Insulet Reports Second Quarter 2017 Financial Results
Second Quarter Revenue of $109.8 Million, Up 26% Year-Over-Year, Exceeds Expectations; Gross Margin Improves to 58.9%
Insulet Raises Full Year 2017 Revenue Guidance to a Range of $440 to $450 million, Up from $425 to $440 Million, Expecting Growth of 21% at Mid-Point
BILLERICA, Mass.--(BUSINESS WIRE)--Insulet Corporation (NASDAQ: PODD) (Insulet or the Company), the leader in tubeless insulin pump technology with its Omnipod® Insulin Management System (Omnipod System), today announced financial results for the three months ended June 30, 2017.
Second Quarter Highlights and Recent Developments:
Second quarter revenue of $109.8 million exceeds the Company's
guidance of $104 to $108 million, a year-over-year growth of 26%.
- U.S. Omnipod revenue of $65.4 million, an increase of 16%.
- International Omnipod revenue of $26.6 million, an increase of 60%.
- Drug Delivery revenue of $17.8 million, an increase of 23%.
- Gross margin of 58.9%, up 110 basis points, due to improved manufacturing and operational performance.
- Will assume distribution and commercial support for the Omnipod System in Europe beginning July 1, 2018.
- Omnipod featured in clinical presentations at the American Diabetes Association Scientific Sessions, including data from the Omnipod Horizon™ hybrid closed-loop study in pediatric patients.
- Ranked #4 on Forbes 2017 list of World's Most Innovative Growth Companies.
“We are very pleased with our performance so far this year,” said Patrick Sullivan, Chairman and Chief Executive Officer. “We demonstrated strong momentum across our business and made substantial progress on our commercial and operational strategies. In the second quarter, our 26% revenue growth exceeded our expectation, and we achieved a 110 basis point improvement in gross margin. We released additional positive results from our Omnipod Horizon system clinical trials during the quarter and are investing in innovation to further differentiate our product offerings in the marketplace.”
Mr. Sullivan continued, “We generated particularly strong results in our international business in the second quarter. On July 20, 2017, we announced plans to transition to direct distribution and commercial support in Europe in the second half of 2018. This is an exciting step forward for Insulet and will accelerate our strong growth trajectory and improve our margins. Looking ahead, we are focused on continuing to execute our key initiatives to drive growth and shareholder value.”
Second Quarter 2017 Financial Results:
Second quarter 2017 revenue increased 26% to $109.8 million, compared to revenue of $87.3 million in the second quarter of 2016.
Operating loss for the second quarter of 2017 was $3.4 million, compared to an operating loss of $1.3 million in the second quarter of 2016.
Net loss for the second quarter of 2017 was $7.8 million, or $0.13 per share, compared with a net loss from continuing operations of $4.4 million, or $0.08 per share, in the second quarter of 2016.
- For the year ending December 31, 2017, the Company is raising its revenue guidance to a range of $440 to $450 million (previously $425 to $440 million), compared to 2016 revenue of $367.0 million. This represents year-over-year revenue growth of approximately 21% at the mid-point of the range.
- For the quarter ending September 30, 2017, the Company is introducing revenue guidance in the range of $112 to $116 million, compared to third quarter 2016 revenue of $94.9 million. This represents year-over-year revenue growth of approximately 20% at the mid-point of the range.
Future results may be affected by changes in ongoing assumptions and judgments, and may also be affected by non-recurring, unusual or unanticipated charges, expenses or gains.
Insulet will host a conference call at 4:30 p.m. (Eastern Time) on August 3, 2017 to discuss the financial results and outlook. The link to the live call will be available on the Investor Relations section of the Company's website at http://investors.insulet.com, "Events and Presentations", and will be archived for future reference. The call may also be accessed by dialing (844) 831-3022 for domestic callers or (315) 625-6887 for international callers, passcode 39247984.
About Insulet Corporation:
Insulet Corporation (NASDAQ: PODD) is an innovative medical device company dedicated to making the lives of people with diabetes easier. Insulet seeks to expand the use of insulin pump therapy with its Omnipod Insulin Management System among people with insulin-dependent diabetes. The Omnipod System is a revolutionary and easy-to-use tubeless insulin pump that provides up to three days of non-stop insulin delivery, without the need to see or handle a needle. Insulet's Delivery Systems business partners with global pharmaceutical and biotechnology companies to adapt the Omnipod technology platform for the delivery of subcutaneous drugs across multiple therapeutic areas. Founded in 2000, Insulet Corporation is based in Billerica, Massachusetts. For more information, please visit: http://www.myomnipod.com.