Itamar Medical Reports Record Second Quarter 2019 Revenues

World News: . []

CAESAREA, Israel, Aug. 14, 2019 (GLOBE NEWSWIRE) -- Itamar Medical Ltd. (Nasdaq: ITMR) (TASE: ITMR), a company that develops, manufactures and markets non-invasive diagnostic medical devices for sleep apnea with a focus on the cardiology market, today reported unaudited financial results for the three months and six-month periods ended June 30, 2019.

“Itamar Medical is on a quest to be the solution provider for the sleep apnea health epidemic. Our record second quarter revenues demonstrate that we have the right technology and strategies in place to achieve this ambitious goal,” said Gilad Glick, President and Chief Executive Officer of Itamar Medical. “Our focus on the cardiology community was a key factor in our robust second quarter WatchPAT revenue growth of 18% in the U.S. We intend to further grow our share of the $3.5 billion sleep market by continuing to meet the needs of patients, payers and providers and believe this focus will translate into value creation for our shareholders. As evidenced by the recent launches of WatchPAT 300 and WatchPAT ONE, we are delivering game changing solutions. These products increase patient access to sleep apnea diagnosis and management while driving down the cost of care and improving healthcare outcomes.”

Revenues for the second quarter of 2019 increased 21% to $7.4 million, compared to $6.1 million in the same quarter in 2018. Revenue growth was driven by an increase in WatchPAT sales in the U.S. and Europe as well as an increase in EndoPAT™ sales.

WatchPAT revenues for the second quarter of 2019 increased 16% to $6.5 million, compared to $5.6 million in the same quarter in 2018.

U.S. WatchPAT revenues for the second quarter of 2019 increased 18% to $5.0 million, compared to $4.3 million in the same quarter in 2018. Sales from disposables and renewable products were approximately 65% of WatchPAT revenues in the U.S. in the second quarter of 2019, compared to approximately 60% in the same quarter of 2018.

Gross profit for the second quarter of 2019 increased to $5.7 million, compared to $4.6 million in the same quarter in 2018. Gross profit margin for the second quarter of 2019 increased to 77.9%, compared to 76.4% in the same quarter in 2018.

Operating loss for the second quarter of 2019 was $1.7 million, compared to $0.9 million in the same quarter in 2018. The increase in operating loss was mainly due to an increase of $1.3 million in selling and marketing expenses associated with the expansion of the U.S. sales team into new geographical territories and verticals (27 territories and verticals as of June 30, 2019, compared to 19 territories and verticals as of June 30, 2018), and an increase of $0.4 million in general and administrative expenses, mainly due to the listing of the Company’s American Depositary Shares (ADSs) on Nasdaq in February 2019, partially offset by the increase in revenues.

Non-IFRS operating loss for the second quarter of 2019 was $0.9 million, compared to $0.4 million in the same quarter in 2018. Non-IFRS operating loss excludes approximately $0.8 million in share-based payments; depreciation and amortization of property and equipment and intangible assets; change in provision for doubtful and bad debt; and expenses relating to reduction in manpower, compared to $0.5 million of similar expenses for the same quarter in 2018 (see “Use of Non-IFRS Measures” below).

Net loss for the second quarter of 2019 was $2.0 million, compared to $0.4 million in the same quarter in 2018.

Non-IFRS net loss for the second quarter of 2019 was $1.2 million, compared to $0.7 million in the same quarter in 2018. Non-IFRS net loss excludes approximately $0.7 million in share-based payments; depreciation and amortization of property and equipment and intangible assets; change in provision for doubtful and bad debt; expenses relating to reduction in manpower; and gain from reevaluation of derivatives, compared to $0.2 million of similar expenses for the same quarter in 2018 (see “Use of Non-IFRS Measures” below).    

As of June 30, 2019, the Company had cash, cash equivalents and short-term bank deposits of $18.0 million.

Revenues for the six months ended June 30, 2019 increased 16% to $13.4 million, compared to $11.5 million for the six months ended June 30, 2018. Revenue growth for the first six months of 2019 was mainly due to the same reasons as mentioned above, slightly offset due to sales seasonality in Japan.

WatchPAT revenues for the six months ended June 30, 2019 increased 16% to $12.3 million, compared to $10.7 million for the six months ended June 30, 2018.

U.S. WatchPAT revenues for the six months ended June 30, 2019 increased 24% to $9.3 million, compared to $7.5 million for the six months ended June 30, 2018.

Gross profit for the six months ended June 30, 2019 increased to $10.4 million, compared to $8.9 million for the six months ended June 30, 2018. Gross profit margin for the for the six months ended June 30, 2019 was 77.4%, compared to 76.8% for the six months ended June 30, 2018.  

Operating loss for the six months ended June 30, 2019 was $3.0 million, compared to $1.8 million for the six months ended June 30, 2018. The increase in operating loss was mainly due to an increase of $2.2 million in selling and marketing expenses associated with the expansion of the of the U.S. sales team into new geographical territories and verticals, as described above and an increase of $0.4 million in general and administrative expenses, mainly due to the listing of the Company’s ADSs on Nasdaq in February 2019, partially offset by the increase in revenues.

Non-IFRS operating loss for the six months ended June 30, 2019 was $1.9 million, compared to $1.0 million for the six months ended June 30, 2018. Non-IFRS operating loss excludes approximately $1.1 million in share-based payments; depreciation and amortization of property and equipment and intangible asset; change in provision for doubtful and bad debt; and expenses relating to reduction in manpower, compared to $0.8 million of similar expenses for the six months ended June 30, 2018 (see “Use of Non-IFRS Measures” below).

Net loss for the six months ended June 30, 2019 was $3.1 million, compared to $0.3 million for the six months ended June 30, 2018.

Non-IFRS net loss for the for the six months ended June 30, 2019 was $2.4 million, compared to $1.6 million for the six months ended June 30, 2018. Non-IFRS net loss excludes approximately $0.7 million in share-based payments; depreciation and amortization of property and equipment and intangible assets; change in provision for doubtful and bad debt; expenses relating to reduction in manpower; and gain from reevaluation of derivatives, compared to $(1.3) million of similar expenses for the six months ended June 30, 2018 (see “Use of Non-IFRS Measures” below).    

The Company will host a conference call today at 8:00 a.m. Eastern Time, 3:00 p.m. Israel Time to review financial results and provide a corporate update.

To listen live via webcast, please visit , or by .

To participate via phone, please use the dial in information:

U.S. toll-free: 877-407-6184International: 201-389-0877Israel toll-free: 1-809-406-247Passcode: 13692839

Please log in approximately 10 minutes prior to the scheduled start time. The archived webcast will be available in the Events and Presentations section of the Company’s website for at least 60 days following the call.

Itamar Medical is engaged in research, development, sales and marketing of non-invasive medical devices for the diagnosis of respiratory sleep disorders with a focus on the cardiology market. The Company offers a Total Sleep Solution™ to help physicians provide comprehensive sleep apnea management in a variety of clinical environments to optimize patient care and reduce healthcare costs. Its flagship PAT®-based product, the WatchPAT™ device, is a home-use diagnostic device for sleep breathing disorders. It also offers the EndoPAT™ system, an FDA-cleared device to test endothelial dysfunction and to evaluate the risk of heart disease and other cardiovascular diseases. Itamar Medical is a public company traded on the Nasdaq and on the Tel Aviv Stock Exchanges, and is based in Caesarea, Israel with U.S. headquarters based in Atlanta, GA. For additional information visit .

In addition to disclosing financial results prepared in accordance with International Financial Reporting Standards (IFRS) as issued by the International Accounting Standard Board (IASB), this press release contains Non-IFRS financial measures for operating loss and net loss, which are adjusted from results based on IFRS to exclude: (i) share-based payments; (ii) depreciation and amortization of property and equipment and intangible assets; (iii) change in provision for doubtful and bad debt; (iv) expenses relating to reduction in manpower; and (v) loss (gain) from reevaluation of derivatives. Management believes that the Non-IFRS financial measures provided in this press release are useful to investors’ understanding and assessment of the Company’s performance. Management uses both IFRS and Non-IFRS measures when operating and evaluating the Company’s business internally and therefore decided to make these Non-IFRS adjustments available to investors. The presentation of this Non-IFRS financial information is not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with IFRS.

   

More news and information about Itamar Medical

Published By:

Globe Newswire: 11:00 GMT Wednesday 14th August 2019

Published: .

Search for other references to "itamar" on SPi News


Share

Previous StoryNext Story

SPi News is published by Sector Publishing Intelligence Ltd.
© Sector Publishing Intelligence Ltd 2019. [Admin Only]
 
Sector Publishing Intelligence Ltd.
Agriculture House, Acland Road, DORCHESTER, Dorset DT1 1EF United Kingdom
Registered in England and Wales number 07519380.
 
Privacy Policy | Terms and Conditions | Contact Us