INARI Results

INARI just announced stellar results for the 1st Q

They reported rev up 113% Y/Y and strong sequential nuumbers

Record no of patients

gross profit +118% Y/Y

net inc/sh +44%

gross margin 91%

Guidance to $240M for 2021

The conf call started at 4:30PM EDT

The following is an excerpt from the press release

First Quarter 2021 Financial Results
Revenue was $57.4 million for the first quarter of 2021, compared to $48.6 million for the prior quarter and $27.0 million for the first quarter of 2020. The increase over prior year was driven by continued US commercial expansion and increased production adoption.

Gross profit for the first quarter of 2021 was $52.7 million compared to $24.2 million for the first quarter of 2020. Gross margin increased slightly to 91.9% for the first quarter of 2021, compared with 90.0% in the same quarter last year, due primarily to greater operating leverage.

Operating expenses were $45.1 million for the first quarter of 2021, compared with $19.4 million in the same quarter last year. The increase was driven primarily by personnel-related expenses to fund expansion of the commercial, research and development, clinical and support organizations, as well as expenses related to being a public company.

Net income was $7.5 million for the first quarter of 2021 and net income per share was $0.15 on a weighted-average basic share count of 49.4 million and $0.13 on a diluted share count of 55.7 million, compared to net income of $4.1 million and an income per share of $0.64 on a weighted-average basic share count of 64 million and $0.09 on a diluted share count of 45.0 million in the same period of the prior year.

Cash, cash equivalents and short-term investments were $174.1 million as of March 31, 2021.

The full press release is available on their investor relations site.

https://ir.inarimedical.com/news-releases/news-release-detai…

Transcript available shortly

cheers

draj

12 Likes

With revenue of $57.4 million for the first quarter of 2021 and revenue guidance to $240 million for 2021, the business growth is decelerating rapidly from a QoQ perspective (57.4Mx4=~230M). YoY, the numbers will look good for the next couple of quarters, but that perspective will change if the growth continues to slow. Management mentioned challenges with expanding internationally in the near-term and the need to add more sales professionals domestically…this seems to highlight the challenges with continued rapid growth.

Am I missing something here?
G

5 Likes

It does look little deceleration… however, remember, the March quarter had more lock downs in the US than Dec quarter… it looks too past in the distance but it was peak of covid-19 in the US.

Having said that, I did not quite understand why they took away quarterly guidance… and their annual guidance increase was small…

so my conclusion was it is still a solid story… just not deserving huge position… I trimmed my oversize position from 10% to 8% this AM… and moved that money to UPST which was much smaller position for me.

2 Likes