IRMD - Earnings call transcript Q1 2024

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Operator

Welcome to IRADIMED CORPORATION First Quarter of 2024 Financial Results Conference Call. [Operator Instructions] This call is being recorded today, May 2, 2024, and contains time-sensitive accurate information only today.

Earlier, IRADIMED released its financial results for the first quarter of 2024. A copy of this press release announcing the company's earnings is available under the heading News on the website, iradimed.com. press Commission also can on at the Securities to be of sec.gov. Exchange and Form copy release furnished was the found A X-K and company's over is Internet broadcast call iramimed.com. live This on being the website at the the And next for XX a the website available replay be will on days.

statements Litigation Some of Reform information forward-looking XXXX. session of meaning will today's the the the Act of constitute in within Private Securities

plans reminds and expected statements that events may factors. Forward-looking performance, focused differ company's IRADIMED future include forward-looking to may future results results, results. these statements you on future the from several and materially due risk

be CORPORATION. with For company's Securities relevant business, free risks section and sec.gov. I to Roger SEC website of a may to the see the Executive which Chief uncertainties filed Mr. Risk Factors description most that IRADIMED and the the obtained the please company's Officer of Exchange call may at affect the turn and reports from of Susi? Susi, over like would Commission, President recent

Roger Susi

Thank morning. us on for you joining today's call. all Good

a our another revenue I'm QX As yet to XXXX announce our IRADIMED quarter This generated of very record quarter. is pleased reported, once net in recent again increase revenue recently row. consecutive in XXth

first of release quarter first were 'XX. $XX.X revenue $X.XX. came GAAP million, As earnings announced, in quarter in this first quarter diluted morning's share at over increase representing press the of the for the XXXX, a per XX.X%

While QX earnings non-GAAP $X.XX over of 'XX. diluted were increase a share, per XX%

by pump compared standpoint in 'XX. monitor MR executing our to and teams revenue QX well. performed XX%, bested and exceptionally of From patient with lines the the well increased inside product the IV All QX, outside

QX, as strength line exceeded of greatly pump doesn't bookings expectations. in one product this other product However, the MR for IV the show over the

revenue. of So the expect may we pump turn in in that table actually favor QX,

to orders offered our longer maintenance As notified years would and I that X be customers prompted quarters to for devices. the the fitting newer expected, seen products upcoming which hope inroads markets, This, well. we continue FMD we pumps as with such remain continue in older be to QX, product. our in extended we has our To previously we've see pump major while viable discussed, older no make and for sure, in with their uptick as

facility for on Previously, I managed We those and recently lines, construction remains moving began these products of and foresee. over a to its date. square quarters in continued coming posted the development next improve Orlando, these business spending work anticipate efficiencies and lead the our Florida, operations, backlog, the foot is disposables financial time to here consolidate as in our orders we spoken months. had progresses to and will the we growing, you seen new as keep XX,XXX in about prepare growing, reducing to associated continue of And $XX though towards we and time not growth for reduction expanding though disclosures, have approximately improve construction manufacturing the these production on XX outpaced. Along lead million reduce delivery disposable strong continue we times,

testing. pushing due primarily our regarding focused there XXXX some quite yet MRI is IV of not new very submission still The Now the for are team XXX(k) progress the we and to pump. expanded hard,

months us some changes. ago, undergone to have the reported, very recent staff, previously repeat engaged they their reviewers for with however, excellent tests, under mainly driven feedback and input. consultant on are whom we a X because third-party of Their some has, have ex-FDA As test previous we of from getting devices many

the device. the all done final testing with be on configuration comfortable FDA the Our absolute would ex-FDA more of consultants sleeve, much

referenced, reports delivery the the thus Therefore, test the XX by plan steps the back of clearance aim impact any show version these is XXX(k) very have the weeks. on half of that device should the removing of approximately the in anticipated device, latest to questions, is new X to XXXX. Still revenue with XXXX remain to the expected from and in plan QX the

like our I'd for financial expected performance and quarter Now guidance to the the year. the balance of present coming

of For $X.XX of earnings $X.XX. reiterate $X.XX We the $X.XX to the expect our guidance and financial per GAAP guidance, for revenues non-GAAP of full million million. year diluted second diluted quarter to XXXX. share we of XXXX per $XX.X earnings $XX.X share of to

share We and expect $X.XX to per with diluted diluted $X.XX. million, to report to per GAAP earnings of $XX earnings of $X.XX to non-GAAP $X.XX million of $XX revenues share

cash pleased shareholders. XX, I'm quarterly to Directors has to our a And May pay payable quarterly $X.XX, going reward dividend cash declared of on report dividend forward, Lastly, loyal that XXXX. the we of to Board expect our

turn to the financial review like over our call results. I'd Now Glenn, the quarter's CFO, to Jack to

John Glenn

morning, everyone. good you, and Thank Roger,

a past, reported and non-GAAP both the in results GAAP have been our on As basis.

find measures on the can this measure page these our operating release. You last morning's to reconciliation GAAP of non-GAAP the release description earnings a today's a of measures non-GAAP in and of

XX% XXXX. morning, As of to the $XX.X XX% million. Domestic and first sales quarter this International reported of increase revenue $X.X XXXX to first compared million, an to sales the in quarter million increased we was increased earlier $XX.X of XX%

to for increased increased stable XX% Revenue a XX% margin XXXX revenue. compared XXXX quarter. for XXXX QX a to for margin and the for XX.X% remained in increase first to our gross accounted record $XX.X XX% raw quarter to decreased gross The $X.X and labor XX% overhead while Services driven of increase Device is to total first XX% revenue spending. primarily revenue, compared in by the costs by Disposables from revenue quarter Monitor due XXXX. for $XXX,XXX. The million at QX efficiencies XXXX, million, was increased Domestic revenue the for of offset contracts material XX.X% maintenance Overall, direct

activity of revenue revenue of or commissions, XXXX. is primarily to a expenses $X.X and for increase compared sales due to On expenses of and marketing this and XX% dollar or basis, quarter $X.X expenses. XX% payroll benefit the were higher higher sales Operating first million million expenses sales for

from the As a On the $X.XX a diluted from of quarter, quarter. On XXXX. resulting to first operations for expense recognized compared of income $X.X non-GAAP net effective XXXX, an was was the tax first tax XX.X% operations was during GAAP Cash rate which result, share XXXX quarter of XXXX. quarter the March $X.XX approximately XXXX the compared income of diluted million from for effective XX.X% months grew XX.X% for million adjusted per in quarter, the the in $X.X the $X.X X basis, XXXX. period $X.X XXXX, to share net the a million million quarter. tax for a per rate with income line for same basis, in was of first $X.XX XXXX for for XX, to in ending first $X.XX down We

the negative ended the $X.X our $X.X first $X.X cash in facility For for was free free to flow future quarter million. non-GAAP our purchased compares XXXX, figure land months March X of for a when a XXXX, XX, This million. cash flow, we measure, million of the

that, totaled I Our the XXXX. And questions. of million XX, $XX.X cash cash as operator to equivalents with over the will for call and now turn March

Operator

Instructions] [Operator

the first comes Wittes question of from of ROTH Jason Our line Capital Partners.

Jason Wittes

communications the Monitors it you in sent that yes, the look of on spurred the business, some obviously. quarter? growth may about quite and to Have did this strong, any about terms In field your have competition Monitor

Roger Susi

hear give from understand good it again? sure the to quite How about Jason, not to you. me -- I'm I question, though.

Jason Wittes

going spurred would basically surprising Or you you a that no sounded with longer have the that field know growth Monitors I you quarter. customers after growth? anything mean years. your Have I -- pumps to directive how service X might or done to the to on was this that you're similar the

of your So I'm behind in if curious what's it are what or -- any behind there it? what's thoughts just terms were

Roger Susi

it it's pump little more It's much bit in of a monitor product the said it over than or line matter was -- anything my maybe when I show so timing doesn't comments a else. of one No, really other. strength buried

actually, come and the we -- of out no, quite the is. absolutely it's state-of-the-art that is with So advanced, -- Monitor nature competitive Monitor, but it's as the we've

a absolutely haven't X it, years. even including out we There's of for them be any selling wouldn't -- obsoleting been facet not support. putting of we any sort So letter

strength that's yes, just just the team So the out -- of I going and say, selling monitors. simply it's have just to

Jason Wittes

for Yes, terms that I the new impressive. think of last of XXX(k) And originally, guess XXX(k) quarter it good. it would it Sounds ? strong quarter. submission the I into much sort guess said would in put then you second was stronger XX than it's It I number, you're And for was guess of was the weeks, submit expected the third it about would was in now what saying that X that put I pump, you a when terms to communication, I anticipating.

Roger Susi

months some put And of it, we've it's an we because these to delay has it this the of of been that. on out been anticipated on. here all Yes, on end rely ball a of But them getting here, to focusing what this That's of of parties scheduled abundance month. and by curve getting with caution we'd third redo course, tests. then

add we to yes, XX about weeks going So, that. think X, to it's

rather that's of it puts tied a We very something us somewhere think of to or end So July quarter. that early monthly August. more than

Jason Wittes

to hear good And in maybe mean question. spurring the that. to put growth on a appreciate I be out, precision. then I It's seems communicate definitely that final you pumps.

been pumps you that who's replaced many terms X of years? it I getting been be at you that If no of to the those show of in if ones many give communicated any -- color replacing. know service got don't that that know of you those who's mean us or I after look kind -- can parameters any they're upgrading if how I Has if are can longer now are don't you look been to at give can

Roger Susi

very that question We call. the just were anticipating before

with we big uptick that So We'll along. get mentioned, But And QX. this -- generally, booking substantially say, bookings have I we you, to we'll of large will shortly. some share don't it's from we'll a in pretty definitive like pass didn't give very you in But some to I shortly. a but some have that. the that part numbers metric substantial it's -- we -- rather

Operator

line the Capital. from question Takkinen of Street comes Lake Frank of next Our

Frank Takkinen

then that on strong was had Obviously, hinted congrats Jack, QX be expectations, a and next to versus for the the to on thinking some Was it? pumps at start thought reiterating process? Or outperformance hoping from it quarter was process through your into a was of of nice Roger, expectation QX conservatism? one kind anything I to when thought year. about ask a kind guidance guidance. went just slightly the curious you of versus of you you good the I else the the ordering. there increasing baked function

John Glenn

Well, tried bigger I if I to still guidance I in the here, past certainly second we've yes, the is conservative think hit somewhat from think, much you of be some to that. is Chris, -- in think that the half give. that we I -- And our year order experience think numbers

we year, And So we'll feel for think the provide certainly we maybe best -- the right the confident. throughout is. as for progressed as for reiterate But our that's but us certainly, to guidance now, that. position we year updates

Frank Takkinen

Perfect. Perfect.

just on Obviously, little speaking. backlog, then generally the a a maybe here. follow-up -- plus/minus So on

you in think pump the much and going how you gives disposable but perhaps I you correctly, net backlog of have down burned through some of backlog, the rest Can resulted pump heard the if backlog, the out that increasing. total year? confidence you how visibility I commentary just So

John Glenn

exact it's of line don't in much course, year. probably backlog as give the we came the very of was with again, the numbers, end know. we as But Well, into where the you

but strong, at the backlog stable especially, into visibility, of least and a again, pump sure, quarter lot us a remains out that, gives too, backlog. this good And going So strong for to for due very QX.

Roger Susi

to which we topic, is that with the remains Yes. that the the we're and in what lead trying the last due consistent making side, to saying a pretty the Yes, Maybe side, associated been more half little Jack said. to backlog orders shave time dozen I a the as hardware on as progress, color, though are Frank, with to add backlog disposable quarters. it's

Frank Takkinen

just on for helpful. And maybe the it. more That's Monitor one Got me side. then

fruit replaced of XX,XXX in past, those? share anything I into could you're business quarter-to-quarter and install. talk think, those how about else about systems monitoring the give equipment that opportunity an the and And we've being broader feel of markets. just low-hanging pieces or the talked you just about Monitor penetrated the market Maybe Roger, still side or business, existing about update so the day-to-day then How those? in active you talk on you the us your you feel within

Roger Susi

Yes. Well, good question.

have share the the we don't the of So lion's still still market. We're underdog.

So So still there's We gains fruit every estimate still said against a there's competitor. us bit to right? works. the The course, nudging this the more percentage go. Having on higher that close little we're business, low-hanging that, means way for well-entrenched life. of XX-ish percent incremental to is to quite still it It's a go. just tree. a with of plenty That's

that, their So reach quarter they the up to do little getting, team quarter had and to ladders and bit the certainly. to getting more trying is jumping the before before a than

business, Monitor And at. still and are we which share that scratching large, operating we're open by magnets. with is, the what's still where away at that's But one-to-one existing of

nibbles happen had mentioned as the and pumps have some need the away smooth, already have more in -- developed in like to an let's luck. the bring maybe a than we monitors there. at related effect of say, as get but rolled got to placements we are full or this X to the strategy, pump of quarter hands that We're real starting with little little with nipping features there's be That's the the past make magnet, extra we've X starting we're this onto leaning for to to We few over each And I monitor. And per existing to storage theory. And we presented is just said, multiplier really transport coming transport adopt the one. very one to upside, yet the to a our that out quarters, these monitors. more put starting we still

to quarters on top out And we'll doing transport doing. well of this then for these roll and so effect monitors, each the we've been number monitor they're eat hope really a get MRI. of strategy pretty not one just So still where what we multiplier per

Operator

turn Roger question-and-answer This session. to like Susi it concludes the back now remarks. I would for closing to

Roger Susi

you, our that new we as also stated. we the continued thank are Again, QX performance results, expect Good. with Well, progresses. say, year as we And pleased guided XXXX strong operator. as

So all. we reporting look forward you successes future to you, and to our thank

Operator

Thank you. concludes This the call.

You may now disconnect.

IRadimed (IRMD) 2 May 242024 Q1 Earnings call transcript