Glaukos Announces Third Quarter 2016 Financial Results
Company Raises 2016 Net Sales Guidance
SAN CLEMENTE, Calif.--(BUSINESS WIRE)--Glaukos Corporation (NYSE: GKOS), an ophthalmic medical technology company focused on the development and commercialization of breakthrough products and procedures designed to transform the treatment of glaucoma, today announced financial results for the third quarter ended September 30, 2016. Key highlights include:
“The third quarter of 2016 marks our 13th consecutive quarter of at least 40% year-over-year net sales growth, illustrating the growing demand for our flagship iStent® Trabecular Micro-Bypass Stent”
- Achieved 56% net sales growth to $29.6 million in the third quarter of 2016, compared to $19.0 million in the third quarter of 2015
- Reported net income of $1.2 million, or $0.03 per diluted share, in the third quarter of 2016, compared to a net loss of $2.1 million, or a loss of $0.07 per diluted share, in the third quarter of 2015
- Raised 2016 net sales guidance to a range of $109 million to $111 million from the prior guidance range of $105 million to $107 million
“The third quarter of 2016 marks our 13th consecutive quarter of at least 40% year-over-year net sales growth, illustrating the growing demand for our flagship iStent® Trabecular Micro-Bypass Stent,” said Thomas Burns, Glaukos president and chief executive officer. “We believe these latest results are a reflection of the reliable and sustained IOP-lowering performance iStent provides to manage glaucoma using a procedure with an exceptional safety profile. Moving forward, we are focused on continuing to drive iStent adoption, to expand our market potential with next-generation glaucoma technologies and to extend our reach and penetration into key international markets.”
Third Quarter 2016 Financial Results
Net sales rose 56% in the third quarter of 2016 to $29.6 million, compared to $19.0 million in the same period in 2015. The growth primarily reflected increased iStent utilization across the company’s expanding customer base.
Gross margin for the third quarter of 2016 was approximately 87%, compared to approximately 83% in the same period in 2015. The company’s ability to leverage its fixed manufacturing costs and intangible asset amortization relative to its higher sales contributed to the increase in gross margin in the third quarter, along with the 2016-2017 suspension of the medical device excise tax under the PATH (Protecting Americans from Tax Hikes) Act.
Operating expenses for the third quarter of 2016 were $24.7 million, up 42% compared to $17.4 million in the same period of 2015. Growth in operating expenses continues to reflect the company’s ongoing investment in, and expansion of, its global infrastructure by adding foreign subsidiaries and increasing domestic sales, marketing and administrative personnel and expenses.
Income from operations was $1.0 million in the third quarter of 2016, compared to a loss from operations of $1.7 million in the third quarter of 2015. Net income in the third quarter of 2016 was $1.2 million, compared to a net loss of $2.1 million in the third quarter of 2015. Diluted net income per share for the third quarter of 2016 was $0.03, compared to a diluted net loss per share of $0.07 in the third quarter of 2015.
2016 Revenue Guidance
The company raised its 2016 net sales guidance to a range of $109 million to $111 million from its prior guidance of $105 million to $107 million.
Webcast & Conference Call
The company will host a conference call and simultaneous webcast today at 1:30 p.m. PST (4:30 p.m. EST) to discuss the results. A link to the webcast is available on the company’s website at http://investors.glaukos.com. To participate in the conference call, please dial 866-393-4306 (U.S.) or 734-385-2616 (international) and enter Conference ID 95509662. A replay of the webcast will be archived on the company’s website following completion of the call and will be available until February 10, 2017.
About Glaukos
Glaukos Corporation (www.glaukos.com) is an ophthalmic medical technology company focused on the development and commercialization of breakthrough products and procedures designed to transform the treatment of glaucoma, one of the world’s leading causes of blindness. The company pioneered Micro-Invasive Glaucoma Surgery, or MIGS, to revolutionize the traditional glaucoma treatment and management paradigm. Glaukos launched the iStent®, its first MIGS device, in the United States in July 2012 and is leveraging its platform technology to build a comprehensive and proprietary portfolio of micro-scale injectable therapies designed to address the complete range of glaucoma disease states and progression. The company believes the iStent, measuring 1.0 mm long and 0.33 mm wide, is the smallest medical device ever approved by the FDA. Important information about the risks and benefits of our products is available on our website at www.glaukos.com.
Forward-Looking Statements