Shares in NxStage Medical (NSDQ:NXTM) rose today after the device maker beat expectations on Wall Street with its 3rd quarter results.
The Lawrence, Mass.-based company posted losses of $890,000, or 0¢ per share, on sales of $92 million for the 3 months ended September 30, for bottom-line growth of 55.5% on sales growth of 6.3% compared with the same period in 2015.
Earnings per share topped consensus on Wall Street, with analysts expecting to see losses per share of -4¢. NxStage also topped revenue expectations, with The Street looking for $89.8 million for the quarter.
Shares have risen significantly on the news, up $2.88, or 13.6%, to trade at $24.05 as of 1:38 p.m. EDT.
“With these solid results and continued positive momentum with our growth drivers, we are raising full-year revenue guidance and cutting our net loss projections in half. In addition to feeling good about a solid finish to the year, we remain confident in our outlook for 2017 and beyond that includes targets for increasing the Company’s revenue growth and profitability. I believe we have a solid foundation, compelling growth drivers and an amazing technology pipeline. We continue to systematically advance one of the industry’s most innovative pipelines. We’re excited to be moving closer to our goals and bringing these significant advancements in renal care to patients and their care teams,” founder & CEO Jeffrey Burbank said in a press release.
NxStage lifted its guidance for the coming year, expecting to see revenue at the high end of $360 to $365 million, with net losses between $4 and $5 million. For the 4th quarter, the company said it expects to see $92 million in revenue with net loss between $1 and $2 million.
The quarter is NxStage Medical’s 12th consecutive quarter of double-digit growth, and its 15th consecutive quarter of sales outperformance, according to Leerink Partner analyst Danielle Antalffy.
In a letter to investors, Antalffy said it expects the company to “successfully achieve sustainable profitability in the 2017 time frame.”