
Insulet Reports First Quarter 2021 Revenue Increase of 27% Year-Over-Year
First Quarter Financial Highlights:
-
First quarter 2021 revenue of
$252.3 million , up 27.4%, or 23.9% in constant currency1, compared to$198.0 million in the prior year, achieving high end of guidance of 20% to 24% on a constant currency basis-
Total Omnipod revenue of
$233.2 million , an increase of 22.9%, or 19.2% in constant currency-
U.S. Omnipod revenue of$143.3 million , an increase of 22.9% -
International Omnipod revenue of
$89.9 million , an increase of 23.0%, or 13.4% in constant currency
-
-
Drug Delivery revenue of
$19.1 million , an increase of 130.1%
-
Total Omnipod revenue of
- Gross margin of 66.4%, up 230 basis points
-
Operating income of
$16.3 million , or 6.5% of revenue, compared to$7.5 million , or 3.8% of revenue, in the prior year -
Net loss of
$0.0 million , or$0.00 per diluted share, compared to net loss of$2.1 million , or$(0.03) per diluted share, in the prior year -
Adjusted EBITDA1 of
$35.1 million , or 13.9% of revenue, compared to$24.3 million , or 12.3% of revenue, in the prior year
Recent Strategic Highlights:
- Presented pivotal data results at the ENDO 2021 diabetes conference in March showing the Omnipod 5 Automated Insulin Delivery System significantly improved time in range and reduced HbA1c, while also maintaining or lowering hypoglycemia, in children, adolescents, and adults, ages 6 to 70 years, with Type 1 diabetes
- Expect to soon publish2 pivotal data results following recent acceptance by Diabetes Care
- Published3 Patient Reported Outcome results from 3,592 users with Type 2 diabetes showing significant and clinically relevant reductions in HbA1c levels for the overall study population, regardless of prior treatment, after 90 days on Omnipod
- Published4 an analysis of 2,911 Omnipod users in the German DPV registry showing a declining frequency of acute complications
-
Achieved record first quarter
U.S. and Total Omnipod new customer starts -
Successfully completed a
$500 million Term Loan B financing, as well as a revolving line of credit, in part to pay down a portion of the outstanding convertible notes due 2024 -
Upgraded by MSCI to an Environmental, Social and Governance rating of AA, second highest on its rating scale and the highest-scoring Healthcare Equipment company in the
U.S. - Advancing sustainability across the Company, as detailed in Insulet’s comprehensive 2020 Sustainability Report5.
“We’re off to a great start in 2021 with strong first quarter revenue results,” said
____________________ | |
1 |
See description of non-GAAP financial measures contained in this release. |
2 |
Diabetes Care - Multicenter Trial of a Tubeless, On-Body Automated Insulin Delivery System with Customizable Glycemic Targets in Pediatric and Adult Participants with Type 1 Diabetes; |
3 |
|
4 |
Diabetes Technology and Therapeutics - Declining Frequency of Acute Complications associated with Tubeless Insulin Pump Use: Data from 2,911 Patients in the German/Austrian DPV Registry; |
5 |
Insulet’s 2020 Sustainability report can be found at: 2020 Sustainability Report. |
2021 Outlook:
Revenue Guidance (in constant currency):
-
For the year ending
December 31, 2021 , the Company is raising the low end of its revenue guidance range to 16% to 20% (previously 15% to 20%). Revenue growth ranges by product line are:-
Total Omnipod of 18% to 21% (previously 17% to 21%)
-
U.S. Omnipod of 22% to 25% (previously 21% to 25%) - International Omnipod of 11% to 15% (previously from 10% to 15%)
-
- Drug Delivery of (11)% to 4%
-
Total Omnipod of 18% to 21% (previously 17% to 21%)
-
For the quarter ending
June 30, 2021 , the Company expects revenue growth of 10% to 14%. Revenue growth ranges by product line are:-
Total Omnipod of 14% to 17%
-
U.S. Omnipod of 17% to 20% - International Omnipod of 10% to 13%
-
- Drug Delivery of (24)% to (16)%
-
Total Omnipod of 14% to 17%
Operating Margin Guidance:
For the year ending
Conference Call:
About
Non-GAAP Measures:
The Company uses the following non-GAAP financial measures:
-
Constant currency revenue growth, which represents the change in revenue between current and prior year periods using a constant currency, the exchange rate in effect during the applicable prior year period.
Insulet presents constant currency revenue growth because management believes it provides meaningful information regarding the Company’s results on a consistent and comparable basis. Management uses this non-GAAP financial measure, in addition to financial measures in accordance with generally accepted accounting principles inthe United States (GAAP), to evaluate the Company’s operating results. It is also one of the performance metrics that determines management incentive compensation.
-
Adjusted EBITDA, which represents net income (loss) plus net interest expense, income tax expense (benefit), depreciation and amortization, stock-based compensation and other significant unusual items, as applicable, and Adjusted EBITDA as a percentage of revenue.
Insulet presents these non-GAAP financial measures because management uses them as supplemental measures in assessing the Company’s operating performance, and the Company believes that they are helpful to investors, and other interested parties as measures of comparative operating performance from period to period. They also are commonly used measures in determining business value and the Company uses them internally to report results.
These non-GAAP financial measures should be considered supplemental to, and not a substitute for, the Company’s reported financial results prepared in accordance with GAAP. Furthermore, the Company’s definition of these non-GAAP measures may differ from a similarly titled measures used by others. Because non-GAAP financial measures exclude the effect of items that will increase or decrease the Company’s reported results of operations,
Forward-Looking Statement:
The 2021 financial results contained in this news release are subject to finalization in connection with the preparation of the Company’s Form 10-Q for the quarter ended
These forward-looking statements involve a number of risks, uncertainties (some of which are beyond Insulet’s control) or other assumptions that may cause actual results or performance to be materially different from those expressed or implied by these forward-looking statements. These risks and uncertainties include, but are not limited to: risks associated with public health crises and pandemics, such as the COVID-19 global pandemic, including the duration of the outbreak, government actions and restrictive measures implemented in response, supply chain disruptions, delays in clinical trials, and other impacts to the business, or on the Company’s ability to execute business continuity plans; the Company’s dependence on its principal product platform, the Omnipod System; the Company’s ability to design, develop, manufacture and commercialize future products; Insulet’s ability to reduce production costs and increase customer orders and manufacturing volumes; adverse changes in general economic conditions; impact of healthcare reform laws; supply problems or price fluctuations with sole source or third-party suppliers on which
|
||||||||
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED) |
||||||||
|
Three Months Ended |
|||||||
(dollars in millions, except per share data) |
2021 |
|
2020 |
|||||
Revenue |
$ |
252.3 |
|
|
$ |
198.0 |
|
|
Cost of revenue |
84.8 |
|
|
71.1 |
|
|||
Gross profit |
167.5 |
|
|
126.9 |
|
|||
Research and development expenses |
40.7 |
|
|
35.5 |
|
|||
Selling, general and administrative expenses |
110.5 |
|
|
83.9 |
|
|||
Operating income |
16.3 |
|
|
7.5 |
|
|||
Interest expense, net |
(13.4 |
) |
|
(10.1 |
) |
|||
Other expense, net |
(2.6 |
) |
|
— |
|
|||
Income (loss) before income taxes |
0.3 |
|
|
(2.6 |
) |
|||
Income tax (expense) benefit |
(0.3 |
) |
|
0.5 |
|
|||
Net loss |
$ |
— |
|
|
$ |
(2.1 |
) |
|
|
|
|
|
|||||
Net loss per share: |
|
|
|
|||||
Basic |
$ |
— |
|
|
$ |
(0.03 |
) |
|
Diluted |
$ |
— |
|
|
$ |
(0.03 |
) |
|
Weighted-average number of common shares outstanding (in thousands): |
|
|
|
|||||
Basic |
66,113 |
|
|
62,884 |
|
|||
Diluted |
66,113 |
|
|
62,884 |
|
|
||||||||
CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED) |
||||||||
(dollars in millions) |
|
|
|
|||||
ASSETS |
|
|
|
|||||
Cash, cash equivalents and short-term investments |
$ |
850.2 |
|
|
$ |
947.6 |
|
|
Accounts receivable, net |
97.9 |
|
|
83.8 |
|
|||
Inventories |
170.1 |
|
|
154.3 |
|
|||
Prepaid expenses and other current assets |
73.6 |
|
|
63.0 |
|
|||
Total current assets |
1,191.8 |
|
|
1,248.7 |
|
|||
Property, plant and equipment, net |
497.9 |
|
|
478.7 |
|
|||
|
69.5 |
|
|
68.5 |
|
|||
Other assets |
80.9 |
|
|
77.0 |
|
|||
Total assets |
$ |
1,840.1 |
|
|
$ |
1,872.9 |
|
|
LIABILITIES AND STOCKHOLDERS’ EQUITY |
|
|
|
|||||
Accounts payable |
$ |
59.1 |
|
|
$ |
54.1 |
|
|
Accrued expenses and other current liabilities |
126.4 |
|
|
153.7 |
|
|||
Total current liabilities |
185.5 |
|
|
207.8 |
|
|||
Long-term debt, net |
1,051.6 |
|
|
1,043.7 |
|
|||
Other liabilities |
17.7 |
|
|
17.8 |
|
|||
Total liabilities |
1,254.8 |
|
|
1,269.3 |
|
|||
Stockholders’ Equity |
585.3 |
|
|
603.6 |
|
|||
Total liabilities and stockholders’ equity |
$ |
1,840.1 |
|
|
$ |
1,872.9 |
|
|
|||||||||||||||||
NON-GAAP RECONCILIATIONS (UNAUDITED) |
|||||||||||||||||
|
|||||||||||||||||
|
|||||||||||||||||
CONSTANT CURRENCY REVENUE GROWTH |
|||||||||||||||||
|
Three Months Ended |
|
|
|
|
|
|
||||||||||
(dollars in millions) |
2021 |
|
2020 |
|
Percent Change |
|
Currency Impact |
|
Constant
|
||||||||
Revenue: |
|
|
|
|
|
|
|
|
|
||||||||
|
$ |
143.3 |
|
|
$ |
116.6 |
|
|
22.9 |
% |
|
— |
% |
|
22.9 |
% |
|
International Omnipod |
89.9 |
|
|
73.1 |
|
|
23.0 |
% |
|
9.6 |
% |
|
13.4 |
% |
|||
Total Omnipod |
233.2 |
|
|
189.7 |
|
|
22.9 |
% |
|
3.7 |
% |
|
19.2 |
% |
|||
Drug Delivery |
19.1 |
|
|
8.3 |
|
|
130.1 |
% |
|
— |
% |
|
130.1 |
% |
|||
Total |
$ |
252.3 |
|
|
$ |
198.0 |
|
|
27.4 |
% |
|
3.5 |
% |
|
23.9 |
% |
|
||||||||||||||
NON-GAAP RECONCILIATIONS (UNAUDITED) |
||||||||||||||
|
||||||||||||||
|
||||||||||||||
ADJUSTED EBITDA |
||||||||||||||
|
Three Months Ended |
|||||||||||||
|
2021 |
|
2020 |
|||||||||||
(dollars in millions) |
Amount |
|
Percent of
|
|
Amount |
|
Percent of
|
|||||||
Net loss |
$ |
— |
|
|
— |
% |
|
$ |
(2.1 |
) |
|
(1.1 |
)% |
|
Interest expense, net |
13.4 |
|
|
|
|
10.1 |
|
|
|
|||||
Income tax expense (benefit) |
0.3 |
|
|
|
|
(0.5 |
) |
|
|
|||||
Depreciation and amortization |
12.8 |
|
|
|
|
8.9 |
|
|
|
|||||
Stock-based compensation expense |
8.6 |
|
|
|
|
7.9 |
|
|
|
|||||
Adjusted EBITDA |
$ |
35.1 |
|
|
13.9 |
% |
|
$ |
24.3 |
|
|
12.3 |
% |
|
||||||||||||||||||
REVENUE GUIDANCE RECONCILIATIONS (UNAUDITED) |
||||||||||||||||||
|
Year Ending |
|||||||||||||||||
|
Low |
|
High |
|||||||||||||||
|
Revenue
|
|
Currency
|
|
Constant
|
|
Revenue
|
|
Currency
|
|
Constant
|
|||||||
|
22 |
% |
|
— |
% |
|
22 |
% |
|
25 |
% |
|
— |
% |
|
25 |
% |
|
International Omnipod |
17 |
% |
|
6 |
% |
|
11 |
% |
|
22 |
% |
|
7 |
% |
|
15 |
% |
|
Total Omnipod |
20 |
% |
|
2 |
% |
|
18 |
% |
|
24 |
% |
|
3 |
% |
|
21 |
% |
|
Drug Delivery |
(11 |
)% |
|
— |
% |
|
(11 |
)% |
|
4 |
% |
|
— |
% |
|
4 |
% |
|
Total |
18 |
% |
|
2 |
% |
|
16 |
% |
|
22 |
% |
|
2 |
% |
|
20 |
% |
|
Three Months Ended |
|||||||||||||||||
|
Low |
|
High |
|||||||||||||||
|
Revenue
|
|
Currency
|
|
Constant
|
|
Revenue
|
|
Currency
|
|
Constant
|
|||||||
|
17 |
% |
|
— |
% |
|
17 |
% |
|
20 |
% |
|
— |
% |
|
20 |
% |
|
International Omnipod |
20 |
% |
|
10 |
% |
|
10 |
% |
|
23 |
% |
|
10 |
% |
|
13 |
% |
|
Total Omnipod |
18 |
% |
|
4 |
% |
|
14 |
% |
|
21 |
% |
|
4 |
% |
|
17 |
% |
|
Drug Delivery |
(24 |
)% |
|
— |
% |
|
(24 |
)% |
|
(16 |
)% |
|
— |
% |
|
(16 |
)% |
|
Total |
13 |
% |
|
3 |
% |
|
10 |
% |
|
17 |
% |
|
3 |
% |
|
14 |
% |
View source version on businesswire.com: https://www.businesswire.com/news/home/20210506005941/en/
Investor Relations Contacts:
Vice President, Investor Relations
(978) 600-7717
dgordon@insulet.com
Media Contact:
Senior Director, Corporate Communications
(978) 932-0611
awiczek@insulet.com
Source: