For the quarter ended March 2025, SurModics (SRDX) reported revenue of $28.09 million, down 12.1% over the same period last year. EPS came in at -$0.13, compared to $0.07 in the year-ago quarter.The reported revenue represents a surprise of -8.73% over the Zacks Consensus Estimate of $30.77 million. With the consensus EPS estimate being -$0.06, the EPS surprise was -116.67%.While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine ...

Company Performance - SurModics reported a quarterly loss of $0.13 per share, which was worse than the Zacks Consensus Estimate of a loss of $0.06, and a decline from earnings of $0.07 per share a year ago, resulting in an earnings surprise of -116.67% [1] - The company posted revenues of $28.09 million for the quarter ended March 2025, missing the Zacks Consensus Estimate by 8.73%, and down from $31.96 million in the same quarter last year [2] - SurModics has surpassed consensus EPS estimates three times over the last four quarters and topped consensus revenue estimates two times in the same period [2] Stock Performance - SurModics shares have declined approximately 21.9% since the beginning of the year, compared to a decline of 5.5% for the S&P 500 [3] - The current Zacks Rank for SurModics is 3 (Hold), indicating that the shares are expected to perform in line with the market in the near future [6] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $0.01 on revenues of $30.47 million, and for the current fiscal year, it is -$0.01 on revenues of $124.01 million [7] - The estimate revisions trend for SurModics is mixed, and changes in earnings expectations may occur following the recent earnings report [6] Industry Context - The Medical - Products industry, to which SurModics belongs, is currently ranked in the bottom 28% of over 250 Zacks industries, suggesting potential challenges for stock performance [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which could impact SurModics' stock performance [5]

For the quarterly period ended March 31, 2025 or Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D. C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File Number: 0-23837 Surmodics, Inc. (Exact name of registrant as specified in its charter) (State or other jurisdiction of incorporation or organization) (I.R ...

EXHIBIT 99.1 Surmodics Reports Second Quarter of Fiscal Year 2025 Financial Results; Introduces Fiscal Year 2025 Financial Guidance April 30, 2025 07:00 a.m. ET EDEN PRAIRIE, Minn. – Surmodics, Inc. (Nasdaq: SRDX), a leading provider of medical device and in vitro diagnostic technologies to the healthcare industry, today reported financial results for its second quarter ended March 31, 2025, and introduced its financial guidance for the fiscal year ending September 30, 2025. Second Quarter Fiscal 2025 Finan ...

Surmodics (SRDX) recently announced the commercial launch of the Pounce XL Thrombectomy System, expanding its portfolio of vascular intervention solutions. Designed for efficient clot removal in larger vessels, the device enhances procedural effectiveness while offering a streamlined approach to treating thrombotic occlusions.As demand grows for advanced thrombectomy solutions, Surmodics’ latest innovation provides physicians with a reliable, catheter-based system for rapid clot extraction. By improving pro ...

Core Insights - Surmodics, Inc. (SRDX) reported a strong performance in the last quarter, with a loss per share that was 51.9% narrower than market estimates and sales exceeding estimates by 8.3%, driven by solid prospects in the thrombectomy business [1][3] - The company is likely to be acquired by GTCR for an estimated total equity valuation of $627 million, with the deal expected to close by the end of March, potentially offering double-digit returns for investors [2][5] - Surmodics has a market capitalization of $404.58 million and projects a remarkable 162.5% growth for fiscal 2025, maintaining a strong performance trajectory [3] Acquisition Details - Surmodics entered into a definitive agreement in May 2024 to be acquired by GTCR, with shareholders set to receive $43.00 per share in cash [5] - The acquisition faces challenges as the FTC has blocked the deal due to anti-competitive concerns, prompting Surmodics to consider legal action against the FTC [5][11] Financial Performance - Surmodics demonstrated solid improvement in both top and bottom lines for Q1 of fiscal 2025, with notable increases in performance coatings royalty revenues and sales from the Pounce thrombectomy device platforms [8] - The gross margin expansion is a positive indicator for the stock, despite some segmental sales declines attributed to unfavorable order timing [10] Thrombectomy Business Prospects - The company aims to leverage its proprietary Pounce thrombectomy platform technology, with early results from a study presented at the TCT Symposium and FDA clearance for the Pounce XL Thrombectomy System [7] - Limited market evaluations of the product are expected to generate additional revenues during fiscal 2025 [7] Estimate Trends - Surmodics is experiencing a positive estimate revision trend for fiscal 2025, with the Zacks Consensus Estimate for earnings per share improving by 1 cent to 19 cents [13] - The consensus estimate for Q2 fiscal 2025 revenues is projected at $33 million, indicating a 3.3% increase from the previous year [13]

Core Viewpoint - The U.S. Federal Trade Commission (FTC) has blocked the proposed acquisition of Surmodics, Inc. by GTCR LLC due to anti-competitive concerns, particularly regarding market control in hydrophilic coatings, a vital component in medical devices [2][6]. Company Summary - Surmodics' acquisition by GTCR was valued at approximately $627 million, or $43.00 per share, representing a significant premium over the company's market value [2]. - The company has expressed strong opposition to the FTC's decision, arguing that the merger would be pro-competitive and beneficial for stakeholders, including customers and patients [3]. - Surmodics intends to challenge the FTC's ruling in court, asserting that the acquisition aligns with long-term industry trends and growth objectives [3][8]. - In the first quarter of fiscal 2025, Surmodics reported total revenues of $29.9 million, a decrease of 2% year-over-year, and a loss per share of 60 cents, which is a 20% improvement from the previous year's loss [9]. Industry Summary - The FTC's decision reflects a broader regulatory trend towards stricter scrutiny of private equity acquisitions in the healthcare sector, aiming to prevent monopolistic behavior and rising healthcare costs [7]. - The merger's blockage could set a precedent for future transactions, making it more challenging for private equity firms to consolidate within the medical technology space [7][8]. - The FTC's unanimous decision indicates a strong commitment to maintaining competition in the medical coatings sector, which has historically benefited from rivalry between companies like Surmodics and Biocoat [6].

Core Viewpoint - SurModics (SRDX) has experienced a significant downtrend, with a 13.9% decline over the past four weeks, but it is now in oversold territory, suggesting a potential turnaround due to analysts' positive earnings outlook [1] Group 1: Technical Indicators - The Relative Strength Index (RSI) is a key technical indicator used to determine if a stock is oversold, with a reading below 30 typically indicating this condition [2] - SRDX's current RSI reading is 25.01, indicating that the heavy selling pressure may be exhausting, and a trend reversal could be imminent [5] Group 2: Fundamental Indicators - Analysts covering SRDX have raised their earnings estimates for the current year, resulting in a 2.7% increase in the consensus EPS estimate over the last 30 days, which often correlates with price appreciation [6] - SRDX 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, further supporting the potential for a near-term turnaround [7]

Core Viewpoint - Surmodics, Inc. reported a narrower-than-expected adjusted loss per share of 4 cents for the first quarter of fiscal 2025, compared to breakeven in the same quarter last year, and better than the Zacks Consensus Estimate of a loss of 8 cents per share [1][14]. Financial Performance - The company registered revenues of $29.9 million in the fiscal first quarter, a decrease of 2.1% year over year, missing the Zacks Consensus Estimate by 10.6% [3][14]. - GAAP loss per share for the quarter was 26 cents, wider than the loss of 6 cents per share in the prior year [2]. - Surmodics' gross profit increased by 3.4% year over year to $22.5 million, with a gross margin expansion of 400 basis points to 75.2% [10][14]. - Selling, general & administrative expenses rose by 21% year over year to $15.2 million, while research and development expenses increased by 3.2% to $8.9 million [11]. Segment Analysis - Surmodics operates through two segments: Medical Device and In Vitro Diagnostics (IVD) [5]. - Medical Device segment sales were $23.3 million, down 1.1% year over year, with a notable decline in product sales of 15% to $10.1 million [5][6]. - IVD sales declined by 5.2% year over year to $6.6 million, primarily due to unfavorable order timing [7]. Revenue Sources - Product sales totaled $16.5 million, down 12.1% from the prior year [8]. - Royalties and license fees revenues increased by 15.9% to $10.6 million [8]. - Research, development, and other revenues rose by 7.6% to $2.7 million [9]. Financial Position - At the end of the first quarter of fiscal 2025, Surmodics had cash and cash equivalents of $30.1 million, down from $36.1 million at the end of fiscal 2024 [12]. - Total long-term debt was $29.59 million, slightly up from $29.55 million at the end of fiscal 2024 [12]. Future Outlook - Surmodics did not provide guidance on the pending acquisition by GTCR LLC [13]. - The company received FDA's 510(k) clearance for its Pounce XL Thrombectomy System, which is expected to expand its market potential [15].

SurModics (SRDX) reported $29.92 million in revenue for the quarter ended December 2024, representing a year-over-year decline of 2.1%. EPS of -$0.04 for the same period compares to $0.00 a year ago.The reported revenue compares to the Zacks Consensus Estimate of $33.45 million, representing a surprise of -10.55%. The company delivered an EPS surprise of +50.00%, with the consensus EPS estimate being -$0.08.While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall ...