Vapotherm (VAPO) Tops Q2 EPS by 4c, Revenues Beat; Offers 3Q Revenue Guidance Above Consensus

Vapotherm (NYSE: VAPO) reported Q2 EPS of ($0.35), $0.04 better than the analyst estimate of ($0.39). Revenue for the quarter came in at $35.2 million versus the consensus estimate of $33.47 million.

Second Quarter 2020 Summary

• Revenue for the second quarter of 2020 was $35.2 million, representing a 193.3% increase over the prior year period
• Worldwide installed base of Precision Flow systems grew by 44.4% compared to the worldwide installed base at the end of the second quarter of 2019
• Gross margin was 50.1% or 460 basis points higher than gross margin of 45.5% in the second quarter of 2019

“The second quarter of 2020 was another transformational quarter for Vapotherm as we continued to see significant customer demand in both new and existing accounts due to COVID-19 and the increased awareness of our high velocity therapy for treating patients suffering from respiratory distress. In the second quarter, we nearly tripled our revenue on a year over year basis, continued the rapid expansion of our worldwide installed base of Precision Flow systems, and took steps to expand our capital equipment manufacturing capabilities in response to the increase in demand for the company’s Precision Flow systems. We also improved our gross margin by 460 basis points despite strong headwinds from higher labor costs and increased supplier freight and expediting fees incurred to meet the increase in production capacity,” said Joe Army, President and CEO of Vapotherm. “Our focus in the third quarter and balance of the year will be meeting the demand of our new and existing accounts, continuing to grow our worldwide installed base, managing our supply chain to support increased production levels, continuing to improve our gross margin, and marching towards a full market release of the Oxygen Assist Module in the U.K. and, potentially, other European markets in the fourth quarter.”

GUIDANCE:

Vapotherm sees Q3 2020 revenue of $24-28 million, versus the consensus of $18.65 million.

For earnings history and earnings-related data on Vapotherm (VAPO) click here.

You May Also Be Interested In

• Tesla plans 'flying' Roadster stunt at SpaceX Texas site as early as August
• Newton Golf Company (NWTG) Reports Q2 Loss of $0.49
• Z Squared outlines AI power strategy and Paradox Data acquisition