Establishment Labs(ESTA) - 2024 Q3 - Quarterly Results

Financial Performance - Third quarter worldwide revenue was $40.2 million, an increase from $38.5 million in the same period of 2023[2] - Updated 2024 revenue guidance is now $165 million to $168 million, down from previous guidance of $174 million to $184 million[2] - Third quarter loss from operations was $13.1 million, improved from a loss of $21.0 million in the year-ago period[2] - Adjusted EBITDA loss for the third quarter was $7.0 million, compared to a loss of $16.3 million in the same period last year[2] - Net loss for the third quarter was $16.7 million, an improvement from a net loss of $29.3 million in the year-ago period[3] - Net loss for the three months ended September 30, 2024, was $16,682,000, an improvement from a net loss of $29,273,000 in the same period last year[12] - Adjusted EBITDA for the three months ended September 30, 2024, was $(7,017,000), compared to $(16,278,000) in the prior year, reflecting a significant improvement[12] Cash and Assets - Cash balance as of September 30, 2024, was $39.7 million, with a pro forma cash balance of approximately $114.0 million after recent financing activities[2] - Total current assets increased to $182,953,000 as of September 30, 2024, up from $174,901,000 at December 31, 2023, representing a growth of 1.6%[11] - Accounts receivable rose significantly to $67,251,000, compared to $46,918,000 in the previous period, marking an increase of 43.3%[11] - Cash balance slightly decreased to $39,697,000 from $40,035,000, a reduction of 0.8%[11] Expenses and Liabilities - Total operating expenses decreased to $38.9 million from $47.1 million in the third quarter of 2023[3] - Total liabilities decreased slightly to $249,975,000 from $250,246,000, indicating a reduction of 0.1%[11] - Interest expense increased to $5,313,000 for the three months ended September 30, 2024, compared to $3,679,000 in the same period last year, an increase of 44.4%[12] Inventory and Equity - Inventory decreased to $67,122,000 from $79,471,000, showing a decline of 15.6%[11] - Total shareholders' equity increased to $32,710,000 from $18,395,000, representing a growth of 77.8%[11] Future Outlook - The company expects U.S. revenue to exceed $35 million in 2025 following the successful launch of Motiva Implants[2] - An agreement in principle was reached for R-Bridge Fund to invest up to $50 million in a Chinese distributor to support Motiva's growth in China[2] Currency Impact - Foreign currency gain for the three months ended September 30, 2024, was $2,204,000, compared to a loss of $(3,816,000) in the same period last year[12] Gross Profit - Gross profit for the third quarter was $25.7 million, representing a gross margin of 63.9%, down from 67.7% in the same period of 2023[3]