The New Prague, Minn.-based airway clearance therapy technology developer posted profits of $535,262, or 6¢ per share, on sales of $8 million for the three months ended Sept. 30, 2020, for a -47.2% bottom-line slide on a sales decline of -3.6%.
Adjusted to exclude one-time items, earnings per share were also 6¢, 11¢ ahead of Wall Street projections.
“We were pleased with our strong execution in the first quarter resulting in a 17.9% increase in home care revenue compared to the three months ended June 30, 2020, evidence of an improving environment for our therapy despite continued disruption related to the COVID-19 pandemic,” Electromed president & CEO Kathleen Skarvan said in a news release. “Our strengthening home care business reflects increasing patient face-to-face interaction with physicians and the success of our sales team adapting quickly to a hybrid virtual and face-to-face selling approach. While the institutional side of our business remained soft due to COVID-19, we registered an uptick in hospital orders of disposable wraps compared to the three months ended, June 30, 2020.
“We continue to fund strategic investments for our long-term growth, including research and development on our next generation HFCWO therapy, hiring key sales and marketing personnel and expanding our direct-to-patient marketing to increase awareness of bronchiectasis and SmartVest as an effective treatment. We are confident in our long-term revenue growth potential and remain committed to these strategic investments, while continuing to generate positive operating cash flow and managing the business successfully through the COVID-19 pandemic.”
Electromed did not offer financial guidance for the full year 2021. ELMD shares were down -3.4% at $9.80 per share in late-morning trading today