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ANGO Nasdaq· Angiodynamic Inc
Earnings report Q4 2023

AngioDynamics Reports Decline in Revenue for Latest Quarter

Segments of revenue

AngioDynamics, Inc. reported net sales of $79.07 million for the three months ended November 30, 2023, compared to $85.43 million in the same period last year. This represents a decrease of 7.5% in revenue. For the six months ended November 30, 2023, net sales were $157.75 million, down from $166.97 million in the prior year, reflecting a decline of 5.5%.

Strengths

Despite the decline in revenue, AngioDynamics highlighted several strengths in its financial performance. The company's gross profit for the latest quarter was $40.26 million, resulting in a gross profit margin of 50.9%. This indicates that AngioDynamics has been able to maintain a strong profitability level despite the challenging market conditions. Additionally, the company's operating income for the quarter was ($13.12) million, an improvement compared to the operating loss of ($8.12) million in the same period last year. This positive trend suggests that AngioDynamics has been successful in managing its operating expenses and improving its operational efficiency.

Challenges

The decline in revenue for the latest quarter poses a significant challenge for AngioDynamics. The company's net sales have been negatively impacted by various factors, including increased competition and pricing pressures in the medical device industry. Additionally, the ongoing COVID-19 pandemic has disrupted healthcare systems and delayed elective procedures, which has further affected the demand for AngioDynamics' products. These challenges highlight the need for the company to adapt its strategies and explore new growth opportunities to overcome the revenue decline.

Noteworthy

One noteworthy aspect of AngioDynamics' performance is the gain on sale of assets, which amounted to $47.84 million for the six months ended November 30, 2023. This gain significantly contributed to the company's operating income and helped offset the impact of the decline in revenue. The gain on sale of assets reflects AngioDynamics' efforts to optimize its asset portfolio and streamline its operations.

Summary

AngioDynamics, Inc. faced a decline in revenue for the latest quarter, with net sales decreasing by 7.5% compared to the same period last year. Despite this, the company demonstrated strengths in maintaining a strong gross profit margin and improving its operating income. However, challenges such as increased competition and the impact of the COVID-19 pandemic on healthcare systems continue to pose obstacles to AngioDynamics' revenue growth. The gain on sale of assets was a noteworthy aspect of the company's performance, contributing to its operating income. Moving forward, AngioDynamics will need to address these challenges and explore new growth opportunities to enhance its financial performance.

Source documents

Form 10-Q  filed on Jan 08, 2024
67 pages scanned

Reference data

Company financials Q4 revenue 79.1M
Analyst estimates Q4 EPS missed by -33.33%
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