Embecta Corp Reports Third Quarter Fiscal Year 2024 Financial Results
Intellectia.AI1970-01-01
Embecta Corp. Reports Third Quarter Fiscal Year 2024 Financial Results
Overview Embecta Corp. ("embecta"), a global diabetes care company, reported its financial results for the third quarter of the fiscal year 2024, which ended on June 30, 2024.
Key Financial Metrics
| Financial Metric | Q3 FY2024 | Q2 FY2024 | Q3 FY2023 | YoY Change | QoQ Change | Consensus Estimate |
|---|---|---|---|---|---|---|
| Total Revenue | $272.5M | $272.5M | $286.1M | -4.8% | 0% | $267.43M |
| Earnings Per Share (EPS) | $0.25 | $0.74 (Adjusted) | $0.26 | -3.9% | -1.4% | $0.46 |
| Adjusted EBITDA | $99.2M | $99.2M | $92.2M | +7.6% | 0% | N/A |
Embecta's financial performance in Q3 FY2024 revealed a slight decrease in total revenue by 4.8% year-over-year but exceeded the consensus estimate. Adjusted EBITDA showed a positive 7.6% increase, and despite a minor decline in earnings per share (EPS) from the previous year, adjusted EPS demonstrated growth.
Revenue Performance by Segment
| Revenue Segment | Q3 FY2024 | Q2 FY2024 | Q3 FY2023 | YoY Change | QoQ Change |
|---|---|---|---|---|---|
| U.S. Revenue | $171.5M | $171.5M | $183.8M | -6.7% | 0% |
| International Revenue | $101.0M | $101.0M | $102.3M | -2.5% | 0% |
The company experienced a decline in both U.S. and international revenue segments. U.S. revenues decreased by 6.7%, and international revenues fell by 2.5% on a reported basis. The performance was impacted by volume reductions and unfavorable foreign currency translations.
Key Comments from Company Officers
Embecta's Chief Executive Officer, Devdatt (Dev) Kurdikar, highlighted the company's alignment with expectations and strong margin maintenance despite revenue impacts due to the timing of customer orders. He expressed pride in the advancements made in strategic priorities, such as the ERP system, service capabilities, and infrastructure. Kurdikar also noted progress on regulatory submissions and the company's favorable outlook, which prompted a raised fiscal 2024 financial guidance.
Dividends
Embecta announced a quarterly cash dividend of $0.15 per share, payable on September 13, 2024, to stockholders of record at the close of business on August 27, 2024.
Forward Guidance
Embecta raised its fiscal year 2024 outlook for certain financial metrics, reflecting its strong year-to-date performance and positive future outlook.
Stock Price Movement
Following the earnings release, Embecta's stock price moved positively, registering a 3.54% increase.
This summary provides an accurate representation based on the data provided in Embecta Corporation's earnings report for Q3 FY2024, illustrating the company's performance across various financial metrics and operational endeavors.
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