Masimo Reports Third Quarter 2009 Financial Results
Q3 2009 Highlights:
– Product revenues increased 14% to $75.1 million from $66.1 million in prior year
– Rainbow revenues increased approximately 100% to $6.0 million from $3.0 million in prior year
– Shipped 26,200 Masimo SET and Masimo Rainbow SET pulse oximetry units
IRVINE, Calif., Nov. 3 /PRNewswire-FirstCall/ — Masimo Corporation (Nasdaq: MASI), the inventor of Pulse CO-Oximetry(TM) and Measure-Through Motion and Low-Perfusion pulse oximetry, today announced its financial results for the third quarter of 2009.
For the third quarter of 2009, Masimo reported product revenues of $75.1 million representing a 14% increase over $66.1 million for the third quarter of 2008. Including royalty revenues, Masimo reported total 2009 third quarter revenues of $87.4 million compared to $78.1 million for the third quarter of 2008. For the third quarter of 2009, Masimo reported earnings per share of $0.22 compared to $0.22 per share for the third quarter of 2008.
Masimo reported that it shipped 26,200 Masimo SET and Masimo Rainbow SET pulse oximetry units, excluding handheld units, during the third quarter of 2009, resulting in over 600,000 Masimo SET and Masimo Rainbow SET pulse oximeters in use worldwide. In the third quarter of 2009, revenues from Masimo Rainbow SET products increased to $6.0 million from $3.0 million in the same prior year quarter.
For the first nine months of 2009, Masimo reported product revenues of $219.7 million representing a 17% increase over $188.0 million for the first nine months of 2008. Including royalty revenues, Masimo reported total 2009 year to date revenues of $256.5 million compared to $224.0 million for the prior year period. For the first nine months of 2009, Masimo reported earnings per share of $0.65, up 20% from $0.54 per share for the first nine months of 2008.
Joe E. Kiani, Chairman and Chief Executive Officer of Masimo, said, “We are encouraged by the continuing growth of our business, especially during a period of historical economic turmoil. We are seeing great enthusiasm combined with solid growth for our latest innovation, Masimo Rainbow SET technology, which has ushered in new noninvasive measurements, including hemoglobin and carbon monoxide.”
Masimo also reported that as of October 3, 2009, cash and cash equivalents totaled $174.7 million, up from $146.9 million at January 3, 2009.
Masimo will hold a conference call today at 1:30 p.m. PT (4:30 p.m. ET) to discuss the results. The dial-in numbers are (888) 520-7182 for domestic callers and +1 (706) 679-9937 for international callers. The reservation number for both dial-in numbers is 35275093. A live web cast of the conference call will be available online from the “Investor Relations” page of the Company’s corporate website at www.masimo.com. After the live web cast, the call will remain available on Masimo’s website through December 3, 2009. In addition, a telephonic replay of the call will be available until November 17, 2009. The replay dial-in numbers are (800) 642-1687 for domestic callers and +1 (706) 645-9291 for international callers. Please use reservation code 35275093.
Masimo (NASDAQ: MASI) develops innovative monitoring technologies that significantly improve patient care-helping solve “unsolvable” problems. In 1995, the company debuted Measure-Through Motion and Low-Perfusion pulse oximetry, known as Masimo SET®, which virtually eliminated false alarms and increased pulse oximetry’s ability to detect life-threatening events. More than 100 independent and objective studies demonstrate Masimo SET provides the most reliable SpO2 and pulse rate measurements even under the most challenging clinical conditions, including patient motion and low peripheral perfusion. In 2005, Masimo introduced Masimo Rainbow SET® Pulse CO-Oximetry(TM), a breakthrough noninvasive blood constituent monitoring platform that can measure many blood constituents that previously required invasive procedures. Rainbow SET continuously and noninvasively measures total hemoglobin (SpHb(TM)), oxygen content (SpOC(TM)), carboxyhemoglobin (SpCO®), methemoglobin (SpMet®), and PVI®, in addition to oxyhemoglobin (SpO2), pulse rate (PR), and perfusion index (PI), allowing early detection and treatment of potentially life-threatening conditions. Founded in 1989, Masimo has the mission of “Improving Patient Outcomes and Reducing Cost of Care by Taking Noninvasive Monitoring to New Sites and Applications.” Additional information about Masimo and its products may be found at www.masimo.com. Information on the company’s website does not form part of this press release.
All statements other than statements of historical facts included in this press release that address activities, events or developments that we expect, believe or anticipate will or may occur in the future are forward-looking statements including, in particular, the statements about: our financial condition, results of operations, prospects and business generally; and expectations regarding our ability to design and deliver innovative new noninvasive technologies. These forward-looking statements are based on management’s current expectations and beliefs and are subject to uncertainties and factors, all of which are difficult to predict and many of which are beyond our control and could cause actual results to differ materially and adversely from those described in the forward-looking statements. These risks include, but are not limited to, those related to: our dependence on Masimo SET and Masimo Rainbow SET products and technologies for substantially all of our revenue; any failure in protecting our intellectual property exposure to competitors’ assertions of intellectual property claims; the highly competitive nature of the markets in which we sell our products and technologies; any failure to continue developing innovative products and technologies; the lack of acceptance of any new products and technologies of ours; obtaining regulatory approval of our current and future products and technologies, including the recently announced total hemoglobin measurement; the risk that the implementation of our international realignment will not produce the anticipated operational and financial benefits, including a continued lower effective tax rate; the loss of our customers the failure to retain and recruit senior management; product liability claims exposure; a failure to obtain expected returns from the amount of intangible assets we have recorded; the maintenance of our brand; the impact of the decline in the worldwide credit markets on us and our customers; the amount and type of equity awards that we may grant to employees and service providers in the future; and other factors discussed in the “Risk Factors” section of our most recent periodic reports filed with the Securities and Exchange Commission (“SEC”), which you may obtain for free on the SEC’s website at www.sec.gov. Although we believe that the expectations reflected in our forward-looking statements are reasonable, we do not know whether our expectations will prove correct. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof, even if subsequently made available by us on our website or otherwise. We do not undertake any obligation to update, amend or clarify these forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required under applicable securities laws.