Invacare (NYSE:IVC) shares shot up nearly 8% today after the company released preliminary financial results from the first quarter of 2020, ended March 31.
Shares of IVC were up 7.96% at $7.19 per share in late-afternoon trading today.
The Elyria, Ohio-based medical equipment maker expects to report unaudited net sales of approximately $218 million, down 2.2% from the same quarter last year.
Preliminary first-quarter results were largely ahead of the impact had by the COVID-19 pandemic and, when adjusted for negative foreign currency and the divestiture impact from Dynamic Controls last month, sales increased at a rate of 0.1%.
“I am pleased with our first-quarter performance, particularly in light of the significant changes everywhere as a result of the pandemic,” Invacare chairman, president & CEO Matt Monaghan said in a news release. “Our team continues to rise to the challenge of supporting our customers globally. Overall, our preliminary net sales results were in-line with our expectations… As we navigate the uncertain business environment, we continue to allocate more resources to the business units experiencing increased demand and expect to continue taking actions to mitigate the potential negative financial and operational impacts on other parts of our business that may decline.”
Monaghan added that Invacare will offer additional information on its first-quarter earnings announcement and conference call.
The company continues to see demand for its respiratory products, beds and therapeutic support surfaces. Invacare is working to increase its production capacity for those products.
“As an ‘essential business’ making medical devices, Invacare has continued to operate in nearly all of its facilities, having taken the recommended public health measures to ensure worker and workplace safety,” Monaghan said. “We have a remarkably engaged team of associates who have quickly adapted to this new environment and who have continued to enable us to supply critical products used directly in the COVID-19 response, as well as medical solutions for non-elective conditions. I am especially proud of how well our team has reacted to this critical situation.”