NYSE$EW

Edwards Lifesciences Corp · Q1 2023 earnings

Q1 2023 earnings · · Investor relations

Briefing

Reported financial results for the quarter ended March 31, 2023.

Edwards Lifesciences reported a strong start to 2023, exceeding expectations with Q1 sales growing 9% to $1.46 billion and adjusted EPS of $0.62. The company raised its full-year sales guidance and expects a return to higher sales growth, driven by its patient-focused innovation strategy.

  • Q1 sales grew 9 percent to $1.46 billion; constant currency sales grew 13 percent.
  • Q1 TAVR sales grew 8 percent; constant currency sales grew 11 percent.
  • Q1 EPS of $0.56; adjusted EPS of $0.62.
  • Raised full year 2023 sales guidance.

Headline financials

Total Revenue

$1.46B

Previous: $1.34B+8.8%
EPS (adj)

$0.62

Previous: $0.60+3.3%
Gross Profit Margin

77.5%

Previous: 77.8%-0.4%
SG&A Expenses

436000000.0%

Previous: 370300000.0%+17.7%
R&D Expenses

261000000.0%

Previous: 228600000.0%+14.2%
Capital Expenditures

-$61.5M

Previous: -$72.7M+15.4%
Free Cash Flow

$279M

Previous: $301M-7.3%
Net Income

$341M

Previous: $374M-8.9%
Operating Income

$388M

Previous: $439M-11.5%
Gross Profit

$1.13B

Previous: $1.04B+8.5%
Cash & Equivalents

$873M

Previous: $1.03B-15.4%
Total Assets

$8.65B

Previous: $8.42B+2.7%
Stock-Based Comp

$38.9M

Previous: $32.4M+20.1%

Revenue & EPS history

Edwards Lifesciences · Revenue · Quarterly

$1.46B

Q1 2023+8.8%vs Q1 2022
Beat estimate in 9 of 15 quarters(60%)
ActualEstimate

Revenue by segment

Edwards Lifesciences · $1.24B total across 3 segments · Q1 2023

  • Transcatheter Aortic Valve Replacement
    $948M+7.6%
  • Surgical Structural Heart
    $248M+12.4%
  • Transcatheter Mitral & Tricuspid
    $41.6M+54.1%

Forward guidance

The company is raising its full year sales guidance for all product groups. Full year 2023 sales are expected to grow 10 to 12 percent. For the second quarter of 2023, the company projects total sales to be between $1.48 and $1.56 billion, and adjusted EPS of $0.62 to $0.68.

Tailwinds

  • Full year 2023 sales are expected to grow 10 to 12 percent.
  • TAVR sales of $3.8 to $4.0 billion.
  • TMTT sales of $170 to $200 million.
  • Critical Care sales of $870 to $940 million.
  • Surgical Structural Heart sales at the high end of its $870 to $970 million range.

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 2023

Historical avgQ1 2023

-1.3%

Avg return

Earnings day

-2.1%

Avg return

5 days after

-1.5%

Avg return

30 days after

50%

35 / 70 earnings

Positive

+11.6%

Q1 2017

Best reaction

-31.4%

Q2 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-1.1%+1.9%+7.7%
Q4 2025+3.0%-1.5%+6.2%
Q3 2025-0.8%-0.8%+3.8%
Q2 2025+0.1%+4.1%-0.8%
Q1 2025+6.6%+8.3%+6.4%
Q4 2024+6.9%+7.4%-2.3%
Q3 2024-1.7%-1.8%-0.2%
Q2 2024-31.4%-26.8%-18.6%
Q1 2024-2.5%-4.4%-0.7%
Q4 2023+0.6%-1.2%+9.0%
Q3 2023-10.9%-11.5%-3.7%
Q2 2023-9.8%-10.5%-16.9%
Q1 2023-1.2%-0.3%-6.6%
Q4 2022+7.1%+8.0%+5.5%
Q3 2022-18.3%-16.3%-12.0%
Q2 2022-4.8%-3.2%-13.6%
Q1 2022-8.3%-11.7%-17.7%
Q4 2021-6.9%-0.3%+3.2%
Q3 2021-0.4%-1.2%-6.4%
Q2 2021+2.0%+4.2%+5.8%
Q1 2021+7.5%+10.0%+4.8%
Q4 2020-3.7%-5.3%-4.0%
Q3 2020-6.0%-7.5%+0.1%
Q2 2020+0.3%-0.6%+1.0%
Q1 2020+3.2%-1.6%+1.1%
Q4 2019-5.5%-2.7%-12.0%
Q3 2019+3.0%+6.8%+8.4%
Q2 2019+10.8%+9.7%+11.7%
Q1 2019-0.3%-1.2%-4.7%
Q4 2018-0.0%+0.8%+2.9%
Q3 2018-6.0%-6.1%-0.7%
Q2 2018-8.5%-8.2%-8.6%
Q1 2018-5.6%-5.8%+0.3%
Q4 2017+4.1%+0.4%+6.3%
Q3 2017-9.4%-10.7%-4.6%
Q2 2017+0.4%-0.6%-3.5%
Q1 2017+11.6%+12.0%+16.5%
Q4 2016-6.8%-6.6%-3.9%
Q3 2016-19.5%-17.8%-25.8%
Q2 2016+7.4%+7.5%+7.7%
Q1 2016+0.9%
Q4 2015+5.7%
Q3 2015+0.7%
Q2 2015+0.7%
Q1 2015-1.8%
Q4 2014+7.5%
Q3 2014+10.9%
Q2 2014+9.4%
Q1 2014+0.7%
Q4 2013+1.0%
Q3 2013-9.3%
Q2 2013+2.3%
Q1 2013-22.8%
Q4 2012-7.1%
Q3 2012-0.3%
Q2 2012+4.5%
Q4 2011-1.6%
Q1 2012+11.6%
Q3 2011-5.9%
Q2 2011-3.5%
Q4 2010+0.5%
Q1 2010+0.5%
Q1 2011-2.1%
Q4 2008-1.7%
Q1 2009-1.7%
Q3 2010+1.3%
Q3 2009+1.3%
Q2 2009+1.3%
Q2 2010+1.3%
Q4 2009+1.3%

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