STAAR Surgical(STAA) - 2024 Q2 - Quarterly Report

Sales Performance - Net sales for the three months ended June 28, 2024, increased by 7% to $99.4 million compared to$93.1 million for the same period in 2023, primarily driven by increased ICL sales of $6.3 million [60]. - Net sales for the six months ended June 28, 2024, increased by 6$176.4 million compared to $165.8 million for the same period in 2023, with ICL sales contributing an increase of$12.8 million [61]. - Total ICL sales for the three months ended June 28, 2024, increased by 7% with a unit increase of 3%, while the Americas region sales increased by 14% [61]. - The EMEA region sales for the three months ended June 28, 2024, increased by 10% with unit growth of 17%, primarily due to sales increases in distributor markets [61]. - Changes in foreign currency unfavorably impacted net sales by $1.4 million for the three months ended June 28, 2024, and by$2.3 million for the six months ended June 28, 2024 [61]. Profitability - Gross profit for the three months ended June 28, 2024, increased by 10.9% to $78.4 million, with a gross profit margin of 79.2$23,641, compared to $18,097 for the same period in 2023 [65]. - Selling and marketing expenses for the three months ended June 28, 2024 decreased by 10.7$28,819, compared to $32,277 for the same period in 2023 [66]. - Research and development expenses for the three months ended June 28, 2024 increased by 19.6$14,054, compared to $11,755 for the same period in 2023 [67]. - Other net expenses for the three months ended June 28, 2024 were$(1,564), compared to $(105) for the same period in 2023, primarily due to higher foreign exchange losses [68][69]. Taxation - Income tax provision for the three months ended June 28, 2024 was$2,955, representing a 21.7% increase from $2,428 for the same period in 2023 [70]. - The effective tax rate for the six months ended June 28, 2024 was 50.3$192,776, an increase of $9,738 from$183,038 as of December 29, 2023 [72]. - Net cash provided by operating activities for the six months ended June 28, 2024 was $11,267, compared to$(11,400) for the same period in 2023 [73]. - Net cash used in investing activities for the six months ended June 28, 2024 was $(4,481), compared to$20,105 for the same period in 2023 [74]. - Net cash provided by financing activities for the six months ended June 28, 2024 was $4,219, compared to$(59) for the same period in 2023 [75]. Strategic Focus - The company plans to focus on growing its ICL business and has ceased manufacturing cataract IOLs, with no plans to sell them in 2024 [63]. - The company employs a commercialization strategy aimed at sustainable profitable growth, focusing on expanding into new markets and increasing awareness of ICL procedures [55].