][32] - The updated financial guidance reflects unfavorable foreign exchange rates, with an expected headwind of about 2.2% versus the prior year [38] Q&A Session Summary Question: Can you walk through each of the three key product categories and their expected performance? - Management indicated that Q1 performance was slightly better than expected, with pen needles being the majority category affected by prior year inventory dynamics and ERP implementations [49][51] Question: What is the progress on the GLP-1 pen needle opportunity, particularly in Germany? - Management stated that progress in Germany is ongoing, with expectations for pen needles to be used for out-of-pocket prescriptions, but quantification of revenue is not yet available [62][64] Question: What leverage ratio would allow for more opportunistic M&A? - Management emphasized a focus on debt repayment and financial flexibility, with a net leverage target of around three times by the end of fiscal 2025 before considering M&A opportunities [71][74] Question: How should we think about long-term margin progressions? - Management indicated that long-term margin discussions will occur at the upcoming Analyst Day, with a focus on expanding the product portfolio and optimizing costs [76][82]