AngioDynamics (ANGO) Q2 2026 Earnings Transcript

Core Insights - The company reported strong financial performance in the second quarter of Fiscal 2026, with revenue growth of 8.8% to $79.4 million, driven by a 13% increase in the Med Tech segment and a 5.6% increase in the Med Device segment [2][12][23] - The company is raising its full-year guidance for revenue and adjusted EBITDA based on strong second-quarter results, now expecting net sales between $312 million and $314 million, representing growth of 6.6% to 7.3% over the previous fiscal year [22][23][24] - The company achieved significant regulatory milestones in its mechanical thrombectomy portfolio, which is expected to enhance its competitive position and expand clinical applications [4][6][7] Financial Performance - Adjusted EBITDA nearly doubled year-over-year, reaching $5.9 million compared to $3.1 million in the same quarter last year [2][21] - Gross margin improved to 56.4%, a 170 basis point increase from the previous year, driven by a favorable product mix and manufacturing optimization initiatives [18][19] - The company generated $4.7 million in cash during the quarter, exceeding expectations, and anticipates being cash flow positive for the full fiscal year [22][21] Business Segments - The Med Tech segment, which includes the Auryon platform, contributed $35.7 million in revenue, marking a 13% increase, with Auryon achieving 18 consecutive quarters of double-digit growth [12][13] - The mechanical thrombectomy portfolio, including AngioVac and AlphaVac, saw a combined revenue increase of 3.9% year-over-year, with AlphaVac revenue growing by 40.2% [14][15] - NanoKnife revenue reached $7.3 million, a 22.2% increase, driven by strong demand for prostate procedures following the recent implementation of a new CPT code [9][16] Regulatory and Market Developments - The company received IDE approvals for pivotal trials related to the AlphaReturn Blood Management System and AngioVac, which are expected to facilitate growth in their respective markets [6][7][39] - The recent CE Mark approval for Auryon is anticipated to enhance international sales, with ongoing efforts to expand into coronary applications [4][48][50] - The company is focused on increasing its market share in the atherectomy market, particularly in hospital settings, which has been a key driver of growth [13][14] Leadership Transition - The CEO announced plans to retire after a decade with the company, with a search committee established to find a successor [28][30] - The leadership transition is expected to be seamless, with the outgoing CEO continuing to oversee strategic initiatives until a new CEO is appointed [30][31]