Surmodics (SRDX) 10-Q 1 May 24 2024 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Mar. 31, 2024	Apr. 26, 2024
Cover [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Mar. 31, 2024
Document Fiscal Year Focus	2024
Document Fiscal Period Focus	Q2
Trading Symbol	SRDX
Security Exchange Name	NASDAQ
Entity Registrant Name	Surmodics, Inc.
Entity Central Index Key	0000924717
Current Fiscal Year End Date	--09-30
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Accelerated Filer
Entity Shell Company	false
Entity Small Business	false
Entity Emerging Growth Company	false
Title of 12(b) Security	Common Stock, $0.05 par value
Entity File Number	0-23837
Entity Incorporation, State or Country Code	MN
Entity Tax Identification Number	41-1356149
Entity Address, Address Line One	9924 West 74th Street
Entity Address, City or Town	Eden Prairie
Entity Address, State or Province	MN
Entity Address, Postal Zip Code	55344
City Area Code	952
Local Phone Number	500-7000
Document Quarterly Report	true
Document Transition Report	false
Entity Common Stock, Shares Outstanding		14,260,000

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Mar. 31, 2024	Sep. 30, 2023
Current Assets:
Cash and cash equivalents	$ 33,030	$ 41,419
Available-for-sale securities	7,909	3,933
Accounts receivable, net of allowances of $107 and $80 as of March 31, 2024 and September 30, 2023, respectively	12,319	10,850
Contract assets	10,650	7,796
Inventories	15,405	14,839
Income tax receivable	746	491
Prepaids and other	4,204	7,363
Total Current Assets	84,263	86,691
Property and equipment, net	25,718	26,026
Intangible assets, net	24,784	26,206
Goodwill	43,576	42,946
Other assets	4,464	3,864
Total Assets	182,805	185,733
Current Liabilities:
Accounts payable	3,186	2,993
Accrued liabilities:
Compensation	6,245	10,139
Accrued other	5,017	6,444
Deferred revenue	4,749	4,378
Total Current Liabilities	19,197	23,954
Long-term debt, net	29,480	29,405
Deferred revenue, less current portion		2,400
Deferred income taxes	1,857	2,004
Other long-term liabilities	8,321	8,060
Total Liabilities	58,855	65,823
Commitments and Contingencies (Note 11)
Stockholders’ Equity:
Series A Preferred stock - $.05 par value, 450 shares authorized; no shares issued and outstanding
Common stock - $.05 par value, 45,000 shares authorized; 14,260 and 14,155 shares issued and outstanding as of March 31, 2024 and September 30, 2023, respectively	713	708
Additional paid-in capital	40,271	36,706
Accumulated other comprehensive loss	(3,750)	(4,759)
Retained earnings	86,716	87,255
Total Stockholders’ Equity	123,950	119,910
Total Liabilities and Stockholders’ Equity	$ 182,805	$ 185,733

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Mar. 31, 2024	Sep. 30, 2023
Statement of Financial Position [Abstract]
Allowances (accounts receivable)	$ 107	$ 80
Series A preferred stock, par value	$ 0.05	$ 0.05
Series A preferred stock, shares authorized	450,000	450,000
Series A preferred stock, shares issued	0	0
Series A preferred stock, shares outstanding	0	0
Common stock, par value	$ 0.05	$ 0.05
Common stock, shares authorized	45,000,000	45,000,000
Common stock, shares issued	14,260,000	14,155,000
Common stock, shares outstanding	14,260,000	14,155,000

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Mar. 31, 2024	Mar. 31, 2023	Mar. 31, 2024	Mar. 31, 2023
Revenue:
Total revenue	$ 31,958	$ 27,198	$ 62,510	$ 52,131
Operating costs and expenses:
Cost, Product and Service [Extensible Enumeration]	Product Sales [Member]	Product Sales [Member]	Product Sales [Member]	Product Sales [Member]
Product costs	$ 7,101	$ 5,738	$ 15,904	$ 11,005
Research and development	10,229	12,924	18,893	25,667
Selling, general and administrative	13,093	12,967	25,630	26,203
Acquired intangible asset amortization	876	867	1,746	1,780
Restructuring expense		1,282		1,282
Contingent consideration expense		3		6
Total operating costs and expenses	31,299	33,781	62,173	65,943
Operating income (loss)	659	(6,583)	337	(13,812)
Other expense, net:
Interest expense, net	(881)	(884)	(1,777)	(1,710)
Foreign exchange loss	(72)	(75)	(117)	(200)
Investment income, net	460	177	999	349
Other expense, net	(493)	(782)	(895)	(1,561)
Income (loss) before income taxes	166	(7,365)	(558)	(15,373)
Income tax benefit (expense)	81	(368)	19	(203)
Net income (loss)	$ 247	$ (7,733)	$ (539)	$ (15,576)
Basic net income (loss) per share	$ 0.02	$ (0.55)	$ (0.04)	$ (1.11)
Diluted net income (loss) per share	$ 0.02	$ (0.55)	$ (0.04)	$ (1.11)
Weighted average number of shares outstanding:
Basic	14,152	14,030	14,127	14,010
Diluted	14,182	14,030	14,127	14,010
Product Sales [Member]
Revenue:
Total revenue	$ 18,099	$ 15,350	$ 36,926	$ 29,584
Royalties and License Fees [Member]
Revenue:
Total revenue	11,411	9,429	20,590	18,194
Research, Development and Other [Member]
Revenue:
Total revenue	$ 2,448	$ 2,419	$ 4,994	$ 4,353

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Comprehensive (Loss) Income - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Mar. 31, 2024	Mar. 31, 2023	Mar. 31, 2024	Mar. 31, 2023
Statement of Comprehensive Income [Abstract]
Net income (loss)	$ 247	$ (7,733)	$ (539)	$ (15,576)
Derivative instruments:
Unrealized net gain (loss)	426	(304)	(194)	(748)
Net (gain) loss reclassified to earnings	(62)	(11)	(124)	20
Net changes related to available-for-sale securities, net of tax	2		(6)
Foreign currency translation adjustments	(1,464)	1,118	1,333	6,788
Other comprehensive (loss) income	(1,098)	803	1,009	6,060
Comprehensive (loss) income	$ (851)	$ (6,930)	$ 470	$ (9,516)

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Stockholders' Equity - USD ($) shares in Thousands, $ in Thousands	Total	Common Stock [Member]	Additional Paid-in Capital [Member]	Accumulated Other Comprehensive Loss [Member]	Retained Earnings [Member]
Beginning balance at Sep. 30, 2022	$ 108,392	$ 701	$ 28,774	$ (9,874)	$ 88,791
Beginning balance, shares at Sep. 30, 2022		14,029
Net income (loss)	(15,576)				(15,576)
Other comprehensive income (loss), net of tax	6,060			6,060
Issuance of common stock	453	$ 6	447
Issuance of common stock ,shares		112
Common stock options exercised, net	350	$ 1	349
Common stock options exercised, net, shares		17
Purchase of common stock to pay employee taxes	(872)	$ (1)	(871)
Purchase of common stock to pay employee taxes ,shares		(24)
Stock-based compensation	3,747		3,747
Ending balance at Mar. 31, 2023	102,554	$ 707	32,446	(3,814)	73,215
Ending balance ,shares at Mar. 31, 2023		14,134
Beginning balance at Dec. 31, 2022	107,261	$ 706	30,224	(4,617)	80,948
Beginning balance, shares at Dec. 31, 2022		14,126
Net income (loss)	(7,733)				(7,733)
Other comprehensive income (loss), net of tax	803			803
Issuance of common stock	453	$ 1	452
Issuance of common stock ,shares		9
Common stock options exercised, net	3		3
Purchase of common stock to pay employee taxes	(15)		(15)
Purchase of common stock to pay employee taxes ,shares		(1)
Stock-based compensation	1,782		1,782
Ending balance at Mar. 31, 2023	102,554	$ 707	32,446	(3,814)	73,215
Ending balance ,shares at Mar. 31, 2023		14,134
Beginning balance at Sep. 30, 2023	119,910	$ 708	36,706	(4,759)	87,255
Beginning balance, shares at Sep. 30, 2023		14,155
Net income (loss)	(539)				(539)
Other comprehensive income (loss), net of tax	1,009			1,009
Issuance of common stock	450	$ 6	444
Issuance of common stock ,shares		121
Common stock options exercised, net	120	$ 1	119
Common stock options exercised, net, shares		13
Purchase of common stock to pay employee taxes	(1,094)	$ (2)	(1,092)
Purchase of common stock to pay employee taxes ,shares		(29)
Stock-based compensation	4,094		4,094
Ending balance at Mar. 31, 2024	123,950	$ 713	40,271	(3,750)	86,716
Ending balance ,shares at Mar. 31, 2024		14,260
Beginning balance at Dec. 31, 2023	122,150	$ 712	37,621	(2,652)	86,469
Beginning balance, shares at Dec. 31, 2023		14,235
Net income (loss)	247				247
Other comprehensive income (loss), net of tax	(1,098)			(1,098)
Issuance of common stock	450	$ 1	449
Issuance of common stock ,shares		19
Common stock options exercised, net	81	$ 1	80
Common stock options exercised, net, shares		6
Purchase of common stock to pay employee taxes	(6)	$ (1)	(5)
Stock-based compensation	2,126		2,126
Ending balance at Mar. 31, 2024	$ 123,950	$ 713	$ 40,271	$ (3,750)	$ 86,716
Ending balance ,shares at Mar. 31, 2024		14,260

Condensed Consolidated Statem_4

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	6 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Operating Activities:
Net loss	$ (539)	$ (15,576)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization	4,429	4,214
Stock-based compensation	4,094	3,747
Noncash lease expense	397	321
Amortization of debt issuance costs	144	182
Provision for credit losses	27	121
Deferred taxes	(189)	(217)
Other	(268)	106
Change in operating assets and liabilities:
Accounts receivable and contract assets	(4,337)	(2,346)
Inventories	(565)	(1,948)
Prepaids and other	2,740	(1,582)
Accounts payable	4	279
Accrued liabilities	(5,007)	(4,064)
Income taxes	(279)	2,629
Deferred revenue	(2,028)	(2,493)
Net cash used in operating activities	(1,377)	(16,627)
Investing Activities:
Purchases of property and equipment	(1,991)	(1,700)
Purchases of available-for-sale securities	(13,682)
Maturities of available-for-sale securities	10,000
Net cash used in investing activities	(5,673)	(1,700)
Financing Activities:
Payments of short-term borrowings		(10,000)
Proceeds from issuance of long-term debt		29,664
Payments of debt issuance costs		(611)
Issuance of common stock	570	803
Payments for taxes related to net share settlement of equity awards	(1,093)	(872)
Payments for acquisition of in-process research and development	(931)	(978)
Net cash (used in) provided by financing activities	(1,454)	18,006
Effect of exchange rate changes on cash	115	503
Net change in cash and cash equivalents	(8,389)	182
Cash and Cash Equivalents:
Beginning of period	41,419	18,998
End of period	33,030	19,180
Supplemental Information:
Cash paid for income taxes	338	10
Cash paid for interest	1,518	1,393
Noncash investing and financing activities:
Acquisition of property and equipment	227	$ 355
Right-of-use assets obtained in exchange for operating lease liabilities	$ 845

Organization

Organization	6 Months Ended
	Mar. 31, 2024
Accounting Policies [Abstract]
Organization	1. Organization Description of Business Surmodics, Inc. and subsidiaries (referred to as “Surmodics,” the “Company,” “we,” “us,” “our” and other like terms) is a leading provider of performance coating technologies for intravascular medical devices and chemical and biological components for in vitro diagnostic (“IVD”) immunoassay tests and microarrays. Surmodics develops and commercializes highly differentiated vascular intervention medical devices that are designed to address unmet clinical needs and engineered to the most demanding requirements. This key growth strategy leverages the combination of the Company’s expertise in proprietary surface modification and drug-delivery coating technologies, along with its device design, development and manufacturing capabilities. The Company’s mission is to improve the detection and treatment of disease. Surmodics is headquartered in Eden Prairie, Minnesota. Basis of Presentation and Principles of Consolidation The accompanying unaudited condensed consolidated financial statements include all accounts and wholly-owned subsidiaries and have been prepared in accordance with accounting principles generally accepted in the U.S. (“GAAP”). All intercompany transactions have been eliminated. The Company operates on a fiscal year ending on September 30. In accordance with the rules and regulations of the U.S. Securities and Exchange Commission (“SEC”), the Company has omitted footnote disclosures that would substantially duplicate the disclosures contained in the audited consolidated financial statements of the Company. These unaudited condensed consolidated financial statements should be read together with the audited consolidated financial statements for the fiscal year ended September 30, 2023, and notes thereto included in our Annual Report on Form 10-K as filed with the SEC. Use of Estimates The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent liabilities at the date of the condensed consolidated financial statements and the reported amounts of revenue and expenses during the reporting period. Ultimate results could differ from those estimates. The results of operations for the three and six months ended March 31, 2024 are not necessarily indicative of the results that may be expected for the entire 2024 fiscal year. New Accounting Pronouncements Not Yet Adopted In November 2023, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2023-07, Segment Reporting: Improvements to Reportable Segment Disclosures . This guidance requires disclosure of incremental segment information on an annual and interim basis. This amendment is effective for our fiscal year ending September 30, 2025 and interim periods within our fiscal year ending September 30, 2026. We are currently assessing the impact of this guidance on our disclosures. In December 2023, the FASB issued ASU No. 2023-09, Income Taxes: Improvements to Income Tax Disclosures . This guidance requires consistent categories and greater disaggregation of information in the rate reconciliation and disclosures of income taxes paid by jurisdiction. This amendment is effective for our fiscal year ending September 30, 2026 and interim periods within our fiscal year ending September 30, 2027. We are currently assessing the impact of this guidance on our disclosures. No other new accounting pronouncement issued or effective during the fiscal year has had, or is expected to have, a material impact on the Company’s condensed consolidated financial statements.

Revenue

Revenue	6 Months Ended
	Mar. 31, 2024
Revenue from Contract with Customer [Abstract]
Revenue	2. Revenue The following table is a disaggregation of revenue within each reportable segment. Three Months Ended March 31, Six Months Ended March 31, (In thousands) 2024 2023 2024 2023 Medical Device Product sales $ 11,100 $ 7,914 $ 23,050 $ 16,294 Royalties & license fees – performance coatings 10,323 8,098 18,531 15,567 License fees – SurVeil DCB 1,088 1,331 2,059 2,627 Research, development and other 2,315 2,364 4,731 4,237 Medical Device Revenue 24,826 19,707 48,371 38,725 In Vitro Diagnostics Product sales 6,999 7,436 13,876 13,290 Research, development and other 133 55 263 116 In Vitro Diagnostics Revenue 7,132 7,491 14,139 13,406 Total Revenue $ 31,958 $ 27,198 $ 62,510 $ 52,131 Contract assets totaled $ 10.7 million and $ 7.8 million as of March 31, 2024 and September 30, 2023, respectively, on the condensed consolidated balance sheets. Fluctuations in the balance of contract assets result primarily from (i) fluctuations in the sales volume of performance coating royalties and license fees earned, but not collected, at each balance sheet date due to payment timing and contractual changes in the normal course of business; and (ii) starting in fiscal 2024, sales-based profit-sharing earned, but not collected, related to a collaborative arrangement (Note 3). Deferred revenue totaled $ 4.7 million and $ 6.8 million as of as of March 31, 2024 and September 30, 2023, respectively, on the condensed consolidated balance sheets and was primarily related to a collaborative arrangement (Note 3). For the six months ended March 31, 2024 and 2023 , the total amount of revenue recognized that was included in the respective beginning of fiscal year balances of deferred revenue on the condensed consolidated balance sheets totaled $ 2.2 million and $ 2.6 million, respectively.

Collaborative Arrangement

Collaborative Arrangement	6 Months Ended
	Mar. 31, 2024
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Collaborative Arrangement	3. Collaborative Arrangement On February 26, 2018, the Company entered into an agreement with Abbott Vascular, Inc. (“Abbott”) with respect to one of the device products in our Medical Device reportable segment, the SurVeil™ drug-coated balloon (“DCB”) for treatment of the superficial femoral artery (the “Abbott Agreement”). In June 2023, the SurVeil DCB received U.S. Food and Drug Administration (“FDA”) premarket approval (“PMA”) and may now be marketed and sold in the U.S. by Abbott. SurVeil DCB License Fees Under the Abbott Agreement, Surmodics is responsible for conducting all necessary clinical trials, including completion of the ongoing, five-year TRANSCEND pivotal clinical trial of the SurVeil DCB. The Company has received payments totaling $ 87.8 million for achievement of clinical and regulatory milestones under the Abbott Agreement, which consisted of the following: (i) $ 25 million upfront fee in fiscal 2018, (ii) $ 10 million milestone payment in fiscal 2019, (iii) $ 10.8 million milestone payment in fiscal 2020, (iv) $ 15 million milestone payment in fiscal 2021, and (v) $ 27 million milestone payment in the third quarter of fiscal 2023 upon receipt of PMA for the SurVeil DCB from the FDA. There are no remaining contingent or other milestone payments under the Abbott Agreement. License fee revenue on milestone payments received under the Abbott Agreement is recognized using the cost-to-cost method based on total costs incurred to date relative to total expected costs for the TRANSCEND pivotal clinical trial, which is expected to be competed in fiscal 2025. See Note 2 Revenue for SurVeil DCB license fee revenue recognized in our Medical Device reportable segment. As of March 31, 2024 , deferred revenue on the condensed consolidated balance sheets included $ 4.5 million from upfront and milestone payments received under the Abbott Agreement. This represented the Company’s remaining performance obligations and is expected to be recognized as revenue over approximately the next one year as services, principally the TRANSCEND clinical trial, are completed. SurVeil DCB Product Sales Under the Abbott Agreement, we supply commercial units of the SurVeil DCB to Abbott, and Abbott has exclusive worldwide distribution rights. During the first quarter of fiscal 2024, we commenced shipment of commercial units of the SurVeil DCB to Abbott. We recognize revenue from the sale of commercial units of the SurVeil DCB to Abbott at the time of shipment in product sales on the condensed consolidated statements of operations. The amount of SurVeil DCB product sales revenue recognized includes (i) the contractual transfer price per unit and (ii) an estimate of Surmodics’ share of net profits resulting from product sales by Abbott to third parties pursuant to the Abbott Agreement (“estimated SurVeil DCB profit-sharing”). On a quarterly basis, Abbott (i) reports to us its third-party sales of the SurVeil DCB the quarter after those sales occur, which may occur within two years following shipment based on the product’s current shelf life; and (ii) reports to us and pays the actual amount of profit-sharing. Estimated SurVeil DCB profit-sharing represents variable consideration and is recorded in contract assets on the condensed consolidated balance sheets. We estimate variable consideration as the most-likely amount to which we expect to be entitled, and we include estimated amounts in the transaction price to the extent it is probable that a significant reversal of cumulative revenue will not occur when the uncertainty associated with the variable consideration is resolved. Significant judgment is required in estimating the amount of variable consideration to recognize when assessing factors outside of Surmodics’ influence, such as limited availability of third-party information, expected duration of time until resolution, and limited relevant past experience.

Fair Value Measurements

Fair Value Measurements	6 Months Ended
	Mar. 31, 2024
Fair Value Disclosures [Abstract]
Fair Value Measurements	4. Fair Value Measurements Assets and liabilities measured at fair value on a recurring basis by level of the fair value hierarchy were as follows: March 31, 2024 (In thousands) Quoted Prices in Active Markets for Identical Instruments Significant Other Significant Total Fair Value Assets Cash equivalents (1) $ — $ 24,297 $ — $ 24,297 Available-for-sale securities (1) — 7,909 — 7,909 Total assets $ — $ 32,206 $ — $ 32,206 Liabilities Interest rate swap (2) — 135 — 135 Total liabilities $ — $ 135 $ — $ 135 September 30, 2023 (In thousands) Quoted Prices in Significant Other Significant Total Fair Value Assets Cash equivalents (1) $ — $ 36,255 $ — $ 36,255 Available-for-sale securities (1) — 3,933 — 3,933 Interest rate swap (2) — 183 — 183 Total assets $ — $ 40,371 $ — $ 40,371 (1) Fair value of cash equivalents (money market funds) and available-for-sale securities (commercial paper and corporate bond securities) was based on quoted vendor prices and broker pricing where all significant inputs are observable. (2) Fair value of interest rate swap is based on forward-looking, one-month term secured overnight financing rate (“Term SOFR”) spot rates and interest rate curves (Note 7).

Supplemental Balance Sheet Info

Supplemental Balance Sheet Information	6 Months Ended
	Mar. 31, 2024
Balance Sheet Related Disclosures [Abstract]
Supplemental Balance Sheet Information	5. Supplemental Balance Sheet Information Investments — Available-for-sale Securities The amortized cost, unrealized holding gains and losses, and fair value of available-for-sale securities were as follows: March 31, 2024 (In thousands) Amortized Unrealized Unrealized Fair Commercial paper and corporate bonds $ 7,914 $ — $ ( 5 ) $ 7,909 Available-for-sale securities $ 7,914 $ — $ ( 5 ) $ 7,909 September 30, 2023 (In thousands) Amortized Unrealized Unrealized Fair Commercial paper and corporate bonds $ 3,936 $ — $ ( 3 ) $ 3,933 Available-for-sale securities $ 3,936 $ — $ ( 3 ) $ 3,933 Inventories Inventories consisted of the following components: March 31, September 30, (In thousands) 2024 2023 Raw materials $ 9,230 $ 8,063 Work-in process 2,508 2,607 Finished products 3,667 4,169 Inventories $ 15,405 $ 14,839 Prepaids and Other Assets, Current Prepaids and other current assets consisted of the following: March 31, September 30, (In thousands) 2024 2023 Prepaid expenses $ 3,557 $ 2,600 Irish research and development credits receivable 647 1,322 CARES Act employee retention credit receivable (1) — 3,441 Prepaids and other $ 4,204 $ 7,363 (1) As of September 30, 2023, receivable consisted of anticipated reimbursement of personnel expenses, which were incurred in fiscal 2021 and fiscal 2020, as the result of our eligibility for the employee retention credit under the provisions of the Coronavirus Aid, Relief and Economic Security Act (the “CARES Act”). During the second quarter of fiscal 2024, we received payment for this receivable. Intangible Assets Intangible assets consisted of the following: March 31, 2024 (Dollars in thousands) Weighted Average Original Life (Years) Gross Carrying Amount Accumulated Amortization Net Definite-lived intangible assets: Customer lists and relationships 9.3 $ 11,487 $ ( 10,060 ) $ 1,427 Developed technology 11.9 34,489 ( 12,548 ) 21,941 Patents and other 14.9 2,338 ( 1,502 ) 836 Total definite-lived intangible assets 48,314 ( 24,110 ) 24,204 Unamortized intangible assets: Trademarks and trade names 580 — 580 Total intangible assets $ 48,894 $ ( 24,110 ) $ 24,784 September 30, 2023 (Dollars in thousands) Weighted Average Original Life (Years) Gross Carrying Amount Accumulated Amortization Net Definite-lived intangible assets: Customer lists and relationships 9.3 $ 11,260 $ ( 9,435 ) $ 1,825 Developed technology 11.9 33,929 ( 11,048 ) 22,881 Patents and other 14.9 2,338 ( 1,418 ) 920 Total definite-lived intangible assets 47,527 ( 21,901 ) 25,626 Unamortized intangible assets: Trademarks and trade names 580 — 580 Total intangible assets $ 48,107 $ ( 21,901 ) $ 26,206 Intangible asset amortization expense w as $ 0.9 mill ion for each of the three months ended March 31, 2024 and 2023 and $ 1.9 million for each of the six months ended March 31, 2024 and 2023 . Based on the intangible assets in service as of March 31, 2024, estimated amortization expense for future fiscal years was as follows: (In thousands) Remainder of 2024 $ 1,876 2025 3,717 2026 2,826 2027 2,577 2028 2,566 2029 2,566 Thereafter 8,076 Definite-lived intangible assets $ 24,204 Future amortization amounts presented above are estimates. Actual future amortization expense may be different as a result of future acquisitions, impairments, changes in amortization periods, foreign currency translation rates, or other factors. Goodwill Changes in the carrying amount of goodwill by segment were as follows: (In thousands) In Vitro Medical Total Goodwill as of September 30, 2023 $ 8,010 $ 34,936 $ 42,946 Currency translation adjustment — 630 630 Goodwill as of March 31, 2024 $ 8,010 $ 35,566 $ 43,576 Other Assets, Noncurrent Other noncurrent assets consisted of the following: March 31, September 30, (In thousands) 2024 2023 Operating lease right-of-use assets $ 3,435 $ 2,987 Other 1,029 877 Other assets $ 4,464 $ 3,864 Accrued Other Liabilities Accrued other liabilities consisted of the following: March 31, September 30, (In thousands) 2024 2023 Accrued professional fees $ 430 $ 178 Accrued clinical study expense 579 1,056 Accrued purchases 811 1,142 Deferred consideration (1) 1,746 2,661 Operating lease liabilities, current portion 1,001 872 Other 450 535 Total accrued other liabilities $ 5,017 $ 6,444 (1) As of March 31, 2024 , deferred consideration consisted of the present value of a guaranteed payment to be made in connection with the fiscal 2021 acquisition of Vetex Medical Limited (“Vetex”). As of September 30, 2023, deferred consideration consisted of the present value of guaranteed payments to be made in connection with the fiscal 2021 Vetex acquisition and a fiscal 2018 asset acquisition (Note 11). Other Long-term Liabilities Other long-term liabilities consisted of the following: March 31, September 30, (In thousands) 2024 2023 Deferred consideration (1) $ 1,645 $ 1,629 Unrecognized tax benefits (2) 3,308 3,332 Operating lease liabilities, less current portion 3,180 2,974 Other 188 125 Other long-term liabilities $ 8,321 $ 8,060 (1) Deferred consideration consisted of the present value of a guaranteed payment to be made in connection with the fiscal 2021 Vetex acquisition (Note 11). (2) Balance of unrecognized tax benefits includes accrued interest and penalties, if applicable (Note 10).

Debt

Debt	6 Months Ended
	Mar. 31, 2024
Debt Disclosure [Abstract]
Debt	6. Debt Debt consisted of the following: March 31, September 30, (In thousands) 2024 2023 Revolving Credit Facility, Term SOFR + 3.00 % , maturing October 1, 2027 $ 5,000 $ 5,000 Tranche 1 Term Loans, Term SOFR + 5.75 % , maturing October 1, 2027 25,000 25,000 Long-term debt, gross 30,000 30,000 Less: Unamortized debt issuance costs ( 520 ) ( 595 ) Long-term debt, net $ 29,480 $ 29,405 On October 14, 2022, the Company entered into a secured revolving credit facility and secured term loan facilities pursuant to a Credit, Security and Guaranty Agreement (the “MidCap Credit Agreement”) with Mid Cap Funding IV Trust, as agent, and MidCap Financial Trust, as term loan servicer and the lenders from time to time party thereto. The MidCap Credit Agreement provides for availability under a secured revolving line of credit of up to $ 25.0 million (the “Revolving Credit Facility”). Availability under the Revolving Credit Facility is subject to a borrowing base. The MidCap Credit Agreement also provides for up to $ 75.0 million in term loans (the “Term Loans”), consisting of a $ 25.0 million Tranche 1 (“Tranche 1”) and a $ 50.0 million Tranche 2 (“Tranche 2”), which may be drawn in increments of at least $ 10.0 million. In addition, after the closing and prior to December 31, 2024, the Term Loan lenders may, in their sole discretion, fund an additional tranche of Term Loans of up to $ 25.0 million upon the written request of the Company. Upon closing, the Company borrowed $ 25.0 million of Tranche 1, borrowed $ 5.0 million on the Revolving Credit Facility, and used approximately $ 10.0 million of the proceeds to repay borrowings under the revolving credit facility with Bridgewater Bank. The Company intends to use the remaining proceeds to fund working capital needs and for other general corporate purposes, as permitted under the MidCap Credit Agreement. Until December 31, 2024, the Company will be eligible to borrow Tranche 2 at the Company’s option upon meeting certain conditions set forth in the MidCap Credit Agreement, including having no less than $ 60.0 million of rolling-four-quarter core net revenue as of the end of the prior fiscal quarter. Core net revenue is defined in the MidCap Credit Agreement as the sum of revenue from our In Vitro Diagnostics segment and revenues from performance coating technologies in our Medical Device segment. Pursuant to the MidCap Credit Agreement, the Company provided a first priority security interest in all existing and future acquired assets, including intellectual property and real estate, owned by the Company. The MidCap Credit Agreement contains certain covenants that limit the Company’s ability to engage in certain transactions. Subject to certain limited exceptions, these covenants limit the Company’s ability to, among other things: • create, incur, assume or permit to exist any additional indebtedness, or create, incur, allow or permit to exist any additional liens; • enter into any amendment or other modification of certain agreements; • effect certain changes in the Company’s business, fiscal year, management, entity name or business locations; • liquidate or dissolve, merge with or into, or consolidate with, any other company; • pay cash dividends on, make any other distributions in respect of, or redeem, retire or repurchase, any shares of the Company’s capital stock; • make certain investments, other than limited permitted acquisitions; and • enter into transactions with the Company’s affiliates. The MidCap Credit Agreement also contains customary indemnification obligations and customary events of default, including, among other things, (i) non-payment, (ii) breach of warranty, (iii) non-performance of covenants and obligations, (iv) default on other indebtedness, (v) judgments, (vi) change of control, (vii) bankruptcy and insolvency, (viii) impairment of security, (ix) termination of a pension plan, (x) regulatory matters, and (xi) material adverse effect. In addition, the Company must maintain minimum core net revenue levels tested quarterly to the extent that Term Loans advanced under the MidCap Credit Agreement exceed $ 25.0 million. In the event of default under the MidCap Credit Agreement, the Company would be required to pay interest on principal and all other due and unpaid obligations at the current rate in effect plus 2 %. Borrowings under the MidCap Credit Agreement bear interest at the forward-looking, one-month secured overnight financing rate (“Term SOFR”) as published by CME Group Benchmark Administration Limited plus 0.10 % (“Adjusted Term SOFR”). The Revolving Credit Facility bears interest at an annual rate equal to 3.00 % plus the greater of Adjusted Term SOFR or 1.50 %, and the Term Loans bear interest at an annual rate equal to 5.75 % plus the greater of Adjusted Term SOFR or 1.50 %. The Company is required to make monthly interest payments on the Revolving Credit Facility with the entire principal payment due at maturity. The Company is required to make 48 monthly interest payments on the Term Loans beginning on November 1, 2022 (the “Interest-Only Period”). If the Company is in covenant compliance at the end of the Interest-Only Period, the Company will have the option to extend the Interest-Only Period through maturity with the entire principal payment due at maturity. If the Company is not in covenant compliance at the end of the Interest-Only Period, the Company is required to make 12 months of straight-line amortization payments with the entire principal amount due at maturity. Subject to certain limitations, the Term Loans have a prepayment fee for payments made prior to the maturity date equal to 2.0 % of the prepaid principal amount for the second year following the closing date and 1.0 % of the prepaid principal amount for the third year following the closing date and thereafter. In addition, if the Revolving Credit Facility is terminated in whole or in part prior to the maturity date, the Company must pay a prepayment fee equal to 2.0 % of the terminated commitment amount for the second year following the closing date of the MidCap Credit Agreement and 1.0 % of the terminated commitment amount for the third year following the closing date and thereafter. The Company is also required to pay a full exit fee at the time of maturity or full prepayment event equal to 2.5 % of the aggregate principal amount of the Term Loans made pursuant to the MidCap Credit Agreement and a partial exit fee at the time of any partial prepayment event equal to 2.5 % of the amount prepaid. This exit fee is accreted over the remaining term of the Term Loans. The Company also is obligated to pay customary origination fees at the time of each funding of the Term Loans and a customary annual administrative fee based on the amount borrowed under the Term Loan, due on an annual basis. The customary fees on the Revolving Credit Facility include (i) an origination fee based on the commitment amount, which was paid on the closing date, (ii) an annual collateral management fee of 0.50 % per annum based on the outstanding balance of the Revolving Credit Facility, payable monthly in arrears and (iii) an unused line fee of 0.50 % per annum based on the average unused portion of the Revolving Credit Facility, payable monthly in arrears. The Company must also maintain a minimum balance of no less than 20 % of availability under the Revolving Credit Facility or a minimum balance fee applies of 0.50 % per annum. Expenses recognized for fees for the Revolving Credit Facility and Term Loans are reported in interest expense, net on the condensed consolidated statements of operations.

Derivative Financial Instrument

Derivative Financial Instruments	6 Months Ended
	Mar. 31, 2024
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Derivative Financial Instruments	7. Derivative Financial Instruments As of March 31, 2024 and September 30, 2023 , derivative financial instruments on the condensed consolidated balance sheets consisted of a fixed-to-variable interest rate swap to mitigate exposure to interest rate increases related to our Term Loans (“interest rate swap”). The interest rate swap has been designated as a cash flow hedge. See Note 6 Debt for further information on our financing arrangements. The net fair value of designated hedge derivatives subject to master netting arrangements reported on the condensed consolidated balance sheets was as follows: Asset (Liability) (In thousands) Gross Recognized Amount Gross Offset Amount Net Amount Presented Cash Collateral Receivable Net Amount Reported Balance Sheet Location March 31, 2024 Interest rate swap $ ( 135 ) $ — $ ( 135 ) $ 527 $ 392 Other assets, noncurrent September 30, 2023 Interest rate swap $ 183 $ — $ 183 $ — $ 183 Other assets, noncurrent The pretax amounts recognized in accumulated other comprehensive loss (“AOCL”) for designated hedge derivative instruments were as follows: Three Months Ended March 31, Six Months Ended March 31, (In thousands) 2024 2023 2024 2023 Beginning unrealized net (loss) gain in AOCL $ ( 499 ) $ — $ 183 $ — Net gain (loss) recognized in other comprehensive (loss) income 426 ( 304 ) ( 194 ) ( 748 ) Net (gain) loss reclassified into interest expense ( 62 ) ( 11 ) ( 124 ) 20 Ending unrealized loss in AOCL $ ( 135 ) $ ( 315 ) $ ( 135 ) $ ( 728 )

Stock-based Compensation Plans

Stock-based Compensation Plans	6 Months Ended
	Mar. 31, 2024
Share-Based Payment Arrangement [Abstract]
Stock-based Compensation Plans	8. Stock-based Compensation Plans The Company has stock-based compensation plans approved by its shareholders under which it grants stock options, restricted stock awards, restricted stock units and deferred stock units to officers, directors and key employees. Stock-based compensation expense was reported as follows in the condensed consolidated statements of operations: Three Months Ended March 31, Six Months Ended March 31, (In thousands) 2024 2023 2024 2023 Product costs $ 70 $ 72 $ 142 $ 139 Research and development 389 329 759 703 Selling, general and administrative 1,667 1,381 3,193 2,905 Total $ 2,126 $ 1,782 $ 4,094 $ 3,747 As of March 31, 2024 , unrecognized compensation costs related to non-vested awards totaled approximately $ 14.9 million, which is expected to be recognized over a weighted average period of approximately 2.4 years. Stock Option Awards T he Company awards stock options to officers, directors and key employees and uses the Black-Scholes option pricing model to determine the fair value of stock options as of the date of each grant. Stock option grant activity was as follows: Six Months Ended March 31, 2024 2023 Stock option grant activity: Stock options granted 281,000 293,000 Weighted average grant date fair value $ 15.70 $ 15.27 Weighted average exercise price $ 33.40 $ 35.40 Restricted Stock Awards During the six months ended March 31, 2024 and 2023 , the Company awarded 102,000 and 99,000 restricted stock shares, respectively, to certain key employees and officers with a weighted average grant date fair value per share of $ 33.53 and $ 36.05 , respectively. Restricted Stock is valued based on the market value of the shares as of the date of grant. Restricted Stock Unit Awards During each of the six months ended March 31, 2024 and 2023 , the Company awarded 14,000 and 1 6,000 restricted stock units (“RSUs”), respectively, to directors and to key employees in foreign jurisdictions with a weighted average grant date fair value per unit of $ 32.49 and $ 31.72 , respectively. RSUs are valued based on the market value of the shares as of the date of grant. Employee Stock Purchase Plan Our U.S. employees are eligible to participate in the amended 1999 Employee Stock Purchase Plan (“ESPP”) approved by our shareholders. During the six months ended March 31, 2024 and 2023 , 16,000 and 23,000 shares were issued under the ESPP, respectively.

Net Income (Loss) Per Share Dat

Net Income (Loss) Per Share Data	6 Months Ended
	Mar. 31, 2024
Earnings Per Share [Abstract]
Net Income (Loss) Per Share Data	9. Net Income (Loss) Per Share Data Basic net income (loss) per common share is calculated by dividing net income (loss) by the weighted average number of common shares outstanding during the period. Diluted net income (loss) per common share is computed by dividing net income (loss) by the weighted average number of common and common equivalent shares outstanding during the period. The Company’s potentially dilutive common shares are those that result from dilutive common stock options and non-vested stock relating to restricted stock awards and restricted stock units. The calculation of diluted loss per share excluded 0.1 million or less in weighted-average shares for each of the three months ended March 31, 2024 and 2023 and 0.1 million or less in weighted average shares for each of the six months ended March 31, 2024 and 2023 , as their effect was anti-dilutive. Basic and diluted weighted average shares outstanding were as follows: Three Months Ended March 31, Six Months Ended March 31, (In thousands) 2024 2023 2024 2023 Basic weighted average shares outstanding 14,152 14,030 14,127 14,010 Dilutive effect of outstanding stock options, non-vested restricted stock, and non-vested restricted stock units 30 — — — Diluted weighted average shares outstanding 14,182 14,030 14,127 14,010

Income Taxes

Income Taxes	6 Months Ended
	Mar. 31, 2024
Income Tax Disclosure [Abstract]
Income Taxes	10. Income Taxes For interim income tax reporting, the Company estimates its full-year effective tax rate and applies it to fiscal year-to-date pretax income (loss), excluding unusual or infrequently occurring discrete items. Tax jurisdictions with losses for which tax benefits cannot be realized are excluded. The Company reported income tax benefit of $ 0.1 million and income tax expense of $( 0.4 ) million for the three months ended March 31, 2024 and 2023 , respectively, and income tax benefit of $ 0.0 million and income tax expense of $( 0.2 ) million for the six months ended March 31, 2024 and 2023, respectively. • Beginning in our fiscal 2023, certain research and development (“R&D”) costs are required to be capitalized and amortized over a five-year period under the Tax Cuts and Jobs Act enacted in December 2017. This change impacts the expected U.S. federal and state income tax expense and cash taxes paid and to be paid for our fiscal 2024 and 2023. • Since September 30, 2022, we have maintained a full valuation allowance against U.S. net deferred tax assets. As a result, we are no longer recording a tax benefit associated with U.S. pretax losses and incremental deferred tax assets. • Recurring items cause our effective tax rate to differ from the U.S. federal statutory rate of 21 %, including foreign-derived intangible income (“FDII”) deductions in the U.S., U.S. federal and Irish R&D credits, Irish and U.S. state tax rates, and excess tax benefits associated with stock-based compensation. A valuation allowance is required to be recognized against deferred tax assets if, based on the available evidence, it is more likely than not (defined as a likelihood of more than 50 %) that all or a portion of such assets will not be realized. We apply judgment to consider the relative impact of negative and positive evidence, and the weight given to negative and positive evidence is commensurate with the extent to which such evidence can be objectively verified. Objective historical evidence, such as cumulative three-year pre-tax losses adjusted for permanent adjustments, is given greater weight than subjective positive evidence, such as forecasts of future earnings. The more objective negative evidence that exists limits our ability to consider other, potentially positive, subjective evidence, such as our future earnings projections. Based on our evaluation of all available positive and negative evidence, and by placing greater weight on the objectively verifiable evidence, we determined, as of March 31, 2024 and September 30, 2023, that it is more likely than not that our net U.S. deferred tax assets will not be realized. Due to significant estimates used to establish the valuation allowance and the potential for changes in facts and circumstances, it is reasonably possible that we will be required to record additional adjustments to the valuation allowance in future reporting periods that could have a material effect on our results of operations. Discrete tax benefits related to stock-based compensation awards vested, expired, canceled and exercised was $ 0.1 million or less for each of the three months ended December 31, 2023 and 2022 and $ 0.1 million or less for each of the six months ended March 31, 2024 and 2023 . The total amount of unrecognized tax benefits, excluding interest and penalties that, if recognized, would affect the effective tax rate was $ 3.6 million and $ 3.1 million as of March 31, 2024 and September 30, 2023, respectively. Interest and penalties related to unrecognized tax benefits are recorded in income tax benefit (expense). The Company files income tax returns, including returns for its subsidiaries, in the U.S. federal jurisdiction and in various state jurisdictions, as well as several non-U.S. jurisdictions. Uncertain tax positions are related to tax years that remain subject to examination. The Internal Rev enue Service commenced an examination of the Company’s fiscal 2019 U.S. federal tax return in fiscal 2022; the examination has not been completed. U.S . federal income tax returns for years prior to fiscal 2019 are no longer subject to examination by federal tax authorities. For tax returns for U.S. state and local jurisdictions, the Company is no longer subject to examination for tax years generally before fiscal 2013. For tax returns for non-U.S. jurisdictions, the Company is no longer subject to income tax examination for years prior to 2019. There were no undistributed earnings in foreign subsidiaries as of March 31, 2024 and September 30, 2023 .

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Mar. 31, 2024
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	11. Commitments and Contingencies Asset Acquisition. In fiscal 2018, the Company acquired certain intellectual property assets of Embolitech, LLC (the “Embolitech Transaction”). As part of the Embolitech Transaction, the Company paid the sellers $ 5.0 million in fiscal 2018, $ 1.0 million in fiscal 2020, $ 1.0 million in fiscal 2021, $ 0.5 million in fiscal 2022, $ 1.0 million in fiscal 2023, and $ 0.9 million in fiscal 2024 . An additional $ 1.0 million payment is contingent upon the achievement of a certain regulatory milestone within a contingency period ending in 2033 . Vetex Acquisition. In fiscal 2021, Surmodics acquired all of the outstanding shares of Vetex with an upfront cash payment of $ 39.9 million. The Company is obligated to pay two installments, each in the amount of $ 1.8 million, in the fourth quarter of fiscal 2024 and fiscal 2027. These payments may be accelerated upon the occurrence of certain product development and regulatory milestones. An additional $ 3.5 million in payments is contingent upon the achievement of certain product development and regulatory milestones within a contingency period ending in fiscal 2027 .

Segment Information

Segment Information	6 Months Ended
	Mar. 31, 2024
Segment Reporting [Abstract]
Segment Information	12. Segment Information Segment revenue, operating in come (loss), and depreciation and amortization were as follows: Three Months Ended March 31, Six Months Ended March 31, (In thousands) 2024 2023 2024 2023 Revenue: Medical Device $ 24,826 $ 19,707 $ 48,371 $ 38,725 In Vitro Diagnostics 7,132 7,491 14,139 13,406 Total revenue $ 31,958 $ 27,198 $ 62,510 $ 52,131 Operating income (loss): Medical Device $ 302 $ ( 7,059 ) $ 78 $ ( 14,294 ) In Vitro Diagnostics 3,356 3,636 6,480 6,584 Total segment operating income (loss) 3,658 ( 3,423 ) 6,558 ( 7,710 ) Corporate ( 2,999 ) ( 3,160 ) ( 6,221 ) ( 6,102 ) Total operating income (loss) $ 659 $ ( 6,583 ) $ 337 $ ( 13,812 ) Depreciation and amortization: Medical Device $ 1,916 $ 1,933 $ 3,970 $ 3,886 In Vitro Diagnostics 96 75 193 152 Corporate 84 84 266 176 Total depreciation and amortization $ 2,096 $ 2,092 $ 4,429 $ 4,214 The Corporate category includes expenses that are not fully allocated to the Medical Device and In Vitro Diagnostics segments. These Corporate costs are related to administrative corporate functions, such as executive management, corporate accounting, information technology, legal, human resources and Board of Directors. Corporate may also include expenses, such as acquisition-related costs and litigation, which are not specific to a segment and thus not allocated to the reportable segments. Asset information by segment is not presented because the Company does not provide its chief operating decision maker assets by segment, as the data is not readily available.

Organization (Policies)

Organization (Policies)	6 Months Ended
	Mar. 31, 2024
Accounting Policies [Abstract]
Description of Business	Description of Business Surmodics, Inc. and subsidiaries (referred to as “Surmodics,” the “Company,” “we,” “us,” “our” and other like terms) is a leading provider of performance coating technologies for intravascular medical devices and chemical and biological components for in vitro diagnostic (“IVD”) immunoassay tests and microarrays. Surmodics develops and commercializes highly differentiated vascular intervention medical devices that are designed to address unmet clinical needs and engineered to the most demanding requirements. This key growth strategy leverages the combination of the Company’s expertise in proprietary surface modification and drug-delivery coating technologies, along with its device design, development and manufacturing capabilities. The Company’s mission is to improve the detection and treatment of disease. Surmodics is headquartered in Eden Prairie, Minnesota.
Basis of Presentation and Principles of Consolidation	Basis of Presentation and Principles of Consolidation The accompanying unaudited condensed consolidated financial statements include all accounts and wholly-owned subsidiaries and have been prepared in accordance with accounting principles generally accepted in the U.S. (“GAAP”). All intercompany transactions have been eliminated. The Company operates on a fiscal year ending on September 30. In accordance with the rules and regulations of the U.S. Securities and Exchange Commission (“SEC”), the Company has omitted footnote disclosures that would substantially duplicate the disclosures contained in the audited consolidated financial statements of the Company. These unaudited condensed consolidated financial statements should be read together with the audited consolidated financial statements for the fiscal year ended September 30, 2023, and notes thereto included in our Annual Report on Form 10-K as filed with the SEC.
Use of Estimates	Use of Estimates The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent liabilities at the date of the condensed consolidated financial statements and the reported amounts of revenue and expenses during the reporting period. Ultimate results could differ from those estimates. The results of operations for the three and six months ended March 31, 2024 are not necessarily indicative of the results that may be expected for the entire 2024 fiscal year.
New Accounting Pronouncements	New Accounting Pronouncements Not Yet Adopted In November 2023, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2023-07, Segment Reporting: Improvements to Reportable Segment Disclosures . This guidance requires disclosure of incremental segment information on an annual and interim basis. This amendment is effective for our fiscal year ending September 30, 2025 and interim periods within our fiscal year ending September 30, 2026. We are currently assessing the impact of this guidance on our disclosures. In December 2023, the FASB issued ASU No. 2023-09, Income Taxes: Improvements to Income Tax Disclosures . This guidance requires consistent categories and greater disaggregation of information in the rate reconciliation and disclosures of income taxes paid by jurisdiction. This amendment is effective for our fiscal year ending September 30, 2026 and interim periods within our fiscal year ending September 30, 2027. We are currently assessing the impact of this guidance on our disclosures. No other new accounting pronouncement issued or effective during the fiscal year has had, or is expected to have, a material impact on the Company’s condensed consolidated financial statements.
Net Loss Per Share Data	Basic net income (loss) per common share is calculated by dividing net income (loss) by the weighted average number of common shares outstanding during the period. Diluted net income (loss) per common share is computed by dividing net income (loss) by the weighted average number of common and common equivalent shares outstanding during the period. The Company’s potentially dilutive common shares are those that result from dilutive common stock options and non-vested stock relating to restricted stock awards and restricted stock units. The calculation of diluted loss per share excluded 0.1 million or less in weighted-average shares for each of the three months ended March 31, 2024 and 2023 and 0.1 million or less in weighted average shares for each of the six months ended March 31, 2024 and 2023 , as their effect was anti-dilutive. Basic and diluted weighted average shares outstanding were as follows:
Income Taxes	For interim income tax reporting, the Company estimates its full-year effective tax rate and applies it to fiscal year-to-date pretax income (loss), excluding unusual or infrequently occurring discrete items. Tax jurisdictions with losses for which tax benefits cannot be realized are excluded.
Income Tax Uncertainties	The Company files income tax returns, including returns for its subsidiaries, in the U.S. federal jurisdiction and in various state jurisdictions, as well as several non-U.S. jurisdictions. Uncertain tax positions are related to tax years that remain subject to examination. The Internal Rev enue Service commenced an examination of the Company’s fiscal 2019 U.S. federal tax return in fiscal 2022; the examination has not been completed. U.S . federal income tax returns for years prior to fiscal 2019 are no longer subject to examination by federal tax authorities. For tax returns for U.S. state and local jurisdictions, the Company is no longer subject to examination for tax years generally before fiscal 2013. For tax returns for non-U.S. jurisdictions, the Company is no longer subject to income tax examination for years prior to 2019.

Revenue (Tables)

Revenue (Tables)	6 Months Ended
	Mar. 31, 2024
Revenue from Contract with Customer [Abstract]
Summary of Disaggregation of Revenue Within Reportable Segment	The following table is a disaggregation of revenue within each reportable segment. Three Months Ended March 31, Six Months Ended March 31, (In thousands) 2024 2023 2024 2023 Medical Device Product sales $ 11,100 $ 7,914 $ 23,050 $ 16,294 Royalties & license fees – performance coatings 10,323 8,098 18,531 15,567 License fees – SurVeil DCB 1,088 1,331 2,059 2,627 Research, development and other 2,315 2,364 4,731 4,237 Medical Device Revenue 24,826 19,707 48,371 38,725 In Vitro Diagnostics Product sales 6,999 7,436 13,876 13,290 Research, development and other 133 55 263 116 In Vitro Diagnostics Revenue 7,132 7,491 14,139 13,406 Total Revenue $ 31,958 $ 27,198 $ 62,510 $ 52,131

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	6 Months Ended
	Mar. 31, 2024
Fair Value Disclosures [Abstract]
Assets and Liabilities Measured at Fair Value on Recurring Basis	Assets and liabilities measured at fair value on a recurring basis by level of the fair value hierarchy were as follows: March 31, 2024 (In thousands) Quoted Prices in Active Markets for Identical Instruments Significant Other Significant Total Fair Value Assets Cash equivalents (1) $ — $ 24,297 $ — $ 24,297 Available-for-sale securities (1) — 7,909 — 7,909 Total assets $ — $ 32,206 $ — $ 32,206 Liabilities Interest rate swap (2) — 135 — 135 Total liabilities $ — $ 135 $ — $ 135 September 30, 2023 (In thousands) Quoted Prices in Significant Other Significant Total Fair Value Assets Cash equivalents (1) $ — $ 36,255 $ — $ 36,255 Available-for-sale securities (1) — 3,933 — 3,933 Interest rate swap (2) — 183 — 183 Total assets $ — $ 40,371 $ — $ 40,371 (1) Fair value of cash equivalents (money market funds) and available-for-sale securities (commercial paper and corporate bond securities) was based on quoted vendor prices and broker pricing where all significant inputs are observable. (2) Fair value of interest rate swap is based on forward-looking, one-month term secured overnight financing rate (“Term SOFR”) spot rates and interest rate curves (Note 7).

Supplemental Balance Sheet In_2

Supplemental Balance Sheet Information (Tables)	6 Months Ended
	Mar. 31, 2024
Balance Sheet Related Disclosures [Abstract]
Amortized Cost, Unrealized Holding Gains (Losses) and Fair Value of Available for Sale Securities	The amortized cost, unrealized holding gains and losses, and fair value of available-for-sale securities were as follows: March 31, 2024 (In thousands) Amortized Unrealized Unrealized Fair Commercial paper and corporate bonds $ 7,914 $ — $ ( 5 ) $ 7,909 Available-for-sale securities $ 7,914 $ — $ ( 5 ) $ 7,909 September 30, 2023 (In thousands) Amortized Unrealized Unrealized Fair Commercial paper and corporate bonds $ 3,936 $ — $ ( 3 ) $ 3,933 Available-for-sale securities $ 3,936 $ — $ ( 3 ) $ 3,933
Components of Inventories	Inventories consisted of the following components: March 31, September 30, (In thousands) 2024 2023 Raw materials $ 9,230 $ 8,063 Work-in process 2,508 2,607 Finished products 3,667 4,169 Inventories $ 15,405 $ 14,839
Summary of Prepaids and Other Current Assets	Prepaids and other current assets consisted of the following: March 31, September 30, (In thousands) 2024 2023 Prepaid expenses $ 3,557 $ 2,600 Irish research and development credits receivable 647 1,322 CARES Act employee retention credit receivable (1) — 3,441 Prepaids and other $ 4,204 $ 7,363 (1) As of September 30, 2023, receivable consisted of anticipated reimbursement of personnel expenses, which were incurred in fiscal 2021 and fiscal 2020, as the result of our eligibility for the employee retention credit under the provisions of the Coronavirus Aid, Relief and Economic Security Act (the “CARES Act”). During the second quarter of fiscal 2024, we received payment for this receivable.
Schedule of Intangible Assets	Intangible assets consisted of the following: March 31, 2024 (Dollars in thousands) Weighted Average Original Life (Years) Gross Carrying Amount Accumulated Amortization Net Definite-lived intangible assets: Customer lists and relationships 9.3 $ 11,487 $ ( 10,060 ) $ 1,427 Developed technology 11.9 34,489 ( 12,548 ) 21,941 Patents and other 14.9 2,338 ( 1,502 ) 836 Total definite-lived intangible assets 48,314 ( 24,110 ) 24,204 Unamortized intangible assets: Trademarks and trade names 580 — 580 Total intangible assets $ 48,894 $ ( 24,110 ) $ 24,784 September 30, 2023 (Dollars in thousands) Weighted Average Original Life (Years) Gross Carrying Amount Accumulated Amortization Net Definite-lived intangible assets: Customer lists and relationships 9.3 $ 11,260 $ ( 9,435 ) $ 1,825 Developed technology 11.9 33,929 ( 11,048 ) 22,881 Patents and other 14.9 2,338 ( 1,418 ) 920 Total definite-lived intangible assets 47,527 ( 21,901 ) 25,626 Unamortized intangible assets: Trademarks and trade names 580 — 580 Total intangible assets $ 48,107 $ ( 21,901 ) $ 26,206
Estimated Amortization Expense	Based on the intangible assets in service as of March 31, 2024, estimated amortization expense for future fiscal years was as follows: (In thousands) Remainder of 2024 $ 1,876 2025 3,717 2026 2,826 2027 2,577 2028 2,566 2029 2,566 Thereafter 8,076 Definite-lived intangible assets $ 24,204
Schedule of Carrying Amount of Goodwill By Reportable Segment	Changes in the carrying amount of goodwill by segment were as follows: (In thousands) In Vitro Medical Total Goodwill as of September 30, 2023 $ 8,010 $ 34,936 $ 42,946 Currency translation adjustment — 630 630 Goodwill as of March 31, 2024 $ 8,010 $ 35,566 $ 43,576
Summary of Other Noncurrent Assets	Other noncurrent assets consisted of the following: March 31, September 30, (In thousands) 2024 2023 Operating lease right-of-use assets $ 3,435 $ 2,987 Other 1,029 877 Other assets $ 4,464 $ 3,864
Schedule of Accrued Other Liabilities	Accrued other liabilities consisted of the following: March 31, September 30, (In thousands) 2024 2023 Accrued professional fees $ 430 $ 178 Accrued clinical study expense 579 1,056 Accrued purchases 811 1,142 Deferred consideration (1) 1,746 2,661 Operating lease liabilities, current portion 1,001 872 Other 450 535 Total accrued other liabilities $ 5,017 $ 6,444 (1) As of March 31, 2024 , deferred consideration consisted of the present value of a guaranteed payment to be made in connection with the fiscal 2021 acquisition of Vetex Medical Limited (“Vetex”). As of September 30, 2023, deferred consideration consisted of the present value of guaranteed payments to be made in connection with the fiscal 2021 Vetex acquisition and a fiscal 2018 asset acquisition (Note 11).
Schedule of Other Long-term Liabilities	Other long-term liabilities consisted of the following: March 31, September 30, (In thousands) 2024 2023 Deferred consideration (1) $ 1,645 $ 1,629 Unrecognized tax benefits (2) 3,308 3,332 Operating lease liabilities, less current portion 3,180 2,974 Other 188 125 Other long-term liabilities $ 8,321 $ 8,060 (1) Deferred consideration consisted of the present value of a guaranteed payment to be made in connection with the fiscal 2021 Vetex acquisition (Note 11). (2) Balance of unrecognized tax benefits includes accrued interest and penalties, if applicable (Note 10).

Debt (Tables)

Debt (Tables)	6 Months Ended
	Mar. 31, 2024
Debt Disclosure [Abstract]
Schedule of Debt	Debt consisted of the following: March 31, September 30, (In thousands) 2024 2023 Revolving Credit Facility, Term SOFR + 3.00 % , maturing October 1, 2027 $ 5,000 $ 5,000 Tranche 1 Term Loans, Term SOFR + 5.75 % , maturing October 1, 2027 25,000 25,000 Long-term debt, gross 30,000 30,000 Less: Unamortized debt issuance costs ( 520 ) ( 595 ) Long-term debt, net $ 29,480 $ 29,405

Derivative Financial Instrume_2

Derivative Financial Instruments (Tables)	6 Months Ended
	Mar. 31, 2024
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Schedule of Net Fair Value of Designated Hedge Derivatives Subject to Master Netting Arrangements Reported on Condensed Consolidated Balance Sheets	The net fair value of designated hedge derivatives subject to master netting arrangements reported on the condensed consolidated balance sheets was as follows: Asset (Liability) (In thousands) Gross Recognized Amount Gross Offset Amount Net Amount Presented Cash Collateral Receivable Net Amount Reported Balance Sheet Location March 31, 2024 Interest rate swap $ ( 135 ) $ — $ ( 135 ) $ 527 $ 392 Other assets, noncurrent September 30, 2023 Interest rate swap $ 183 $ — $ 183 $ — $ 183 Other assets, noncurrent
Schedule of Pretax Amounts Recognized in Accumulated Other Comprehensive Loss ("AOCL") for Designated Hedge Derivative Instruments	The pretax amounts recognized in accumulated other comprehensive loss (“AOCL”) for designated hedge derivative instruments were as follows: Three Months Ended March 31, Six Months Ended March 31, (In thousands) 2024 2023 2024 2023 Beginning unrealized net (loss) gain in AOCL $ ( 499 ) $ — $ 183 $ — Net gain (loss) recognized in other comprehensive (loss) income 426 ( 304 ) ( 194 ) ( 748 ) Net (gain) loss reclassified into interest expense ( 62 ) ( 11 ) ( 124 ) 20 Ending unrealized loss in AOCL $ ( 135 ) $ ( 315 ) $ ( 135 ) $ ( 728 )

Stock-based Compensation Plans

Stock-based Compensation Plans (Tables)	6 Months Ended
	Mar. 31, 2024
Share-Based Payment Arrangement [Abstract]
Stock-based Compensation Expenses	Stock-based compensation expense was reported as follows in the condensed consolidated statements of operations: Three Months Ended March 31, Six Months Ended March 31, (In thousands) 2024 2023 2024 2023 Product costs $ 70 $ 72 $ 142 $ 139 Research and development 389 329 759 703 Selling, general and administrative 1,667 1,381 3,193 2,905 Total $ 2,126 $ 1,782 $ 4,094 $ 3,747
Summary of Stock Option Grant Activity	Stock option grant activity was as follows: Six Months Ended March 31, 2024 2023 Stock option grant activity: Stock options granted 281,000 293,000 Weighted average grant date fair value $ 15.70 $ 15.27 Weighted average exercise price $ 33.40 $ 35.40

Net Income (Loss) Per Share D_2

Net Income (Loss) Per Share Data (Tables)	6 Months Ended
	Mar. 31, 2024
Earnings Per Share [Abstract]
Basic and Diluted Weighted Average Shares Outstanding	Basic and Three Months Ended March 31, Six Months Ended March 31, (In thousands) 2024 2023 2024 2023 Basic weighted average shares outstanding 14,152 14,030 14,127 14,010 Dilutive effect of outstanding stock options, non-vested restricted stock, and non-vested restricted stock units 30 — — — Diluted weighted average shares outstanding 14,182 14,030 14,127 14,010

Segment Information (Tables)

Segment Information (Tables)	6 Months Ended
	Mar. 31, 2024
Segment Reporting [Abstract]
Segment Revenue, Operating Income (Loss) and Depreciation and Amortization	Segment revenue, operating in come (loss), and depreciation and amortization were as follows: Three Months Ended March 31, Six Months Ended March 31, (In thousands) 2024 2023 2024 2023 Revenue: Medical Device $ 24,826 $ 19,707 $ 48,371 $ 38,725 In Vitro Diagnostics 7,132 7,491 14,139 13,406 Total revenue $ 31,958 $ 27,198 $ 62,510 $ 52,131 Operating income (loss): Medical Device $ 302 $ ( 7,059 ) $ 78 $ ( 14,294 ) In Vitro Diagnostics 3,356 3,636 6,480 6,584 Total segment operating income (loss) 3,658 ( 3,423 ) 6,558 ( 7,710 ) Corporate ( 2,999 ) ( 3,160 ) ( 6,221 ) ( 6,102 ) Total operating income (loss) $ 659 $ ( 6,583 ) $ 337 $ ( 13,812 ) Depreciation and amortization: Medical Device $ 1,916 $ 1,933 $ 3,970 $ 3,886 In Vitro Diagnostics 96 75 193 152 Corporate 84 84 266 176 Total depreciation and amortization $ 2,096 $ 2,092 $ 4,429 $ 4,214

Revenue - Summary of Disaggrega

Revenue - Summary of Disaggregation of Revenue Within Reportable Segment (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Mar. 31, 2024	Mar. 31, 2023	Mar. 31, 2024	Mar. 31, 2023
Disaggregation Of Revenue [Line Items]
Total revenue	$ 31,958	$ 27,198	$ 62,510	$ 52,131
Product Sales [Member]
Disaggregation Of Revenue [Line Items]
Total revenue	18,099	15,350	36,926	29,584
Royalties [Member]
Disaggregation Of Revenue [Line Items]
Total revenue	11,411	9,429	20,590	18,194
Research, Development and Other [Member]
Disaggregation Of Revenue [Line Items]
Total revenue	2,448	2,419	4,994	4,353
Operating Segments [Member]
Disaggregation Of Revenue [Line Items]
Total revenue	31,958	27,198	62,510	52,131
Operating Segments [Member] | Medical Device [Member]
Disaggregation Of Revenue [Line Items]
Total revenue	24,826	19,707	48,371	38,725
Operating Segments [Member] | Medical Device [Member] | Product Sales [Member]
Disaggregation Of Revenue [Line Items]
Total revenue	11,100	7,914	23,050	16,294
Operating Segments [Member] | Medical Device [Member] | Royalties [Member] | Performance Coatings [Member]
Disaggregation Of Revenue [Line Items]
Total revenue	10,323	8,098	18,531	15,567
Operating Segments [Member] | Medical Device [Member] | License Fees [Member]
Disaggregation Of Revenue [Line Items]
Total revenue	1,088	1,331	2,059	2,627
Operating Segments [Member] | Medical Device [Member] | Research, Development and Other [Member]
Disaggregation Of Revenue [Line Items]
Total revenue	2,315	2,364	4,731	4,237
Operating Segments [Member] | In Vitro Diagnostics [Member]
Disaggregation Of Revenue [Line Items]
Total revenue	7,132	7,491	14,139	13,406
Operating Segments [Member] | In Vitro Diagnostics [Member] | Product Sales [Member]
Disaggregation Of Revenue [Line Items]
Total revenue	6,999	7,436	13,876	13,290
Operating Segments [Member] | In Vitro Diagnostics [Member] | Research, Development and Other [Member]
Disaggregation Of Revenue [Line Items]
Total revenue	$ 133	$ 55	$ 263	$ 116

Revenue - Additional Informatio

Revenue - Additional Information (Detail) - USD ($) $ in Thousands	6 Months Ended
	Mar. 31, 2024	Mar. 31, 2023	Sep. 30, 2023
Disaggregation of Revenue [Line Items]
Contract assets	$ 10,650		$ 7,796
Deferred revenue, total	4,700		$ 6,800
Revenue recognized included in deferred revenue balance at beginning of period	2,200	$ 2,600
Abbott Agreement [Member]
Disaggregation of Revenue [Line Items]
Deferred revenue, total	$ 4,500

Collaborative Arrangement - Add

Collaborative Arrangement - Additional Information (Detail 1)	Mar. 31, 2024
Abbott Agreement [Member] | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2024-04-01 | Licence Fees [Member] | Minimum [Member]
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items]
Remaining performance obligation, satisfaction period	1 year

Collaborative Arrangement - A_2

Collaborative Arrangement - Additional Information (Detail) - USD ($) $ in Thousands	3 Months Ended			6 Months Ended		12 Months Ended
	Mar. 31, 2024	Jun. 30, 2023	Mar. 31, 2023	Mar. 31, 2024	Mar. 31, 2023	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2023
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items]
Total revenue	$ 31,958		$ 27,198	$ 62,510	$ 52,131
Revenue recognized included in deferred revenue balance at beginning of period				2,200	2,600
Deferred revenue, total	4,700			4,700						$ 6,800
Royalties and License Fees [Member]
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items]
Total revenue	11,411		$ 9,429	20,590	$ 18,194
Abbott Agreement [Member]
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items]
Collaborative arrangement payment received				87,800
Deferred revenue, total	$ 4,500			$ 4,500
Abbott Agreement [Member] | Upfront Payment [Member]
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items]
Collaborative arrangement payment received									$ 25,000
Abbott Agreement [Member] | Milestone Payment [Member]
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items]
Collaborative arrangement payment received		$ 27,000				$ 15,000	$ 10,800	$ 10,000

Fair Value Measurements - Asset

Fair Value Measurements - Assets and Liabilities Measured at Fair Value on Recurring Basis (Detail) - Assets and Liabilities Measured at Fair Value on a Recurring Basis [Member] - USD ($) $ in Thousands	Mar. 31, 2024	Sep. 30, 2023
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Assets measured at fair value	$ 32,206	$ 40,371
Liabilities measured at fair value	135
Available-for-sale securities/investments [Member]
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Assets measured at fair value	7,909	3,933
Significant Other Observable Inputs (Level 2) [Member]
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Assets measured at fair value	32,206	40,371
Liabilities measured at fair value	135
Significant Other Observable Inputs (Level 2) [Member] | Available-for-sale securities/investments [Member]
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Assets measured at fair value	7,909	3,933
Cash equivalents [Member]
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Assets measured at fair value	24,297	36,255
Cash equivalents [Member] | Significant Other Observable Inputs (Level 2) [Member]
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Assets measured at fair value	24,297	36,255
Interest Rate Swap [Member]
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Assets measured at fair value		183
Liabilities measured at fair value	135
Interest Rate Swap [Member] | Significant Other Observable Inputs (Level 2) [Member]
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Assets measured at fair value		$ 183
Liabilities measured at fair value	$ 135

Supplemental Balance Sheet In_3

Supplemental Balance Sheet Information - Amortized Cost, Unrealized Holding Gains and (Losses) and Fair Value of Available-for-sale Securities (Details) - USD ($) $ in Thousands	Mar. 31, 2024	Sep. 30, 2023
Debt Securities, Available-for-Sale [Line Items]
Amortized Cost	$ 7,914	$ 3,936
Unrealized Losses	(5)	(3)
Fair Value	7,909	3,933
Commercial paper and corporate bonds [Member]
Debt Securities, Available-for-Sale [Line Items]
Amortized Cost	7,914	3,936
Unrealized Losses	(5)	(3)
Fair Value	$ 7,909	$ 3,933

Supplemental Balance Sheet In_4

Supplemental Balance Sheet Information - Components of Inventories (Detail) - USD ($) $ in Thousands	Mar. 31, 2024	Sep. 30, 2023
Inventory Disclosure [Abstract]
Raw materials	$ 9,230	$ 8,063
Work-in process	2,508	2,607
Finished products	3,667	4,169
Inventories	$ 15,405	$ 14,839

Supplemental Balance Sheet In_5

Supplemental Balance Sheet Information - Summary of Prepaids and Other Current Assets (Detail) - USD ($) $ in Thousands	Mar. 31, 2024	Sep. 30, 2023
Prepaid Expense and Other Assets, Current [Abstract]
Prepaid expenses	$ 3,557	$ 2,600
Irish research and development credits receivable	647	1,322
CARES Act employee retention credit receivable		3,441
Prepaids and other	$ 4,204	$ 7,363

Supplemental Balance Sheet In_6

Supplemental Balance Sheet Information - Additional Information (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Mar. 31, 2024	Mar. 31, 2023	Mar. 31, 2024	Mar. 31, 2023
Balance Sheet Related Disclosures [Abstract]
Amortization expense	$ 0.9	$ 0.9	$ 1.9	$ 1.9

Supplemental Balance Sheet In_7

Supplemental Balance Sheet Information - Schedule of Intangible Assets (Detail) - USD ($) $ in Thousands	Mar. 31, 2024	Sep. 30, 2023
Intangible Assets [Line Items]
Definite-lived intangible assets, Accumulated Amortization	$ (24,110)	$ (21,901)
Definite-lived intangible assets, Net	24,204
Intangible assets, Gross Carrying Amount	48,894	48,107
Intangible assets, Net	$ 24,784	$ 26,206
Customer Lists and Relationships [Member]
Intangible Assets [Line Items]
Definite-lived intangible assets, Weighted Average Original Life (Years)	9 years 3 months 18 days	9 years 3 months 18 days
Definite-lived intangible assets, Gross Carrying Amount	$ 11,487	$ 11,260
Definite-lived intangible assets, Accumulated Amortization	(10,060)	(9,435)
Definite-lived intangible assets, Net	$ 1,427	$ 1,825
Developed Technology [Member]
Intangible Assets [Line Items]
Definite-lived intangible assets, Weighted Average Original Life (Years)	11 years 10 months 24 days	11 years 10 months 24 days
Definite-lived intangible assets, Gross Carrying Amount	$ 34,489	$ 33,929
Definite-lived intangible assets, Accumulated Amortization	(12,548)	(11,048)
Definite-lived intangible assets, Net	$ 21,941	$ 22,881
Patents and Other [Member]
Intangible Assets [Line Items]
Definite-lived intangible assets, Weighted Average Original Life (Years)	14 years 10 months 24 days	14 years 10 months 24 days
Definite-lived intangible assets, Gross Carrying Amount	$ 2,338	$ 2,338
Definite-lived intangible assets, Accumulated Amortization	(1,502)	(1,418)
Definite-lived intangible assets, Net	836	920
Definite-Lived Intangible Assets [Member]
Intangible Assets [Line Items]
Definite-lived intangible assets, Gross Carrying Amount	48,314	47,527
Definite-lived intangible assets, Accumulated Amortization	(24,110)	(21,901)
Definite-lived intangible assets, Net	24,204	25,626
Trademarks and Trade Names [Member]
Intangible Assets [Line Items]
Indefinite-lived intangible assets, Net	$ 580	$ 580

Supplemental Balance Sheet In_8

Supplemental Balance Sheet Information - Estimated Amortization Expense (Detail) $ in Thousands	Mar. 31, 2024 USD ($)
Goodwill and Intangible Assets Disclosure [Abstract]
Remainder of 2024	$ 1,876
2025	3,717
2026	2,826
2027	2,577
2028	2,566
2029	2,566
Thereafter	8,076
Definite-lived intangible assets, Net	$ 24,204

Supplemental Balance Sheet In_9

Supplemental Balance Sheet Information - Schedule of Carrying Amount of Goodwill by Segment (Detail) $ in Thousands	6 Months Ended
	Mar. 31, 2024 USD ($)
Goodwill [Line Items]
Goodwill as of September 30, 2022	$ 42,946
Currency translation adjustment	630
Goodwill as of March 31, 2024	43,576
In Vitro Diagnostics [Member]
Goodwill [Line Items]
Goodwill as of September 30, 2022	8,010
Goodwill as of March 31, 2024	8,010
Medical Device [Member]
Goodwill [Line Items]
Goodwill as of September 30, 2022	34,936
Currency translation adjustment	630
Goodwill as of March 31, 2024	$ 35,566

Supplemental Balance Sheet I_10

Supplemental Balance Sheet Information - Summary of Other Noncurrent Assets (Detail) - USD ($) $ in Thousands	Mar. 31, 2024	Sep. 30, 2023
Schedule Of Investments [Line Items]
Other assets	$ 4,464	$ 3,864
Operating Lease Right-of-Use Assets [Member]
Schedule Of Investments [Line Items]
Other assets	3,435	2,987
Other [Member]
Schedule Of Investments [Line Items]
Other assets	$ 1,029	$ 877

Supplemental Balance Sheet I_11

Supplemental Balance Sheet Information - Schedule of Accrued Other Liabilities (Detail) - USD ($) $ in Thousands	Mar. 31, 2024	Sep. 30, 2023
Accrued Liabilities, Current [Abstract]
Accrued professional fees	$ 430	$ 178
Accrued clinical study expense	579	1,056
Accrued purchases	811	1,142
Deferred consideration	1,746	2,661
Operating lease liability, current portion	1,001	872
Other	450	535
Total accrued other liabilities	$ 5,017	$ 6,444

Supplemental Balance Sheet I_12

Supplemental Balance Sheet Information - Schedule of Other Long-term Liabilities (Detail) - USD ($) $ in Thousands	Mar. 31, 2024	Sep. 30, 2023
Other Liabilities Disclosure [Abstract]
Deferred consideration	$ 1,645	$ 1,629
Unrecognized tax benefits	3,308	3,332
Operating lease liabilities, less current portion	$ 3,180	$ 2,974
Operating Lease, Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration]	Other long-term liabilities	Other long-term liabilities
Other	$ 188	$ 125
Other long-term liabilities	$ 8,321	$ 8,060

Debt - Schedule of Debt (Detail

Debt - Schedule of Debt (Detail) - USD ($) $ in Thousands	Mar. 31, 2024	Sep. 30, 2023
Schedule of Debt [Line Items]
Long-term debt, gross	$ 30,000	$ 30,000
Less: Unamortized debt issuance costs	(520)	(595)
Long-term debt, net	29,480	29,405
Revolving Credit Facility [Member] | Term SOFR [Member]
Schedule of Debt [Line Items]
Long-term debt, gross	5,000	5,000
Secured Term Loan Facilities [Member] | Term SOFR [Member] | Tranche 1 [Member]
Schedule of Debt [Line Items]
Long-term debt, gross	$ 25,000	$ 25,000

Debt - Schedule of Debt (Parent

Debt - Schedule of Debt (Parenthetical) (Detail) - Term SOFR [Member]	6 Months Ended
	Mar. 31, 2024
Revolving Credit Facility [Member]
Schedule of Debt [Line Items]
Description of variable rate basis	Term SOFR + 3.00%
Debt instrument, basis spread on variable rate	3%
Maturity date	Oct. 01, 2027
Secured Term Loan Facilities [Member] | Tranche 1 [Member]
Schedule of Debt [Line Items]
Description of variable rate basis	Term SOFR +5.75%
Debt instrument, basis spread on variable rate	5.75%
Maturity date	Oct. 01, 2027

Debt - Additional Information (

Debt - Additional Information (Detail) - USD ($)		6 Months Ended
	Oct. 14, 2022	Mar. 31, 2024	Sep. 30, 2023
Line Of Credit Facility [Line Items]
Secured term loan facilities, proceeds at closing		$ 30,000,000	$ 30,000,000
Term Loans [Member] | Tranche 1 [Member] | Secured Overnight Financing Rate [Member]
Line Of Credit Facility [Line Items]
Debt instrument, basis spread on variable rate		5.75%
Description of variable rate basis		Term SOFR +5.75%
Revolving Credit Facility [Member] | Secured Overnight Financing Rate [Member]
Line Of Credit Facility [Line Items]
Debt instrument, basis spread on variable rate		3%
Description of variable rate basis		Term SOFR + 3.00%
MidCap Credit Agreement [Member] | Secured Overnight Financing Rate [Member]
Line Of Credit Facility [Line Items]
Debt instrument, basis spread on variable rate	0.10%
Description of variable rate basis		one-month secured overnight financing rate (“Term SOFR”) as published by CME Group Benchmark Administration Limited plus 0.10%
MidCap Credit Agreement [Member] | Term Loans [Member]
Line Of Credit Facility [Line Items]
Secured term loan facilities, borrowing capacity	$ 75,000,000
Debt instrument, basis spread on variable rate	5.75%
MidCap Credit Agreement, exit fee	2.50%
MidCap Credit Agreement [Member] | Term Loans [Member] | Minimum [Member]
Line Of Credit Facility [Line Items]
Secured term loan facilities, borrowing capacity	$ 10,000,000
MidCap Credit Agreement [Member] | Term Loans [Member] | Minimum [Member] | Secured Overnight Financing Rate [Member]
Line Of Credit Facility [Line Items]
Debt instrument, variable rate floor	1.50%
MidCap Credit Agreement [Member] | Term Loans [Member] | Minimum [Member] | Rolling-four-quarter Core Net Revenue [Member]
Line Of Credit Facility [Line Items]
MidCap Credit Agreement, minimum rolling-four-quarter core net revenue	$ 60,000,000
MidCap Credit Agreement [Member] | Term Loans [Member] | Tranche 1 [Member]
Line Of Credit Facility [Line Items]
Secured term loan facilities, borrowing capacity	25,000,000
Secured term loan facilities, proceeds at closing	25,000,000
Repayments of lines of credit	10,000,000
MidCap Credit Agreement [Member] | Term Loans [Member] | Tranche 2 [Member]
Line Of Credit Facility [Line Items]
Secured term loan facilities, borrowing capacity	50,000,000
MidCap Credit Agreement [Member] | Term Loans [Member] | Tranche 2 [Member] | Minimum [Member] | Rolling-four-quarter Core Net Revenue [Member]
Line Of Credit Facility [Line Items]
Secured term loan facilities, borrowing capacity	25,000,000
MidCap Credit Agreement [Member] | Term Loans [Member] | Additional Tranche [Member] | Maximum [Member]
Line Of Credit Facility [Line Items]
Secured term loan facilities, borrowing capacity	$ 25,000,000
MidCap Credit Agreement [Member] | Term Loans [Member] | Midcap Event Of Default [Member] | Midcap Revolving Credit Facility [Member]
Line Of Credit Facility [Line Items]
MidCap Credit Agreement, interest rate premium upon event of default	2%
MidCap Credit Agreement [Member] | Term Loans [Member] | Year Two [Member]
Line Of Credit Facility [Line Items]
Prepayment penalty	2%
MidCap Credit Agreement [Member] | Term Loans [Member] | Year Three [Member]
Line Of Credit Facility [Line Items]
Prepayment penalty	1%
MidCap Credit Agreement [Member] | Revolving Credit Facility [Member]
Line Of Credit Facility [Line Items]
Revolving credit facility, maximum borrowing capacity	$ 25,000,000
Debt instrument, basis spread on variable rate	3%
Revolving credit facility, minimum borrowing as percentage of availability	20%
Percentage of annual collateral management fee	0.50%
Percentage of annual minimum balance fee	0.50%
Percentage of annual unused line fee	0.50%
MidCap Credit Agreement [Member] | Revolving Credit Facility [Member] | Minimum [Member] | Secured Overnight Financing Rate [Member]
Line Of Credit Facility [Line Items]
Debt instrument, variable rate floor	1.50%
MidCap Credit Agreement [Member] | Revolving Credit Facility [Member] | Tranche 1 [Member]
Line Of Credit Facility [Line Items]
Revolving credit facility, proceeds at closing	$ 5,000,000
MidCap Credit Agreement [Member] | Revolving Credit Facility [Member] | Year Two [Member]
Line Of Credit Facility [Line Items]
Prepayment penalty	2%
MidCap Credit Agreement [Member] | Revolving Credit Facility [Member] | Year Three [Member]
Line Of Credit Facility [Line Items]
Prepayment penalty	1%

Derivative Financial Instrume_3

Derivative Financial Instruments - Schedule of Net Fair Value of Designated Hedge Derivatives Subject to Master Netting Arrangements Reported on Condensed Consolidated Balance Sheets (Detail) - Interest Rate Swap [Member] - USD ($) $ in Thousands	Mar. 31, 2024	Sep. 30, 2023
Offsetting Assets [Line Items]
Gross Recognized Amount	$ (135)
Gross Recognized Amount		$ 183
Net Amount Presented	(135)	183
Cash Collateral Receivable	527
Net Amount Reported	$ 392
Net Amount Reported		$ 183
Derivative Asset, Statement of Financial Position [Extensible Enumeration]	Other Assets, Noncurrent	Other Assets, Noncurrent

Derivative Financial Instrume_4

Derivative Financial Instruments - Schedule of Pretax Amounts Recognized in Accumulated Other Comprehensive Loss ("AOCL") for Designated Hedge Derivative Instruments (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Mar. 31, 2024	Mar. 31, 2023	Mar. 31, 2024	Mar. 31, 2023
Derivative Instruments, Gain (Loss) [Line Items]
Beginning unrealized net (loss) gain in AOCL	$ (499)		$ 183
Net gain (loss) recognized in other comprehensive (loss) income	426	$ (304)	(194)	$ (748)
Net (gain) loss reclassified into interest expense	$ (62)	$ (11)	$ (124)	$ 20
Derivative Instrument, Gain (Loss) Reclassified from AOCI into Income, Effective Portion, Statement of Income or Comprehensive Income [Extensible Enumeration]	Other Comprehensive Income (Loss), Derivative, Excluded Component, Increase (Decrease), Adjustments, after Tax	Other Comprehensive Income (Loss), Derivative, Excluded Component, Increase (Decrease), Adjustments, after Tax	Other Comprehensive Income (Loss), Derivative, Excluded Component, Increase (Decrease), Adjustments, after Tax	Other Comprehensive Income (Loss), Derivative, Excluded Component, Increase (Decrease), Adjustments, after Tax
Ending unrealized loss in AOCL	$ (135)	$ (315)	$ (135)	$ (315)
Ending unrealized loss in AOCL		$ (728)		$ (728)

Stock-based Compensation Plan_2

Stock-based Compensation Plans - Stock-based Compensation Expenses (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Mar. 31, 2024	Mar. 31, 2023	Mar. 31, 2024	Mar. 31, 2023
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Stock-based compensation expense	$ 2,126	$ 1,782	$ 4,094	$ 3,747
Product costs [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Stock-based compensation expense	70	72	142	139
Research and development [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Stock-based compensation expense	389	329	759	703
Selling, general and administrative [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Stock-based compensation expense	$ 1,667	$ 1,381	$ 3,193	$ 2,905

Stock-based Compensation Plan_3

Stock-based Compensation Plans - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Millions	6 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Stock-Based Compensation Activity [Line Items]
Unrecognized compensation costs, nonvested awards, amount	$ 14.9
Unrecognized compensation costs, nonvested awards, weighted average recognition period	2 years 4 months 24 days
Restricted Stock Awards [Member]
Stock-Based Compensation Activity [Line Items]
Units granted	102,000	99,000
Weighted average grant date fair value	$ 33.53	$ 36.05
Restricted Stock Unit Awards [Member]
Stock-Based Compensation Activity [Line Items]
Units granted	14,000	6,000
Weighted average grant date fair value	$ 32.49	$ 31.72
Employee Stock Purchase Plan [Member]
Stock-Based Compensation Activity [Line Items]
Shares issued	16,000	23,000

Stock-based Compensation Plan_4

Stock-based Compensation Plans - Summary of Stock Option Grant Activity (Detail) - Stock Option Awards [Member] - $ / shares	6 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Stock options granted	281,000	293,000
Weighted average grant date fair value	$ 15.70	$ 15.27
Weighted average exercise price	$ 33.40	$ 35.40

Net Income (Loss) Per Share D_3

Net Income (Loss) Per Share Data - Additional Information (Detail) - shares	3 Months Ended		6 Months Ended
	Mar. 31, 2024	Mar. 31, 2023	Mar. 31, 2024	Mar. 31, 2023
Maximum [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	100,000	100,000	100,000	100,000

Net Income (Loss) Per Share D_4

Net Income (Loss) Per Share Data - Basic and Diluted Weighted Average Shares Outstanding (Detail) - shares shares in Thousands	3 Months Ended		6 Months Ended
	Mar. 31, 2024	Mar. 31, 2023	Mar. 31, 2024	Mar. 31, 2023
Earnings Per Share [Abstract]
Basic weighted average shares outstanding	14,152	14,030	14,127	14,010
Dilutive effect of outstanding stock options, non-vested restricted stock, and non-vested restricted stock units	30
Diluted weighted average shares outstanding	14,182	14,030	14,127	14,010

Income Taxes - Additional Infor

Income Taxes - Additional Information (Detail) - USD ($)	3 Months Ended				6 Months Ended
	Mar. 31, 2024	Dec. 31, 2023	Mar. 31, 2023	Dec. 31, 2022	Mar. 31, 2024	Mar. 31, 2023	Sep. 30, 2023
Income Tax Disclosure [Line Items]
Income tax benefit (expense)	$ 81,000		$ (368,000)		$ 19,000	$ (203,000)
U.S. federal statutory tax rate					21%
Valuation allowance percentage	50%				50%
Discrete tax benefits related to stock-based compensation awards					$ 100,000	$ 100,000
Unrecognized tax benefits excluding interest and penalties that would impact effective tax rate	$ 3,600,000				3,600,000		$ 3,100,000
Undistributed earnings in foreign subsidiaries	$ 0				$ 0		$ 0
Maximum [Member]
Income Tax Disclosure [Line Items]
Discrete tax benefits related to stock-based compensation awards		$ 100,000		$ 100,000

Commitments and Contingencies -

Commitments and Contingencies - Additional Information (Detail) $ in Millions	3 Months Ended			6 Months Ended	12 Months Ended					24 Months Ended
	Sep. 30, 2027 USD ($)	Sep. 30, 2024 USD ($)	Dec. 31, 2023 USD ($)	Mar. 31, 2024	Sep. 30, 2023 USD ($)	Sep. 30, 2022 USD ($)	Sep. 30, 2021 USD ($) Installment	Sep. 30, 2020 USD ($)	Sep. 30, 2018 USD ($)	Sep. 30, 2024 USD ($)
Vetex Medical Limited [Member]
Commitments And Contingencies [Line Items]
Consideration paid at closing							$ 39.9
Deferred consideration payment, number of installment | Installment							2
Contingent consideration, contractual value							$ 3.5
Contingency period ending year							2027
Forecast [Member] | Vetex Medical Limited [Member]
Commitments And Contingencies [Line Items]
Deferred consideration, contractual value	$ 1.8	$ 1.8
Embolitech LLC [Member]
Commitments And Contingencies [Line Items]
Contingent payments upon achievement of regulatory milestones			$ 1
Installment payment period				2024
In Process Research and Development | Embolitech LLC [Member]
Commitments And Contingencies [Line Items]
Contingency period ending year			2033
Payments to acquire in-process research and development					$ 1	$ 0.5	$ 1	$ 1	$ 5
In Process Research and Development | Embolitech LLC [Member] | Forecast [Member]
Commitments And Contingencies [Line Items]
Contractual obligation payable in fiscal 2024										$ 0.9

Segment Information - Segment R

Segment Information - Segment Revenue, Operating Income (Loss) and Depreciation and Amortization (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Mar. 31, 2024	Mar. 31, 2023	Mar. 31, 2024	Mar. 31, 2023
Segment Reporting Information [Line Items]
Revenue	$ 31,958	$ 27,198	$ 62,510	$ 52,131
Total operating income (loss)	659	(6,583)	337	(13,812)
Depreciation and amortization	2,096	2,092	4,429	4,214
Operating Segments [Member]
Segment Reporting Information [Line Items]
Revenue	31,958	27,198	62,510	52,131
Total operating income (loss)	3,658	(3,423)	6,558	(7,710)
Operating Segments [Member] | Medical Device [Member]
Segment Reporting Information [Line Items]
Revenue	24,826	19,707	48,371	38,725
Total operating income (loss)	302	(7,059)	78	(14,294)
Depreciation and amortization	1,916	1,933	3,970	3,886
Operating Segments [Member] | In Vitro Diagnostics [Member]
Segment Reporting Information [Line Items]
Revenue	7,132	7,491	14,139	13,406
Total operating income (loss)	3,356	3,636	6,480	6,584
Depreciation and amortization	96	75	193	152
Corporate Non Segment [Member]
Segment Reporting Information [Line Items]
Total operating income (loss)	(2,999)	(3,160)	(6,221)	(6,102)
Depreciation and amortization	$ 84	$ 84	$ 266	$ 176