Core Viewpoint - Penumbra is experiencing strong growth in its thrombectomy business, particularly in the U.S. market, but faces challenges from unfavorable currency movements and rising expenses [1][2][7]. Group 1: Business Performance - Penumbra's thrombectomy business is showing robust growth, with a 27.3% year-over-year increase in the fourth quarter of 2024 in the U.S., driven by the adoption of its CAVT products and new offerings like Lightning Flash 2.0 and Lightning Bolt 7 [2]. - The U.S. VTE franchise reported a revenue growth of 41% year-over-year, indicating strong market demand for Penumbra's products [2]. - Internationally, Penumbra derives 24.5% of its revenues and anticipates significant growth in both revenues and profitability in the coming years [3]. Group 2: Product Development - The company launched the Element Vascular Access System in January 2025, designed for venous thromboembolism treatments and compatible with the Lightning Flash 2.0 system [4]. - New products, including Lightning Bolt 12 and Lightning Bolt 6x with TraX, were introduced in 2025 to enhance thrombus management [5]. - Penumbra is focusing on innovations within its Flash and Bolt product lines to drive future growth [5]. Group 3: Financial Metrics - Over the past three months, Penumbra's shares have increased by 18.5%, outperforming the industry growth of 4.8%, reflecting the company's successful expansion efforts [6]. - In the fourth quarter of 2024, Penumbra faced a 7.3% rise in the cost of revenues and a 13.8% increase in selling, general, and administrative expenses, indicating rising operational costs [8]. Group 4: Market Challenges - Approximately 29% of Penumbra's consolidated revenues are exposed to foreign exchange rate fluctuations, which can impact sales and profitability [7]. - The company is also affected by global geopolitical issues that have led to supply chain disruptions and increased costs, putting pressure on profitability [8].

ALAMEDA, Calif., Feb. 21, 2025 /PRNewswire/ -- Penumbra, Inc. (NYSE: PEN), the world's leading thrombectomy company, announced today that after 17 years of distinguished service, Don Kassing has notified the company that he will retire from the board of directors effective April 1, 2025. Kassing joined Penumbra's Board of Directors in 2008 and has served as Presiding Director since 2015. "We are grateful for Don's many contributions to the board over the years, particularly his wisdom and guidance in comple ...

Investors might want to bet on Penumbra (PEN) , as it has been recently upgraded to a Zacks Rank #2 (Buy). This upgrade is essentially a reflection of an upward trend in earnings estimates -- one of the most powerful forces impacting stock prices.The Zacks rating relies solely on a company's changing earnings picture. It tracks EPS estimates for the current and following years from the sell-side analysts covering the stock through a consensus measure -- the Zacks Consensus Estimate.The power of a changing e ...

Penumbra, Inc. (PEN) reported fourth-quarter 2024 adjusted earnings per share (EPS) of 97 cents, which surpassed the Zacks Consensus Estimate by 6.5%. Adjusted EPS improved 27.6% year over year.Find the latest EPS estimates and surprises on Zacks Earnings Calendar.GAAP earnings were 86 cents per share compared with $1.38 in the prior-year period.For the full year, adjusted earnings were $2.22 compared to the year-ago period’s figure of $2.09.Penumbra registered revenues of $315.5 million in the reported qua ...

Financial Data and Key Metrics Changes - In Q4 2024, the company generated revenue of $321.3 million, representing a year-over-year growth of 12.9% on an adjusted basis and 13% on a constant currency basis [9][29] - Full year 2024 revenue increased 13.4% year-over-year to over $1.2 billion, with U.S. thrombectomy business revenue of $646.7 million, a 26.8% increase versus 2023 [10][34] - Gross margin for Q4 2024 was 67.4%, an improvement of 170 basis points compared to the prior year, while operating income was $48.6 million, or 15.1% of revenue, up 200 basis points year-over-year [12][33] Business Line Data and Key Metrics Changes - U.S. thrombectomy sales in Q4 increased 27.3% year-over-year to $180.6 million, with the U.S. VTE franchise delivering robust growth of 41% [9][10] - Revenue from the global thrombectomy business grew to $222.7 million in Q4 2024, an increase of 16.8% adjusted and 16.9% in constant currency [31] - The embolization and access business reported revenue of $98.6 million in Q4 2024, a 5% increase adjusted and 5.1% in constant currency [32] Market Data and Key Metrics Changes - The geographic mix of sales for Q4 2024 was 77.2% U.S. and 22.8% international, with U.S. growth of 21.7% driven by thrombectomy franchise growth [29] - International regions saw a decrease of 9.4% adjusted and 9.1% in constant currency, primarily due to a decline in China revenue of $15.4 million [30] Company Strategy and Development Direction - The company is focused on expanding its interventional business and has exited the Immersive Healthcare segment to concentrate on thrombectomy innovations [11] - Plans to achieve a gross margin profile over 70% by the end of 2026, leveraging product mix shifts and operational efficiencies [13][41] - The company aims to continue driving gross margin expansion and operating efficiencies while investing in innovation and clinical data [25] Management's Comments on Operating Environment and Future Outlook - Management acknowledged headwinds in 2024 but expressed confidence in overcoming these challenges in 2025, particularly with the expected growth in the U.S. thrombectomy business [46][47] - The company is optimistic about the potential of its CAVT technology and its ability to capture a larger market share in the thrombectomy space [25][122] Other Important Information - The company ended Q4 2024 with cash, cash equivalents, and marketable securities of $340.1 million and no debt, reflecting strong operating profitability [38] - The company plans to build a manufacturing facility in Costa Rica to enhance manufacturing capacity [13] Q&A Session Summary Question: Guidance for 2025 and Thunderbolt - Management provided guidance for 2025 revenue growth of 12% to 14%, citing caution due to factors like the Thunderbolt product and previous headwinds [45][46] Question: Embolization and Access Business Outlook - Management indicated that the embolization and access business remains strong, with opportunities for growth, particularly in the U.S. [54][56] Question: U.S. Venous Thrombectomy Growth Durability - Management noted that the 41% growth in the U.S. venous thrombectomy business is driven by the effectiveness of CAVT technology and the expansion of the commercial team [60][62]

Financial Data and Key Metrics Changes - In Q4 2024, the company generated revenue of $321.3 million, representing a year-over-year growth of 12.9% on an adjusted basis and 13% on a constant currency basis [9][29] - Full year 2024 revenue increased 13.4% year-over-year to over $1.2 billion, with U.S. thrombectomy business revenue of $646.7 million, a 26.8% increase versus 2023 [10][34] - Gross margin for Q4 2024 was 67.4%, an improvement of 170 basis points compared to the prior year, while operating income was $48.6 million, or 15.1% of revenue, up 200 basis points year-over-year [12][33] - Adjusted EBITDA for Q4 2024 was $63.7 million, or 19.8% of total revenue, compared to $53.4 million, or 18.8% in the fourth quarter last year [33] Business Line Data and Key Metrics Changes - U.S. thrombectomy sales increased 27.3% year-over-year to $180.6 million in Q4 2024, with the U.S. VTE franchise delivering robust year-over-year revenue growth of 41% [9][10] - Revenue from the global thrombectomy business grew to $222.7 million in Q4 2024, an increase of 16.8% adjusted and 16.9% in constant currency compared to the same period last year [31] - Revenue from the embolization and access business was $98.6 million in Q4 2024, an increase of 5% adjusted and 5.1% in constant currency [32] Market Data and Key Metrics Changes - The geographic mix of sales for Q4 2024 was 77.2% U.S. and 22.8% international, with U.S. region growth of 21.7% driven by thrombectomy franchise growth [29] - International regions decreased 9.4% adjusted and 9.1% in constant currency, primarily due to a decline in China revenue of $15.4 million [30] Company Strategy and Development Direction - The company evolved and expanded its commercial team, focusing on interventional business and exiting the Immersive Healthcare segment, while introducing 9 new products to the U.S. market [11] - The company aims to achieve a gross margin profile over 70% by the end of 2026, leveraging product mix shifts and operating efficiencies [13][41] - The proprietary CAVT technology is positioned to drive a shift from analog to digital in thrombectomy, enhancing the company's leadership position [25] Management's Comments on Operating Environment and Future Outlook - Management acknowledged headwinds in 2024 but expressed confidence in overcoming these challenges in 2025, particularly with the expected growth in the U.S. thrombectomy business [40][46] - The company is on track to expand operating margins to a range of 13% to 14% of total revenue in 2025, with continued focus on innovation and market access initiatives [41][38] Other Important Information - The company ended Q4 2024 with cash, cash equivalents, and marketable securities of $340.1 million and no debt, reflecting strong operating profitability [38] - The company is preparing to bring Thunderbolt, its proprietary CAVT technology, to the neurovascular field, with updates expected following the completion of the THUNDER trial [23][24] Q&A Session Summary Question: Guidance and Thunder - Inquiry about the guidance for 2025 and the impact of Thunderbolt on revenue growth, with management indicating caution in guidance due to uncertainties [45][46] Question: Embolization and Access Business - Questions regarding the growth expectations for the embolization and access business, with management expressing confidence in the U.S. market despite challenges [54][55] Question: VTE Growth Durability - Inquiry about the sustainability of the 41% growth in the U.S. venous thrombectomy business, with management highlighting the competitive advantages of their products [60][62] Question: R&D Spending - Questions about the recent decrease in R&D spending and its implications for future growth, with management clarifying that spending varies based on project needs [81][82] Question: China Market Impact - Inquiry about the assumptions for the China market in 2025, with management indicating that headwinds will be minimal moving forward [98][105]

Core Insights - Penumbra reported revenue of $315.52 million for Q4 2024, marking a year-over-year increase of 10.8% and exceeding the Zacks Consensus Estimate by 1.07% [1] - The company's EPS for the same quarter was $0.97, up from $0.76 a year ago, representing a surprise of 6.59% over the consensus estimate of $0.91 [1] Revenue Breakdown - International revenue was $67.60 million, which fell short of the average estimate of $75.61 million, reflecting a year-over-year decline of 16.5% [4] - U.S. revenue reached $247.92 million, surpassing the average estimate of $235.65 million, with a year-over-year increase of 21.7% [4] - Revenue from Embolization and Access was $95.39 million, below the average estimate of $99.71 million [4] - Revenue from Thrombectomy was $220.13 million, slightly above the average estimate of $212.35 million [4] Stock Performance - Over the past month, Penumbra's shares returned +1.9%, compared to a +4.7% change in the Zacks S&P 500 composite [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating expected performance in line with the broader market [3]

Group 1 - Penumbra reported quarterly earnings of $0.97 per share, exceeding the Zacks Consensus Estimate of $0.91 per share, and up from $0.76 per share a year ago, representing an earnings surprise of 6.59% [1] - The company achieved revenues of $315.52 million for the quarter ended December 2024, surpassing the Zacks Consensus Estimate by 1.07%, and an increase from $284.68 million year-over-year [2] - Over the last four quarters, Penumbra has surpassed consensus EPS estimates three times and topped consensus revenue estimates four times [2] Group 2 - Penumbra shares have increased approximately 13.1% since the beginning of the year, outperforming the S&P 500's gain of 4% [3] - The current consensus EPS estimate for the upcoming quarter is $0.82 on revenues of $318.45 million, and for the current fiscal year, it is $3.86 on revenues of $1.37 billion [7] - The Medical - Instruments industry, to which Penumbra belongs, is currently ranked in the top 34% of over 250 Zacks industries, indicating a favorable outlook [8]

Revenue Performance - Adjusted total revenue for Q4 2024 increased to $321.3 million, a 12.9% increase from Q4 2023, with U.S. revenue growing by 21.7%[3] - Total revenue for the full year 2024 reached $1,194.6 million, reflecting a 12.9% increase compared to 2023[5] - Revenue from global thrombectomy products for Q4 2024 was $222.7 million, up 16.8% year-over-year, primarily driven by U.S. sales which increased by 27.3%[3] - GAAP revenue for Q4 2024 was $315,518,000, compared to $284,679,000 in Q4 2023, representing an increase of 10.8%[25] - Adjusted revenue for the year ended December 31, 2024, was $1,200,412,000, reflecting a 13.4% increase from $1,058,522,000 in 2023[28] - Total revenue for Q4 2024 was $321.3 million, representing a 10.8% increase compared to $284.7 million in Q4 2023[36] - For the full year 2024, total revenue was $1.2 billion, a 12.9% increase from $1.1 billion in 2023[39] - Total revenue for 2024 reached $1,194,615, representing a 12.9% increase from $1,058,522 in 2023[40] Profitability Metrics - Gross profit for Q4 2024 was $210.7 million, representing a gross margin of 66.8%[4] - Adjusted EBITDA for Q4 2024 was $63.7 million, resulting in an adjusted EBITDA margin of 19.8%[3] - Net income for Q4 2024 was $33.7 million, with a net income margin of 10.7%[3] - Adjusted gross profit for the year ended December 31, 2024, was $760,792,000, up from $682,643,000 in 2023, indicating an increase of 11.5%[28] - The adjusted gross margin for Q4 2024 was 67.4%, compared to 65.7% in Q4 2023[28] - GAAP net income for Q4 2024 was $33,683, compared to $54,218 in Q4 2023, representing a decline of 38.0%[33] - Non-GAAP net income for the year ended December 31, 2024, was $87,083, compared to $81,882 in 2023, showing a growth of 6.5%[33] Expenses and Investments - Operating expenses for Q4 2024 totaled $167.9 million, or 53.2% of total revenue, compared to 53.4% in Q4 2023[4] - R&D expenses for the full year 2024 were $94.8 million, compared to $84.4 million in 2023[6] - GAAP operating expenses for Q4 2024 were $167,946, an increase of 10.5% from $151,963 in Q4 2023[31] - Non-GAAP operating expenses for the year ended December 31, 2024, were $654,218, up from $581,358 in 2023, reflecting a 12.5% increase[31] Future Projections - The company projects total revenue for 2025 to be between $1,340.0 million and $1,360.0 million, indicating a year-over-year growth of 12% to 14%[9] - The U.S. thrombectomy franchise is expected to grow by 19% to 20% year-over-year, driven by computer-assisted vacuum thrombectomy products[9] Asset and Liability Overview - Total current assets as of December 31, 2024, were $951,125,000, compared to $915,402,000 in 2023, showing an increase of 3.9%[23] - Total liabilities as of December 31, 2024, were $382,250,000, slightly up from $377,361,000 in 2023[23] - Cash and cash equivalents increased to $324,404,000 in 2024 from $167,486,000 in 2023, representing a significant increase of 93.6%[23] International Revenue Insights - International revenue decreased by 16.5% to $67.6 million from $81.0 million year-over-year[36] - The company reported a $5.8 million negative adjustment in international revenue due to foreign exchange impacts[39] - The company experienced a 2.9% decline in international Embolization revenue for the full year, totaling $292.5 million compared to $301.4 million in 2023[39] - International Thrombectomy revenue showed a slight increase to $168,764, up 0.8% from $167,457 in 2023[40] - International Embolization and Access revenue decreased by 7.6% to $123,784 from $133,914 in 2023[40] Market Strategy - The company continues to focus on expanding its market presence and developing new products and technologies[40]

ALAMEDA, Calif., Feb. 18, 2025 /PRNewswire/ -- Penumbra, Inc. (NYSE: PEN), the world's leading thrombectomy company, today reported financial results for the fourth quarter and full year ended December 31, 2024.Financial Highlights: Adjusted revenue1 of $321.3 million, excluding the $5.8 million impact of the Italian government's payback provision pertaining to prior years, an increase of 12.9% adjusted2 or 13.0% in adjusted constant currency2 compared to the fourth quarter of 2023. Adjusted revenue1 of $1, ...