Outset Medical, Inc. Announces Solid Q3 2024 Results

Outset Medical, Inc. ( (OM) ) has released its Q3 earnings. Here is a breakdown of the information Outset Medical, Inc. presented to its investors.

Outset Medical, Inc. is a medical technology company that specializes in reducing the cost and complexity of dialysis with its flagship product, the Tablo Hemodialysis System, an innovative solution that can be used in hospitals and homes, transforming the dialysis experience for patients and providers.

Outset Medical has reported its financial results for the third quarter of 2024, showcasing notable achievements in revenue growth and operational performance. The company has expanded its Tablo system’s presence in both acute and home care settings and has reached a record level of recurring revenue.

The third quarter revenue increased to $28.7 million, marking a 5% rise from the previous quarter, though there was a 6% decline from the same period last year. Product revenue was up by 6% sequentially, and recurring revenue saw a significant 17% increase from the prior year. Operating expenses decreased by 36% from the previous year, contributing to a reduced net loss of $27.9 million compared to $46.2 million in the prior year.

Moreover, Outset Medical’s gross profit improved significantly, with a gross margin increase of nearly 11 percentage points compared to the same period last year. Despite a net loss, the company’s cash reserves remain strong at $179 million, positioning it well for future endeavors.

Looking ahead, Outset Medical has revised its full-year 2024 revenue guidance upwards to approximately $112 million. The company is optimistic about its sales transformation initiatives and anticipates continued growth in its Tablo system across various care settings, aiming to enhance its market presence and financial performance.