NASDAQ$MMSI

Merit Medical Systems Inc · Q1 2021 earnings

Q1 2021 earnings · · Investor relations

Briefing

Merit Medical's Q1 2021 results were reported, showing revenue increase and improved profitability.

Merit Medical reported a 2.2% increase in revenue to $248.9 million for Q1 2021. The company's GAAP EPS was $0.19, and non-GAAP EPS was $0.52. They also generated $29 million in free cash flow.

  • Reported revenue increased to $248.9 million, a 2.2% increase year-over-year.
  • Constant currency revenue, organic, increased by 0.6% compared to the prior year.
  • GAAP EPS was $0.19, compared to a GAAP loss per share of ($0.06) in the prior year.
  • Non-GAAP EPS was $0.52, compared to $0.38 in the prior year.

Headline financials

Total Revenue

$249M

Previous: $244M+2.2%
EPS (adj)

$0.52

Previous: $0.38+36.8%
GAAP Operating Margin

5.7%

Previous: 0.6%+850.0%
Non-GAAP Operating Margin

15.6%

Previous: 12.7%+22.8%
Capital Expenditures

-$6.17M

Previous: -$14M+55.8%
Free Cash Flow

$4.79M

Previous: -$17.1M+128.0%
Net Income

$11M

Previous: -$3.15M+447.4%
Operating Income

$14.2M

Previous: $1.36M+942.1%
Gross Profit

$112M

Previous: $104M+7.8%
Cash & Equivalents

$58.5M

Previous: $50.1M+16.9%
Total Assets

$1.65B

Previous: $1.75B-5.6%
Stock-Based Comp

$3.6M

Previous: $2.78M+29.5%

Revenue & EPS history

Merit Medical · Revenue · Quarterly

$249M

Q1 2021+2.2%vs Q1 2020
Beat estimate in 13 of 16 quarters(81%)
ActualEstimate

Revenue by segment

Merit Medical · $7.91M total across 1 segment · Q1 2021

  • Endoscopy
    $7.91M-0.9%

Forward guidance

Merit Medical updated net revenue expectations for the year ending December 31, 2021, expecting net revenue in the range of $994 million to $1,014 million, representing an increase of approximately 3.1% to 5.2% year over year.

Tailwinds

  • Net revenue in the range of $994 million to $1,014 million, representing an increase of approximately 3.1% to 5.2% year over year.
  • The updated net revenue range assumes a benefit from the changes in foreign currency exchange rates in the range of approximately $8.0 million to $8.5 million.
  • Net revenue from the cardiovascular segment of between $963 million and $982 million, representing an increase of approximately 3.1% to 5.2% year-over-year.
  • Net revenue from the endoscopy segment of between $30.8 million and $31.9 million, representing an increase of approximately 4% to 7% year-over-year.
  • GAAP net income in the range of $47.3 million to $55.9 million, or $0.83 to $0.98 per diluted share.

Headwinds

  • Guidance is subject to risks and uncertainties identified in this release and Merit’s filings with the SEC.
  • Potential inability to successfully manage growth through acquisitions generally.
  • Negative changes in economic and industry conditions in the United States or other countries.
  • Expenditures relating to research, development, testing and regulatory approval or clearance of Merit’s products and risks that such products may not be developed successfully or approved for commercial use.
  • Governmental scrutiny and regulation of the medical device industry, including governmental inquiries, investigations and proceedings involving Merit.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q1 2021

Historical avgQ1 2021

-0.1%

Avg return

Earnings day

-0.3%

Avg return

5 days after

+1.8%

Avg return

30 days after

52%

34 / 65 earnings

Positive

+16.5%

Q3 2014

Best reaction

-31.4%

Q3 2019

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+5.2%-6.8%-2.8%
Q4 2025-3.8%-7.2%-16.6%
Q3 2025+5.1%+4.9%+4.3%
Q1 2025-0.1%-0.2%+0.7%
Q4 2024-1.5%+1.0%+1.9%
Q3 2024+2.9%+3.3%+8.3%
Q2 2024+4.0%+5.0%+13.4%
Q1 2024+2.1%+5.2%+7.8%
Q4 2023-5.3%-4.9%-5.9%
Q3 2023+7.7%+7.3%+12.9%
Q2 2023-9.6%-8.3%-16.4%
Q1 2023+4.7%+5.1%+4.3%
Q4 2022+2.8%+1.3%+3.7%
Q3 2022+7.0%+14.6%+19.6%
Q2 2022+6.0%+10.6%+10.0%
Q1 2022-3.7%-4.7%-5.2%
Q4 2021+8.4%+9.3%+5.0%
Q3 2021-1.8%-5.1%-3.5%
Q2 2021+7.6%+3.9%+10.1%
Q1 2021-0.2%+1.4%-5.3%
Q4 2020-1.8%-0.4%+1.9%
Q3 2020+5.2%+1.3%+11.7%
Q2 2020+4.3%-1.9%+11.6%
Q1 2020+9.0%+6.5%+21.4%
Q4 2019+0.4%-9.5%-17.0%
Q3 2019-31.4%-15.5%-7.0%
Q2 2019-24.7%-26.2%-37.2%
Q1 2019-1.9%-4.7%-9.4%
Q4 2018-4.3%-2.1%+1.6%
Q3 2018-4.1%-5.3%-3.5%
Q2 2018+2.8%-3.1%+3.3%
Q1 2018+2.8%+7.5%+18.7%
Q4 2017-2.1%-5.1%-3.3%
Q3 2017-9.7%-11.0%+4.6%
Q2 2017+4.8%+5.5%+4.6%
Q1 2017+8.2%+8.2%+11.6%
Q4 2016+5.9%+4.8%+0.0%
Q3 2016-5.0%-5.0%+5.2%
Q2 2016+6.1%+6.7%+6.5%
Q1 2016+2.5%
Q4 2015-2.8%
Q3 2015-27.3%
Q2 2015+10.7%
Q1 2015+9.5%
Q4 2014+7.7%
Q3 2014+16.5%
Q2 2014-14.4%
Q1 2014-5.4%
Q4 2013+1.2%
Q3 2013+15.4%
Q2 2013+7.6%
Q1 2013-13.9%
Q4 2012-14.7%
Q3 2012-2.8%
Q2 2012-0.5%
Q1 2011-0.7%
Q4 2011-0.7%
Q1 2012+1.1%
Q1 2010-1.6%
Q4 2009-1.6%
Q3 2010-1.1%
Q3 2011-1.1%
Q2 2011+1.6%
Q2 2010+1.6%
Q4 2010+1.6%

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