SurModics Inc ( (SRDX) ) has released its Q1 earnings. Here is a breakdown of the information SurModics Inc presented to its investors.
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Surmodics, Inc. is a prominent provider of medical device and in vitro diagnostic technologies, specializing in performance coatings for intravascular devices and components for diagnostic tests, with a mission to enhance disease detection and treatment. In its first quarter of fiscal year 2025, Surmodics reported a slight decline in total revenue to $29.9 million, a 2% decrease compared to the previous year, alongside a greater net loss of $3.7 million, attributed to merger-related expenses and other operational costs. Despite this, the company achieved growth in its medical device performance coatings royalties and sales of its Pounce thrombectomy platforms, although these gains were offset by a reduction in SurVeil DCB revenue due to prior year’s stocking shipments.
The earnings report highlighted significant strategic developments, including the pending acquisition by GTCR LLC, approved by shareholders and awaiting FTC regulatory clearance. Moreover, the company announced FDA clearance for its Pounce XL Thrombectomy System, broadening its product’s market reach. Additionally, early findings from the PROWL registry study showcased the efficacy of the Pounce Thrombectomy System in treating limb ischemia, demonstrating strong procedural success rates.
Financial metrics revealed a decrease in adjusted EBITDA to $3.6 million from $3.9 million in the prior year, influenced by increased operating expenses mainly due to merger-related charges. Surmodics maintained a solid cash position of $30.1 million despite a $10 million decrease in cash and investments due to higher working capital requirements typical at the beginning of its fiscal year.
Looking forward, Surmodics remains optimistic about completing its merger with GTCR by the end of its second fiscal quarter, contingent upon satisfying remaining regulatory conditions. The company continues to focus on leveraging its technological strengths to expand its product offerings and maintain its strategic growth trajectory.
