Edwards(EW)2024-10-24 20:28Sales Performance - Q3 sales from continuing operations grew 9%, with constant currency sales growing 10%[2] - TAVR sales reached $1.0 billion, growing 6% year-over-year, with stable pricing globally[3] - TMTT sales surged 73%, driven by the PASCAL and EVOQUE commercial launches[2] - Net sales for the three months ended September 30, 2024, were $1,354.4 million, a 8.9% increase from $1,243.4 million in the same period of 2023[18] - Total sales for Q3 2024 reached $1,354.4 million, an increase of $111.0 million or 8.9% compared to Q3 2023[32] - Transcatheter Aortic Valve Replacement sales were $1,023.3 million, reflecting a GAAP growth rate of 6.5%[32] - Transcatheter Mitral and Tricuspid Therapies experienced a significant growth of 73.4%, with sales of $91.1 million in Q3 2024[32] - Year-to-date sales for 2024 totaled $4,053.7 million, up $310.1 million or 8.3% from the same period in 2023[32] - Sales in the United States for YTD 2024 were $2,393.1 million, representing an 8.6% growth rate[32] - Europe sales for YTD 2024 increased by 11.4% to $978.0 million[32] - Outside of the United States, sales reached $1,660.6 million, reflecting a growth rate of 7.8%[32] Financial Metrics - Adjusted EPS for Q3 was $0.67, slightly above the company's guidance[8] - Gross profit margin for Q3 was 80.7%, up from 79.9% in the same period last year[8] - Operating income for the three months ended September 30, 2024, was $350.6 million, a decrease from $365.9 million in the same period of 2023[18] - Net income attributable to Edwards Lifesciences Corporation for the three months ended September 30, 2024, was $3,070.8 million, compared to $384.9 million in the same period of 2023[18] - Basic earnings per share for continuing operations were $0.61 for the three months ended September 30, 2024, compared to $0.55 in the same period of 2023[18] - The effective tax rate for the three months ended September 30, 2024, was 10.1%, down from 13.6% in the same period of 2023[18] - The gross profit margin improved to 80.6% in Q3 2024, up from 79.8% in Q3 2023[26][27] - Operating income for Q3 2024 was $350.6 million, compared to $365.9 million in Q3 2023, indicating a decrease of 4.5%[26][27] - Net income attributable to Edwards Lifesciences Corporation for Q3 2024 was $363.5 million, an increase from $336.1 million in Q3 2023, reflecting a growth of 8.2%[26][27] - Diluted EPS for Q3 2024 was $0.61, compared to $0.55 in Q3 2023, marking an increase of 10.9%[26][27] Expenses and Investments - Research and development expenses rose 4% to $253 million, representing 18.7% of sales[8] - Research and development expenses for the three months ended September 30, 2024, were $253.4 million, up from $242.8 million in the same period of 2023[18] - The company recorded restructuring expenses of $32.9 million in the third quarter of 2024 related to global workforce realignment[23] - Non-GAAP adjustments for litigation expenses in Q3 2024 amounted to $10.8 million, while restructuring expenses were $32.9 million[26] - The company reported a charitable contribution of $30.0 million to the Edwards Lifesciences Foundation in the third quarter of 2024[23] - The company reported a charitable foundation contribution of $30.0 million in Q3 2024, which impacted net income[26] Guidance and Future Outlook - Full year sales growth guidance remains unchanged at 8% to 10%, with Q4 sales expected between $1.33 billion and $1.39 billion[10] - Management expects to provide guidance for sales and sales growth rates on a "constant currency basis" to enhance comparability with historical results[21]