PROCEPT BioRobotics Corporation Reports Third Quarter 2024 Financial Results
SAN JOSE, Calif., Oct. 28, 2024 (GLOBE NEWSWIRE) – PROCEPT BioRobotics Corporation (NASDAQ: PRCT), a surgical robotics company advancing patient care with transformative urology solutions, has announced its unaudited financial results for the third quarter ending September 30, 2024.
Key Financial Metrics
| Metric | Q3 2024 | Q3 2023 | YoY Change | Consensus Estimates |
|---|---|---|---|---|
| Total Revenue | $58.4 million | $35.2 million | +66% | $53.18 million |
| Gross Margin | 63.2% | 53.8% | +9.4 pp | - |
| Net Loss | $21.0 million | $24.6 million | - | - |
| Adjusted EBITDA Loss | $12.4 million | $19.4 million | - | - |
Interpretation: PROCEPT BioRobotics Corporation witnessed a significant year-over-year revenue increase of 66% for Q3 2024, surpassing consensus estimates with $58.4 million compared to $53.18 million. The company also achieved a record gross margin of 63.2%, a notable improvement from 53.8% a year earlier, primarily due to enhanced overhead absorption and a rise in average selling prices of U.S. robotic systems. The net loss decreased to $21.0 million, indicating improved operational efficiency despite ongoing expansion efforts.
Revenue Performance by Segment
| Segment | Q3 2024 Revenue | YoY Change |
|---|---|---|
| U.S. Handpiece & Consumables | $29.6 million | +74% |
| U.S. System & Rental | $19.6 million | +46% |
| International Revenue | $6.2 million | +122% |
Interpretation: The strong growth in U.S. handpiece and consumables revenue, which rose by 74%, highlighted increased demand for PROCEPT BioRobotics products. U.S. system and rental revenue incrementally increased by 46%, while international sales surged by 122%, reflecting successful global market penetration and the effectiveness of the company's strategic initiatives.
Key Developments and Operational Highlights:
- HYDROS Launch: Successfully launched and delivered the HYDROS Robotic System in the third quarter following FDA clearance in August.
- Increased FY2024 Guidance:
- Revenue projected between $222.5 million and $223.0 million.
- Gross margin guidance raised to 61%.
- Adjusted EBITDA loss guidance reduced to $60.0 million from $67.5 million.
- Improved Customer Relations: Effectively managed customer relationships during the implementation phase of new systems.
Executive Comments: Reza Zadno, Chief Executive Officer, praised the PROCEPT team's efforts in launching the HYDROS system and highlighted significant progress in maintaining customer relations during a pivotal growth phase for the company. Zadno emphasized the revenue growth of 66% year-over-year and the achievement of record gross margins as indicative of the company's successful strategic execution.
Forward Guidance: PROCEPT BioRobotics has provided an updated revenue range of $222.5 million to $223.0 million for the full year 2024, with increased forecasted gross margins and an improved Adjusted EBITDA loss estimate reflective of operational efficiencies and market growth prospects.
Stock Price Movement: Following the release of the earnings report, PROCEPT BioRobotics observed a significant stock price increase of approximately 17.3%, suggesting strong investor confidence in the company's performance and future outlook.
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