Medical device firm Shockwave Medical Inc. (SWAV:NASDAQ), which is engaged in developing and commercializing a system of tools that employ the use of intravascular lithotripsy (IVL) to treat complex and severe calcified cardiovascular disease, today announced financial results for the second quarter of 2022 ended June 30, 2022.
The company reported that total revenue in Q2/22 increased by 116% to $120.7 million, compared to $55.9 million in Q2/21. The firm advised that most of the growth was attributed to sales from its coronary product called Shockwave C2 which the company first launched in February 2021. Shockwave Medical said that it is seeing greater adoption of its products as the impacts from the pandemic lessen.
Shockwave Medical stated that gross profit in Q2/22 rose to $104.0 million, up from $46.0 million in Q2/21, and gross margin improved to 86%, compared to 82% in the prior year's corresponding quarter. The company explained that the higher margins were due to product mix changes and continued manufacturing productivity improvements.
The firm advised that for Q2/22 it recorded net income of $25.6 million, or $0.71 per basic and diluted share, versus a net loss of $0.4 million, or net loss of $0.68 per basic and diluted share in Q2/21.
The company added that at of the end of the quarter it held $224.9 million in cash and other liquid assets on its balance sheet.
Shockwave Medical's President and CEO Doug Godshall commented, "Our results in the second quarter were encouraging once again and demonstrated the strength throughout the entire Shockwave organization … The progress of our business across categories and geographies demonstrates the global impact of IVL as a safe, effective technology to address calcified arterial disease and we look forward to continuing to improve outcomes for patients across the globe."
The company touched on recent business activity and mentioned that "shared two-year data from the Disrupt PAD III trial showed that Shockwave IVL maintains superiority to angioplasty in calcified peripheral disease and preserves future treatment options."
The firm also advised that it has received approval from Chinese regulators to sell its Shockwave M5 and S4 Peripheral IVL and Shockwave IVL System with the Shockwave C2 Coronary IVL Catheters in China.
The company offered some forward guidance and advised that it is raising its revenue estimates for FY/22 to between $465-475 million, up from its previous forecasts for $435-455 million. The firm indicated that the higher FY/22 estimates represent a 96-100% increase over the revenue recorded in FY/21.
Shockwave Medical is a medical device firm headquartered in in Santa Clara, Calif. The company develops and commercializes devices that utilize intravascular lithotripsy technology (IVL) to treat calcified plaque in patients who are identified as having coronary vascular, heart valve and peripheral vascular diseases. Shockwave is working to develop products that transform treatment of calcified cardiovascular disease by establish what it hopes will be a new standard of care for the interventional treatment of atherosclerotic cardiovascular disease. The firm noted that it uses IVL, which is a minimally invasive method, to deliver sonic pressure waves that target calcified plaque.
Shockwave Medical began the day with a market cap of around $7.94 billion with approximately 35.79 million shares outstanding and a short interest of about 5.5%. SWAV shares opened nearly 7% higher today at $236.68 (+$14.91, +6.72%) over yesterday's $221.77 closing price and reached a new 52-week high price this morning of $267.3033. The stock has traded today between $236.00 and $267.3033 per share and closed for trading at $259.61 (+$37.84, +17.06%).
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