LivaNova(US:LIVN)2021-04-20 18:23Business Overview - LivaNova's cardiopulmonary business has a global presence in over 100 countries[8, 13, 24] - The company's cardiopulmonary franchise generates approximately $500 million in revenue[8] - The total addressable market for the cardiopulmonary segment is estimated to be over $2 billion[8, 24] - The business boasts gross margins exceeding 50%[8, 10, 24] - Over 500,000 patients are treated annually with LivaNova's oxygenators[8, 12] - The company has a global HLM installed base of over 7,000 units[8, 12] - Recurring revenue accounts for over 60% of the business[8, 10] Financial Performance - LivaNova's cardiopulmonary business has stable revenues and mid-teens operating margins[10, 24] - The company spends approximately $13 to $15 million per year on CapEx[10] - In 2020, revenue breakdown by product was: HLM 29%, Oxygenators 47%, ATS 18%, and Other 6%[11] - In 2020, revenue breakdown by geography was: US 29%, EU 27%, and ROW 44%[11] Market Dynamics - Approximately 18 million heart surgeries are performed globally each year[15, 16] - On-pump procedures account for about 85% of total heart surgeries[16] - The US represents the largest individual market, accounting for approximately 25% of the total[16]