LivaNova (LIVN) Q2 2025 Earnings Call August 06, 2025 08:00 AM ET Company ParticipantsBriana Gotlin - VP-IRVladimir Makatsaria - CEO & DirectorAhmet Tezel - Chief Innovation OfficerAlex Shvartsburg - CFORick Wise - Managing DirectorStephanie Bolton - President of Global EpilepsyDavid Roman - Managing DirectorConference Call ParticipantsMike Polark - Senior Equity Research Analyst - Medical DevicesDavid Rescott - Senior Research AnalystAdam Maeder - MD & Senior Research AnalystNone - AnalystMatt Miksic - Equ ...

LivaNova (LIVN) Q2 2025 Earnings Call August 06, 2025 08:00 AM ET Speaker0Good day, ladies and gentlemen, and welcome to the LivaNova plc Second Quarter twenty twenty five Earnings Conference As a reminder, this conference call is being recorded. I would now like to introduce your host for today's call, Ms. Brianna Gottman, LivaNova's Vice President of Investor Relations. Please go ahead.Speaker1Thank you, and welcome to our conference call and webcast discussing LivaNova's financial results for the 2025. J ...

1 Safe Harbor Certain statements in this material, other than statements of historical or current fact, are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act, and Section 21E of the Exchange Act. These statements include, but are not limited to, LivaNova's plans, objectives, strategies, financial performance and outlook, trends, the amount and timing of future cash distributions, prospects or future events, and involve ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 _________________________ Form 10-Q (Exact name of registrant as specified in its charter) England and Wales ................... 98-1268150 (State or other jurisdiction of .......... (I.R.S. Employer incorporation or organization) ........ Identification No.) 20 Eastbourne Terrace, London, United Kingdom, W2 6LG (Address of principal executive offices) ....................... (Zip Code) or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 1 ...

LivaNova Reports Second-Quarter 2025 Results; Raises 2025 Guidance EXHIBIT 99.1 NEWS RELEASE – Delivered double-digit reported and organic revenue growth and continued operating margin expansion – Raised full-year 2025 revenue, adjusted earnings per share, and adjusted free cash flow guidance (1) – Initiated process with U.S. Centers for Medicare and Medicaid Services for reconsideration of national coverage for VNS Therapy™ for treatment-resistant depression – Announced long-term, real-world evidence demon ...

Group 1 - The article highlights an increasing focus on UK-based companies, particularly in sectors such as energy, telecommunications, finance, and consumer staples [1] - The author has been actively investing more capital into these UK-based companies, indicating a positive outlook on their performance [1] Group 2 - There is a mention of a beneficial long position in the shares of SEMHF, suggesting confidence in the stock's future performance [1]

Financial Data and Key Metrics Changes - The meeting discussed the voting results, indicating that more than 46,000,000 ordinary shares, representing approximately 84% of all voting rights, participated in the meeting [8]. Business Line Data and Key Metrics Changes - No specific data on business lines was provided during the meeting. Market Data and Key Metrics Changes - No specific market data was discussed during the meeting. Company Strategy and Development Direction and Industry Competition - The company proposed several resolutions related to director elections and compensation, indicating a focus on governance and executive remuneration [10][11]. Management's Comments on Operating Environment and Future Outlook - Management did not provide specific comments on the operating environment or future outlook during the meeting. Other Important Information - The meeting was conducted virtually to maximize shareholder participation [2]. - The company’s independent registered public accounting firm, PricewaterhouseCoopers LLP, was present for questions during the Q&A portion [5]. Q&A Session Summary Question: Have any questions been received? - No questions were received during the meeting, indicating a lack of immediate shareholder inquiries [14].

LivaNova (LIVN) 2025 Conference June 05, 2025 03:10 PM ET Speaker0 Our next session here, Matt Taylor, the U. Medical Supplies and Devices analyst here at Jefferies. And I'm joined by the management team from LivaNova, including Vlad Makataria, CEO, and Phil Kowalsik, the CSO, Brianna Gottland, who runs the Investor Relations Program. So we'll have about a half an hour for moderated Q and A with the team. And I just want to thank everybody for your interest, and thanks for coming. So to get started, we've a ...

PART I. FINANCIAL INFORMATION [Item 1. Financial Statements (unaudited)](index=7&type=section&id=Item%201%2E%20Financial%20Statements%20%28unaudited%29) The company reported a Q1 net loss of $327.3 million due to a one-time litigation expense, despite 7.4% revenue growth Condensed Consolidated Statements of Income (Loss) (in thousands, except per share amounts) | Metric | Three Months Ended March 31, 2025 | Three Months Ended March 31, 2024 | | :--- | :--- | :--- | | **Net revenue** | $316,855 | $294,912 | | **Gross profit** | $220,775 | $207,390 | | **Operating income** | $48,617 | $16,246 | | **SNIA environmental liability expense** | ($360,393) | $0 | | **Net loss** | ($327,322) | ($41,943) | | **Diluted loss per share** | ($6.01) | ($0.78) | Condensed Consolidated Balance Sheet Highlights (in thousands) | Metric | March 31, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Cash and cash equivalents | $738,437 | $428,858 | | Total Assets | $2,558,746 | $2,506,389 | | SNIA environmental liability | $360,393 | $0 | | Total Liabilities | $1,524,448 | $1,186,131 | | Total Stockholders' Equity | $1,034,298 | $1,320,258 | Condensed Consolidated Statements of Cash Flows Highlights (in thousands) | Metric | Three Months Ended March 31, 2025 | Three Months Ended March 31, 2024 | | :--- | :--- | :--- | | Net cash provided by operating activities | $23,966 | $9,981 | | Net cash used in investing activities | ($10,628) | ($6,363) | | Net cash (used in) provided by financing activities | ($4,421) | $37,147 | - On May 2, 2025, LivaNova made an early repayment of **$200 million** of principal borrowings under its Term Facilities[91](index=91&type=chunk) [Note 5. Commitments and Contingencies](index=17&type=section&id=Note%205%2E%20Commitments%20and%20Contingencies) The company details significant legal liabilities, including a new $360.4 million charge for the SNIA environmental litigation - As a result of the Italian Supreme Court's decision on March 14, 2025, the Company recorded a current liability of **€333.3 million ($360.4 million)** for the SNIA environmental litigation[62](index=62&type=chunk)[63](index=63&type=chunk) - Following the court decision, the SNIA Litigation Guarantee was terminated on March 31, 2025, and the restriction on the cash deposit held as collateral was released[64](index=64&type=chunk) - The provision for the 3T Heater-Cooler product liability litigation was **$16.2 million** as of March 31, 2025[65](index=65&type=chunk) - The reserve for the Italian MedTech payback measure was **$17.6 million** as of March 31, 2025[67](index=67&type=chunk) [Note 10. Geographic and Segment Information](index=22&type=section&id=Note%2010%2E%20Geographic%20and%20Segment%20Information) Both Cardiopulmonary and Neuromodulation segments reported revenue and income growth, with the U.S as the largest market Net Revenue by Segment (in thousands) | Segment | Q1 2025 | Q1 2024 | % Change | | :--- | :--- | :--- | :--- | | Cardiopulmonary | $176,320 | $155,891 | 13.1% | | Neuromodulation | $138,893 | $133,872 | 3.8% | | **Total** | **$315,213** | **$289,763** | **8.8%** | Segment Income (in thousands) | Segment | Q1 2025 | Q1 2024 | % Change | | :--- | :--- | :--- | :--- | | Cardiopulmonary | $24,691 | $14,711 | 67.8% | | Neuromodulation | $52,353 | $46,678 | 12.2% | | **Total Segment Income** | **$77,044** | **$61,389** | **25.5%** | [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=28&type=section&id=Item%202%2E%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses revenue growth drivers, operating expense reductions, and the impact of the $360.4 million SNIA liability - Cardiopulmonary revenue increased **13.1% to $176.3 million**, driven by Essenz Perfusion System sales and strong consumables demand[112](index=112&type=chunk) - Neuromodulation revenue increased **3.8% to $138.9 million**, with strength in Europe and Rest of World regions[114](index=114&type=chunk) - R&D expense decreased, primarily due to a **$5.3 million reduction** in costs associated with the company's Difficult-to-Treat Depression (DTD) program[119](index=119&type=chunk) - The company recorded a **$360.4 million liability** for the SNIA environmental litigation following an adverse ruling by the Italian Supreme Court[123](index=123&type=chunk) - The company believes its liquidity, including **$738.4 million in cash** and **$225 million in available credit**, is sufficient to cover the SNIA liability and fund operations[131](index=131&type=chunk)[133](index=133&type=chunk) [Obstructive Sleep Apnea (OSA)](index=29&type=section&id=Obstructive%20Sleep%20Apnea) The OSPREY clinical trial for the aura6000 System showed positive 12-month top-line data for treating OSA - Announced 12-month top-line data from the OSPREY clinical trial for the aura6000 System for treating OSA[105](index=105&type=chunk) - The treatment arm responder rate was **65%**, with responders defined as having at least a 50% improvement from baseline AHI and an AHI value below 20[105](index=105&type=chunk) [Depression](index=29&type=section&id=Depression) The RECOVER clinical study for DTD did not meet its primary endpoint, but the company plans a CMS submission - The RECOVER clinical study for DTD **did not meet its primary endpoint** for the unipolar cohort[107](index=107&type=chunk) - The company plans to initiate a reconsideration submission process with CMS after the final critical manuscript is published[107](index=107&type=chunk) [Liquidity and Capital Resources](index=33&type=section&id=Liquidity%20and%20Capital%20Resources) The company's available short-term liquidity totaled $963.4 million, deemed sufficient to fund operations and commitments Liquidity and Debt Summary (in thousands) | Metric | March 31, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Cash and cash equivalents | $738,437 | $428,858 | | Availability under Credit Agreement | $225,000 | $225,000 | | **Available Short-term Liquidity** | **$963,437** | **$653,858** | | Working Capital | $429,578 | $735,061 | | Total Debt Obligations | $628,793 | $627,628 | - Cash provided by operating activities increased by **$14.0 million** year-over-year, mainly due to higher customer collections and lower payments for restructuring[135](index=135&type=chunk) [Item 3. Quantitative and Qualitative Disclosures About Market Risk](index=35&type=section&id=Item%203%2E%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company is exposed to market risks from foreign currency, interest rates, and supplier concentration - The company is exposed to market risks from foreign currency exchange rates, equity price risk, interest rates, and supplier concentration[138](index=138&type=chunk) [Item 4. Controls and Procedures](index=35&type=section&id=Item%204%2E%20Controls%20and%20Procedures) Management concluded that disclosure controls and procedures were effective with no material changes in internal controls - The CEO and CFO concluded that as of March 31, 2025, the company's disclosure controls and procedures were **effective**[140](index=140&type=chunk) - **No changes** in internal control over financial reporting occurred during the quarter that have materially affected, or are reasonably likely to materially affect, these controls[141](index=141&type=chunk) PART II. OTHER INFORMATION [Item 1. Legal Proceedings](index=35&type=section&id=Item%201%2E%20Legal%20Proceedings) This section refers to Note 5 for details on material legal proceedings like the SNIA litigation and 3T cases - For a description of material pending legal proceedings, the report refers to "Note 5. Commitments and Contingencies" in the condensed consolidated financial statements[142](index=142&type=chunk) [Item 1A. Risk Factors](index=35&type=section&id=Item%201A%2E%20Risk%20Factors) The company highlights an updated risk concerning adverse changes in global trade policies, tariffs, and import/export costs - A key risk factor highlighted is that adverse changes in export/import costs, trade restrictions, and global tariffs could **materially harm the business**[144](index=144&type=chunk) - A significant number of Cardiopulmonary products are sourced from Italy and Germany, while Neuromodulation products are made in the U.S. and distributed internationally, making the company **vulnerable to tariffs and trade disputes**[144](index=144&type=chunk) [Item 2. Unregistered Sales of Equity Securities and Use of Proceeds](index=36&type=section&id=Item%202%2E%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) There were no unregistered sales of equity securities or use of proceeds to report for the period - None[146](index=146&type=chunk) [Item 5. Other Information](index=36&type=section&id=Item%205%2E%20Other%20Information) The company reports no new officer trading plans and discloses continued lawful sales to distributors in Iran - No directors or officers adopted, terminated, or modified a Rule 10b5-1 trading arrangement during the quarter[149](index=149&type=chunk) - Two non-U.S. subsidiaries sell medical devices in Iran, with gross revenue of **$5.1 million** and net profits of **$3.0 million** for Q1 2025[151](index=151&type=chunk)

LivaNova (LIVN) Q1 2025 Earnings Call May 07, 2025 08:00 AM ET Company Participants Briana Gotlin - VP-IRVladimir Makatsaria - CEOAhmet Tezel - Chief Innovation OfficerAlex Shvartsburg - Chief Financial OfficerRick Wise - Managing Director - Medical Technology & SuppliesDavid Roman - Managing DirectorStephanie Bolton - President of Global Epilepsy Conference Call Participants Adam Maeder - Senior Research AnalystMichael Sarcone - AnalystMike Matson - Senior Equity Research AnalystDavid Rescott - Senior Rese ...