ICU Medical Inc (ICUI) Reports Q3 2023 Earnings: Revenue Down 7.5%, Net Income Turns Positive
ICU Medical Inc (NASDAQ:ICUI) reported Q3 2023 revenue of $553.3 million, a decrease from $597.9 million in Q3 2022.
The company's GAAP net income for Q3 2023 was $7.2 million, compared to a net loss of $13.2 million in Q3 2022.
GAAP gross profit for Q3 2023 was $183.9 million, slightly down from $186.4 million in Q3 2022.
Adjusted EBITDA was $89.8 million for Q3 2023, compared to $92.6 million for Q3 2022.
On November 6, 2023, ICU Medical Inc (NASDAQ:ICUI), a leading developer and manufacturer of innovative medical products, announced its financial results for the quarter ended September 30, 2023. Despite a decrease in revenue, the company reported a positive net income, a significant improvement from the net loss reported in the same period last year.
Financial Performance
ICU Medical Inc (NASDAQ:ICUI) reported a Q3 2023 revenue of $553.3 million, a 7.5% decrease from $597.9 million in Q3 2022. The GAAP gross profit for the third quarter of 2023 was $183.9 million, compared to $186.4 million in the same period last year. The GAAP gross margin for the third quarter of 2023 was 33%, an increase from 31% in the same period last year.
The company reported a GAAP net income of $7.2 million for Q3 2023, or $0.30 per diluted share, a significant improvement from a GAAP net loss of $13.2 million, or $0.55 per diluted share, for Q3 2022. Adjusted diluted earnings per share for the third quarter of 2023 was $1.57, compared to $1.75 for the third quarter of 2022. Adjusted EBITDA was $89.8 million for the third quarter of 2023, compared to $92.6 million for the third quarter of 2022.
CEO Commentary
ICU Medicals Chief Executive Officer, Vivek Jain, commented on the results, stating,
Third quarter results were generally in line with our previously revised expectations."
Financial Tables
The company's balance sheet shows a decrease in cash and cash equivalents from $208,784 in December 2022 to $197,192 in September 2023. Total assets also decreased from $4,515,641 in December 2022 to $4,376,864 in September 2023. The company's total liabilities and stockholders' equity also decreased from $4,515,641 in December 2022 to $4,376,864 in September 2023.
The company's statement of operations shows a decrease in total revenues from $597,857 in Q3 2022 to $553,311 in Q3 2023. However, the company's net income turned positive, from a loss of $13,208 in Q3 2022 to a gain of $7,238 in Q3 2023.
The company's statement of cash flows shows a decrease in net cash used in operating activities from $60,418 in the first nine months of 2022 to $74,932 in the same period in 2023. Net cash used in investing activities also decreased from $1,885,470 in the first nine months of 2022 to $57,297 in the same period in 2023.
Conclusion
Despite a decrease in revenue, ICU Medical Inc (NASDAQ:ICUI) has managed to turn a net loss into a net income in Q3 2023. This shows a significant improvement in the company's financial performance, which could potentially attract more investors.
Explore the complete 8-K earnings release (here) from ICU Medical Inc for further details.
This article first appeared on GuruFocus.
