The Nashville, Tenn.-based dental aligner maker posted losses of -$44.5 million, or -11¢ per share, on sales of $156.5 million for the three months ended Sept. 30, 2020, for an 88.8% bottom-line gain on a sales decline of -7.2%.
Adjusted to exclude one-time items, earnings per share were also -11¢, 4¢ ahead of Wall Street, while the company topped analysts’ sales estimates by 4.9%.
“Our performance in Q3 was continued validation of the strength of our business model, and the power of the competitive moats around our platform,” SmileDirectClub CEO David Katzman said in a news release. “It also demonstrated our continued focus on controlled growth with profitability. We outlined this strategy in the fourth quarter of 2019, and we have been executing against it in the three quarters since.”
SmileDirectClub did not offer financial guidance for the fourth quarter or for the next fiscal year, but it expects growth with the increasing acceptance of telehealth and, specifically, teledentistry.
SDC shares closed yesterday up 5.8% at $9.96 per share but was sliding before hours today, trading down -3.6% at $9.60 per share.