AngioDynamics(US:ANGO)2025-01-08 12:00Financial Performance - Q2 FY25 net sales were $73.0 million, a 9.2% YoY increase[3][8] - Net sales for the three months ended November 30, 2024, were $73.015 million, a decrease from $79.073 million in the same period last year[32] - Net sales for the six months ended November 30, 2024, were $140.515 million, down from $157.752 million in the same period last year[36] - Net sales for the three months ended Nov 30, 2024 were $72,845 thousand, down 7.9% from $79,073 thousand in the prior year period[56] - Total net sales decreased by 11.0% to $140.336 million for the six months ended November 30, 2024, compared to $133.627 million in the same period last year[61] Med Tech Segment Performance - Med Tech net sales grew 25.0% YoY to $31.5 million, driven by strong performance in Auryon, AngioVac, AlphaVac, and NanoKnife disposables[3][8][9] - Med Tech net sales for the three months ended Nov 30, 2024 were $31,554 thousand, up 24.4% from $25,363 thousand in the prior year period[56] - Med Tech segment revenue increased by 27.2% to $20.113 million for the three months ended November 30, 2024, compared to $15.783 million in the same period last year[58] - Net sales for the Med Tech segment grew by 16.2% to $59.523 million for the six months ended November 30, 2024, compared to $50.971 million in the same period last year[61] - Gross profit for the Med Tech segment increased by 16.2% to $37.810 million for the six months ended November 30, 2024, compared to $32.471 million in the same period last year[63] Med Device Segment Performance - Med Device net sales decreased 0.4% YoY to $41.5 million, with U.S. sales growing 1.6%[3][10] - Med Device net sales for the three months ended Nov 30, 2024 were $41,291 thousand, down 23.1% from $53,710 thousand in the prior year period[56] - Med Device segment revenue decreased by 19.0% to $19.793 million for the three months ended November 30, 2024, compared to $20.889 million in the same period last year[58] - Net sales for the Med Device segment declined by 24.1% to $80.813 million for the six months ended November 30, 2024, compared to $82.656 million in the same period last year[61] - Gross profit for the Med Device segment decreased by 18.8% to $38.820 million for the six months ended November 30, 2024, compared to $40.808 million in the same period last year[63] Profitability and Margins - Adjusted EBITDA for Q2 FY25 was $3.1 million, compared to $(0.0) million in Q2 FY24[6][14] - Gross margin for Q2 FY25 was 54.7%, with Med Tech gross margin at 63.7% and Med Device gross margin at 47.8%[11][12] - Gross profit margin for the three months ended November 30, 2024, was 54.7%, up from 50.9% in the same period last year[32] - Gross profit margin for the six months ended November 30, 2024, was 54.6%, up from 50.9% in the same period last year[36] - Total gross profit percentage increased to 54.8% for the three months ended November 30, 2024, up from 50.9% in the same period last year[58] - Total gross profit percentage increased to 54.6% for the six months ended November 30, 2024, up from 50.9% in the same period last year[63] Net Loss and Adjusted Metrics - Net loss for the three months ended November 30, 2024, was $10.728 million, compared to a net loss of $29.702 million in the same period last year[32] - Net loss for the six months ended November 30, 2024, was $23.671 million, compared to a net loss of $32.432 million in the same period last year[36] - Adjusted net loss for the three months ended November 30, 2024, was $1.742 million, compared to an adjusted net loss of $2.038 million in the same period last year[39] - Adjusted net loss for the six months ended November 30, 2024, was $6.137 million, compared to an adjusted net loss of $6.869 million in the same period last year[39] - Adjusted diluted loss per share for the three months ended November 30, 2024, was $0.04, compared to $0.05 in the same period last year[40] - Adjusted diluted loss per share for the six months ended November 30, 2024, was $0.15, compared to $0.17 in the same period last year[40] - Net income (loss) for the three months ended Nov 30, 2024 was $(10,738) thousand, compared to $(29,048) thousand in the same period last year[43] - Adjusted EBITDA for the three months ended Nov 30, 2024 was $3,040 thousand, up from $1,819 thousand in the prior year period[43] - Pro forma net loss for the three months ended Nov 30, 2024 was $(10,728) thousand, an improvement from $(29,702) thousand in the prior year period[45] - Adjusted pro forma net loss for the three months ended Nov 30, 2024 was $(1,726) thousand, compared to $(3,365) thousand in the prior year period[45] - Net income (loss) for the three months ended Nov 30, 2024 was $(10.7 million), compared to $(29.0 million) in the same period last year[68] - Net income (loss) for the six months ended Nov 30, 2024 was $(23.5 million), compared to $16.8 million in the same period last year[68] Cash Flow and Liquidity - The company generated $2.5 million in operating cash flow and had $54.1 million in cash and cash equivalents at the end of Q2 FY25[15] - Cash and cash equivalents decreased to $54.089 million as of November 30, 2024, compared to $76.056 million as of May 31, 2024[66] - Net cash provided by operating activities for the three months ended Nov 30, 2024 was $2.5 million, down from $5.3 million in the prior year period[68] - Net cash used in operating activities for the six months ended Nov 30, 2024 was $(15.8 million), compared to $(20.6 million) in the prior year period[68] - Cash and cash equivalents decreased by $916 thousand for the three months ended Nov 30, 2024, compared to an increase of $3.3 million in the prior year period[68] - Cash and cash equivalents decreased by $22.0 million for the six months ended Nov 30, 2024, compared to an increase of $16.3 million in the prior year period[68] Capital Expenditures and Stock Repurchases - Additions to property, plant and equipment totaled $797 thousand for the three months ended Nov 30, 2024, up from $554 thousand in the prior year period[68] - Repurchase of common stock totaled $1.1 million for the three months ended Nov 30, 2024, compared to $0 in the prior year period[68] - Additions to property, plant and equipment totaled $1.9 million for the six months ended Nov 30, 2024, up from $1.3 million in the prior year period[68] - Repurchase of common stock totaled $1.7 million for the six months ended Nov 30, 2024, compared to $0 in the prior year period[68] Regulatory and Clinical Developments - NanoKnife System received FDA 510(k) clearance for prostate tissue ablation in December 2024[6][19] - NanoKnife System achieved all primary endpoints in the PRESERVE clinical trial, with 84.0% of patients free from in-field, clinically significant disease at 12 months[23] - CPT Category I codes for NanoKnife System's IRE technology for prostate and liver lesions will be effective January 1, 2026, facilitating reimbursement and market access[17][18] Guidance and Outlook - FY25 guidance updated: net sales expected to be $282-$288 million (4.2%-6.4% growth), Med Tech sales growth raised to 12%-15%, and Adjusted EBITDA now expected to be $1.0-$3.0 million[24] Restructuring and Plant Closure - Plant closure expenses for the three months ended Nov 30, 2024 were $5,102 thousand, related to the restructuring of the manufacturing footprint[51] Geographic Sales Performance - U.S. net sales for the three months ended Nov 30, 2024 were $62,678 thousand, down 2.1% from $64,002 thousand in the prior year period[56] - International net sales for the three months ended Nov 30, 2024 were $10,167 thousand, down 32.5% from $15,071 thousand in the prior year period[56]