AngioDynamics (ANGO) Q1 2025 Earnings Transcript

Core Insights - AngioDynamics reported a solid first quarter for fiscal year 2025, with total worldwide revenue of $67.5 million, reflecting a year-over-year growth of just over 1% [5][18] - The MedTech segment showed strong performance, growing approximately 9%, driven by products like Auryon and AlphaVac, which both experienced growth exceeding 20% [5][6] - The company is focused on achieving profitability, reporting an adjusted EBITDA loss of $200,000, a significant improvement from a loss of $1.1 million in the previous year [6][15] Financial Performance - Total revenue for the first quarter was $67.5 million, with MedTech revenue at $28 million (up 8.7% year-over-year) and Med Device revenue at $39.5 million (up 3.6% year-over-year) [18][19] - Adjusted EPS was a loss of $0.11 per share, improving from a loss of $0.16 per share in the same quarter last year [16][23] - Gross margin for the first quarter was 54.4%, slightly down from the previous year, but ahead of expectations [22] Product Performance - Auryon generated $13.7 million in revenue, growing 24.9% year-over-year, while AlphaVac contributed significantly to revenue growth [19][30] - AngioVac revenue was $2.2 million, marking a 21.1% increase year-over-year, attributed to the adoption of AlphaVac for pulmonary embolism treatment [19][20] - NanoKnife revenue declined 4.6% in disposable sales, with capital sales down 15%, primarily due to tough year-over-year comparisons [20][21] Strategic Initiatives - The company is transitioning to outsourced manufacturing, expected to generate approximately $15 million in annualized savings by fiscal 2027 [16][24] - AngioDynamics is pursuing new product launches and geographic expansions, with a total addressable market for MedTech now estimated at $10 billion, up from $3 billion three years ago [29][30] - The company is focused on increasing penetration in hospitals for Auryon and expanding its presence in the European market following CE mark approval [8][30] Guidance and Outlook - For fiscal year 2025, AngioDynamics expects revenue in the range of $282 million to $288 million, representing growth of 4.2% to 6.4% over fiscal year 2024 [27] - The company anticipates MedTech net sales growth of 10% to 12% and Med Device net sales growth of 1% to 3% [28] - AngioDynamics remains optimistic about achieving cash flow positivity by the end of fiscal year 2026, with expectations for reduced cash utilization in subsequent quarters [53][56]