Zoll Medical (NSDQ:ZOLL) started off the year with a bang, touting a big jump in sales and an even bigger leap in earnings for the 3 months ended Jan. 2, 2012.
Zoll raked in $133.7 million in sales during the 1st quarter of 2012, a 18% jump from $113.2 million during the same period last year.
Profits soared to $6.7 million, up 71% from $3.9 million during Q1 2011. EPS grew 61%, to 29 cents per diluted share, compared to 18 cents in Q1 2011.
The company cited strong sales growth for its LifeVest wearable defibrillator as well as for its temperature management portfolio.
LifeVest sales increased 18% in North America to $68.3 million in the latest quarter. Temperature management device sales rose 27% to $7.5 million.
"LifeVest had another good quarter both in the North American market and internationally, particularly given the significant distraction associated with the CMS policy coverage review," CEO Rick Packer said in prepared remarks. "We were pleased with CMS’s reaffirmation of the existing Local Coverage Determination, and we are happy that we will now have the LifeVest team focused on the growth of the business."
ZOLL shares tanked 27% in early August after investors were spooked over a single paragraph in a quarterly report revealing that reimbursement for the company’s flagship device was under review.
Packer was especially grateful for the support that Zoll received from doctors and medical societies during the uncertainty, he told MassDevice at the time.
"We believe we will benefit significantly from the strong clinical and professional society support mobilized during the past few months, particularly as we move through the back half of 2012 and beyond," Packer added in his prepared remarks. "A real bright spot worth noting is that we now have more than 6,000 patients wearing the LifeVest at any given time."
A darker spot for the company was the top line for its AutoPulse cardiac support pump, which slid 17% during the quarter, to $4 million.
"Our biggest source of disappointment coming out of Q1 relates to our AutoPulse performance," Packer noted. "We are refocusing sales attention on this important product, but it will likely take a few more months for our business to reflect the positive trial results. Clearly, we have more work to do to exploit this significant opportunity."
ZOLL shares closed at $64.40 today, down about 4% from yesterday’s close of $67. Shares had gained a little back, rising 1 percent to $65.25 in after-hours trading as of about 7:15 p.m.