Latest news with #HDE
Yahoo
19-05-2025
- Business
- Yahoo
AORT Q1 Earnings Call: Early Product Launches and Supply Recovery Drive Outperformance
Medical device company Artivion (NYSE:AORT) reported Q1 CY2025 results beating Wall Street's revenue expectations , with sales up 1.6% year on year to $98.98 million. The company's full-year revenue guidance of $429 million at the midpoint came in 1.2% above analysts' estimates. Its non-GAAP profit of $0.06 per share was $0.02 above analysts' consensus estimates. Is now the time to buy AORT? Find out in our full research report (it's free). Revenue: $98.98 million vs analyst estimates of $94.98 million (1.6% year-on-year growth, 4.2% beat) Adjusted EPS: $0.06 vs analyst estimates of $0.05 ($0.02 beat) Adjusted EBITDA: $17.55 million vs analyst estimates of $16.47 million (17.7% margin, 6.6% beat) The company slightly lifted its revenue guidance for the full year to $429 million at the midpoint from $427.5 million Operating Margin: 2.2%, down from 26% in the same quarter last year Free Cash Flow was -$20.59 million compared to -$9.1 million in the same quarter last year Sales Volumes rose 10.8% year on year (14.2% in the same quarter last year) Market Capitalization: $1.26 billion Artivion's first quarter was shaped by the rapid recovery from a previously disclosed cybersecurity incident and the early momentum of key product launches. CEO Pat Mackin highlighted that supply chain stabilization, particularly for On-X mechanical valves, and clearance of about a third of the tissue processing backlog enabled the company to surpass internal expectations. Management also pointed to double-digit revenue gains in its stent graft and On-X product lines, partially offset by ongoing softness in preservation services due to lingering supply constraints. Looking ahead, management's guidance reflects confidence in accelerating revenue and margin growth, supported by the ongoing U.S. launch of the AMDS device and anticipated recovery in tissue processing volumes. Mackin emphasized the potential for sustained double-digit growth and noted that product mix improvements—especially with AMDS and favorable On-X data—are expected to drive higher gross margins. CFO Lance Berry added that management expects free cash flow to turn positive as the year progresses, with incremental contributions from backlog resolution and new product adoption. Artivion's leadership attributed the quarter's results to faster-than-expected operational normalization, new clinical launches, and growth in select product segments. Key factors driving financial performance and expectations for the rest of the year included: Cybersecurity Incident Recovery: The company made significant progress on restoring operations after the supply chain disruption, clearing a third of the tissue processing backlog ahead of schedule and returning On-X manufacturing to normal levels earlier than anticipated. Stent Graft Expansion: Stent graft revenue grew 19% in constant currency, driven by cross-selling in Europe and initial U.S. uptake of the AMDS device, which received FDA Humanitarian Device Exemption (HDE) approval. Management noted that most current stent graft sales are outside the U.S., but the pipeline aims to expand into new geographies, including the U.S. and Japan. AMDS U.S. Launch: Early feedback from surgeons and adoption by around 150 facilities underscored strong demand, though onboarding varies due to regulatory steps at each hospital. Management expects sequential sales growth for AMDS throughout the year. On-X Valve Performance: On-X revenue rose 11% year-over-year, aided by normalization of supply and favorable clinical data showing improved mortality for patients under 60 compared to bioprosthetic valves. Management cited this as opening a $100 million U.S. market opportunity. Geographic Growth Drivers: Latin America and Asia Pacific posted revenue increases of 26% and 8%, respectively, as regulatory approvals and expanded commercial presence supported growth. Management expects these regions to remain important contributors going forward. Management expects accelerating growth in coming quarters as new product rollouts and backlog resolution offset lingering headwinds. The company's outlook is anchored in continued product adoption and operational recovery. AMDS and NEXUS Pipeline: Broader adoption of AMDS in the U.S. and anticipated approval of the NEXUS stent graft system are viewed as major future growth drivers, with management highlighting their combined $250 million annual U.S. market potential. Tissue Processing Recovery: Full normalization of tissue processing volumes is expected by the end of Q3, which management believes will restore mid-single digit growth in this segment for the full year. Margin Expansion Initiatives: Management pointed to product mix improvements, especially from AMDS and On-X, and SG&A leverage as key levers for adjusted EBITDA margin expansion. Risks cited include the pace of hospital onboarding and the timing of regulatory approvals. John McAulay (Stifel): Asked about the pace of AMDS adoption and whether all 150 facilities could be live by year-end; management stated onboarding is progressing well but timing depends on each hospital's processes. Frank Takkinen (Lake Street Capital): Inquired about surgeon training and the true U.S. market size for AMDS; management reported training has exceeded expectations and the market could expand beyond current estimates if clinical outcomes remain favorable. Mike Matson (Needham & Company): Questioned the timing and financing of the potential Endospan (NEXUS) acquisition; management said the option triggers upon FDA approval, with financing seen as manageable through improved EBITDA and cash flow. Daniel Stauder (Citizens JMP): Sought clarity on foreign exchange headwinds in guidance; management said currency impacts are now expected to be neutral for the year, with constant currency growth emphasized in projections. Jeffrey Cohen (Ladenburg Thalmann): Asked about APAC and Latin America contributions; management cited ongoing product approvals and commercial expansion as sustaining strong growth in both regions. In future quarters, the StockStory team will be watching (1) the pace at which AMDS gains hospital approvals and drives sequential revenue, (2) the resolution of the tissue processing backlog and resulting return to mid-single digit growth in that segment, and (3) continued progress toward U.S. approval for the NEXUS stent graft system. Execution against these milestones will be key for sustained double-digit growth and margin improvement. Artivion currently trades at a forward P/E ratio of 43.9×. In the wake of earnings, is it a buy or sell? See for yourself in our free research report. Market indices reached historic highs following Donald Trump's presidential victory in November 2024, but the outlook for 2025 is clouded by new trade policies that could impact business confidence and growth. While this has caused many investors to adopt a "fearful" wait-and-see approach, we're leaning into our best ideas that can grow regardless of the political or macroeconomic climate. Take advantage of Mr. Market by checking out our Top 6 Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 176% over the last five years. Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-small-cap company Comfort Systems (+782% five-year return). Find your next big winner with StockStory today. 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Yahoo
19-05-2025
- Business
- Yahoo
Germany's HDE projects 2025 online retail revenue up 4%
The German Retail Association (HDE) has revised its projections for the nation's online retail sector, now anticipating a 4% uptick in sales for 2025. The projected growth corresponds to sales of €92.4bn ($103.2bn). The HDE Online Monitor 2025 highlights the food and drugstore categories as primary contributors to this online growth trajectory. Since 2022, online market shares for the two segments have risen by more than 8% and 9% respectively. HDE deputy managing director Stephan Tromp stated: "After several weaker years, online retail is once again the clear growth engine for retail in Germany. Despite the overall unsatisfactory consumer sentiment, online retailers are managing to achieve significantly better sales than in the previous year." Data from the HDE Online Monitor show that online marketplaces now comprise 57% of Germany's total online sales. A significant portion of consumers inadvertently purchase items from international vendors. It is projected that foreign online retailers will generate €8.9bn in sales in 2024, accounting for 10% of the nation's online sales volume. Temu and Shein alone are estimated to contribute between €2.7bn and €3.3bn to these figures. Tromp continued: "The high figures and the strong momentum make it clear that it is high time for politicians to ensure fair competitive conditions with suppliers from the Far East. Competition stimulates business, but this Wild West situation must end: anyone offering goods in this country must adhere to all our rules. The current situation endangers domestic retailers and consumer safety." Meanwhile, the e-commerce industry is awaiting decisive and unequivocal action from both Germany's new government and the EU Commission. "Germany's HDE projects 2025 online retail revenue up 4%" was originally created and published by Retail Insight Network, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site.
Reuters
19-05-2025
- Business
- Reuters
German trade lobby ups online retail forecast for this year
BERLIN, May 19 (Reuters) - Demand is growing for online retail in Germany, the HDE trade association said on Monday, increasing its forecast for the year despite subdued consumer sentiment. The HDE now expects 2025 online retail revenue in Germany to increase by 4% year on year to 92.4 billion euros ($103.6 billion), compared with previously forecast growth of 3%. "Online retail is once again the clear growth driver in retail in Germany after a number of weak years," HDE deputy head Stephan Tromp said in a statement. The HDE said particularly strong growth has been seen in online shopping for food and drugstore goods. German consumer sentiment has improved somewhat in recent months on hopes of economic stimulus under a new government but it remains firmly in negative territory, with trade tensions and a protracted downturn weighing on households. ($1 = 0.8916 euros)
Yahoo
31-01-2025
- Business
- Yahoo
German retailers see slower sales growth over consumer uncertainty
BERLIN (Reuters) - German retail sales rose in 2024, but growth should be more modest this year due to the high level of uncertainty, according to retail association HDE. Last year, retail sales rose 1.1% compared to the previous year in inflation-adjusted terms, official data showed on Friday. The HDE forecasts 0.5% growth in real terms this year. "Consumption and the retail sector in Germany will not really gain momentum in 2025 either," said HDE managing director Stefan Genth. "There is simply too much uncertainty," he said. "Wars, high energy costs and overall economic stagnation are a toxic cocktail for consumption." In nominal terms, retail sales rose by 2.5% in 2024 and are expected to grow by 2.0% in 2025, according to HDE's forecast. The latest HDE survey with 700 retailers shows that 22% of respondents expect sales to increase this year, while almost half of them expect results to be below the previous year's level. In December, retail sales fell by 1.6% compared with the previous month, official data showed. Analysts had predicted a 0.2% increase.
Reuters
31-01-2025
- Business
- Reuters
German retailers see slower sales growth over consumer uncertainty
BERLIN, Jan 31 (Reuters) - German retail sales rose in 2024, but growth should be more modest this year due to the high level of uncertainty, according to retail association HDE. Last year, retail sales rose 1.1% compared to the previous year in inflation-adjusted terms, official data showed on Friday. The HDE forecasts 0.5% growth in real terms this year. "Consumption and the retail sector in Germany will not really gain momentum in 2025 either," said HDE managing director Stefan Genth. "There is simply too much uncertainty," he said. "Wars, high energy costs and overall economic stagnation are a toxic cocktail for consumption." In nominal terms, retail sales rose by 2.5% in 2024 and are expected to grow by 2.0% in 2025, according to HDE's forecast. The latest HDE survey with 700 retailers shows that 22% of respondents expect sales to increase this year, while almost half of them expect results to be below the previous year's level. In December, retail sales fell by 1.6% compared with the previous month, official data showed. Analysts had predicted a 0.2% increase.
