Abiomed (Nasdaq:ABMD) shares soared before hours on third-quarter results and the news of its acquisition by Johnson & Johnson (NYSE:JNJ).
Shares of ABMD skyrocketed up more than 50% at $378.30 apiece in morning trading today. MassDevice‘s MedTech 100 Index, which includes stocks of the world’s largest medical device companies, was up more than 2%.
The Danvers, Massachusetts-based company posted profits of $106.1 million for the quarter. That totals $2.32 per share on sales of $265.9 million for the three months ended Sept. 30, 2022.
Abiomed reported an 86.4% bottom-line gain on year-over-year sales growth of 7.2%.
The company said it saw impacts on procedural volumes in July due to extended physician vacations. That, paired with ongoing hospital labor shortages, affected sales. Additionally, Abiomed observed improvements in patient utilization in August and September as these headwinds moderated.
Adjusted to exclude one-time items, Abiomed’s earnings per share came in at $1.30. That registered 26¢ ahead of projections on Wall Street. Sales failed to meet expectations, though, as analysts expected revenues of $273.5 million.
“In our fiscal Q2, Abiomed delivered another double-digit constant currency revenue growth quarter despite the challenging environment in July. This performance highlights the resiliency of our product portfolio, which enables the treatment of urgent and emergent patient populations,” said Michael R. Minogue, Abiomed chair, president and CEO. “We also made significant progress on high-risk PCI, STEMI and cardiogenic shock publications and innovation milestones for the Low-Profile Sheath, Breethe Oxy-1 ECMO System, Impella RP Flex and Impella ECP.
“Our innovation, clinical evidence and dedicated field team will enable long-term, sustainable growth as we become the global standard for the field of heart recovery.”
Abiomed did not provide financial guidance for the remainder of the year.