AVNS Earnings Prediction
The chart below shows how AVNS performed 10 days before and after its earnings report, based on data from the past quarters. Typically, AVNS sees a +3.02% change in stock price 10 days leading up to the earnings, and a -0.37% change 10 days following the report. On the earnings day itself, the stock moves by -1.05%. This data can give you a slight idea of what to expect for the next quarter's release.
AVNS Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
179.60M
3.64%
5.40%
Gross Margin
54.57%
-0.46%
0.09%
Operating Margin
9.74%
-40.14%
-12.17%
Net Margin
-221.05%
-3581.10%
-6488.73%
EPS
-8.64
-3856.52%
-9700.00%
No Data Available
AVNS Earnings Analysis
Avanos Medical Inc Corporation (AVNS.N) Earnings Conference Call
Positive
Enteral Feeding Success: Strong performance in the enteral feeding franchise, serving over 2 million patients in 2024.
Q4 Sales Performance: Sales from continuing operations in Q4 were approximately $180 million, with organic sales up 5% year-over-year.
Earnings and EBITDA Performance: Adjusted diluted earnings per share for Q4 were $0.43, and adjusted EBITDA from continuing operations was nearly $29 million.
Earnings Per Share Increase: For the full year, adjusted diluted earnings per share increased by 31% to $1.35, with adjusted EBITDA of approximately $108 million.
Free Cash Flow Surge: The company generated $83 million of free cash flow in 2024, an increase of almost $70 million compared to the previous year.
Enteral Feeding Growth: The enteral feeding portfolio grew almost 12% organically, reaffirming the company's number one position in the market.
Record Generative Sales Growth: The IVP business achieved record generative sales, supporting ongoing volume procedural share growth.
Trident Product Line Growth: The Trident product line exceeded internal growth expectations, achieving over 20% growth globally.
Deferred Prosecution Agreement Exit: The company exited its deferred prosecution agreement with the DOJ in January 2025, marking a significant milestone in its transformation process.
Negative
Q4 Sales Performance: Sales from continuing operations during Q4 were approximately $180 million, which is a modest performance considering the company's previous expectations.
Impairment Charge Announcement: The company reported a non-cash impairment charge of approximately $437 million, indicating a significant decline in the fair value of its reporting unit.
Sales Decline in Pain Management: Normalized organic sales for the pain management and recovery portfolio were down approximately 3%, highlighting challenges in this segment.
Corporate Segment Decline: The corporate and other segment is anticipated to decline over 20%, reflecting ongoing struggles in certain product categories.
2025 Sales Guidance Outlook: The guidance for 2025 reflects a challenging market environment, with expected net sales in the range of $665 million to $685 million, which is not a significant improvement over 2024.
Tax Rate Impact on Profitability: The anticipated annual effective tax rate of about 27% may further strain profitability in 2025.
Margin Improvement Challenges: The company expects a temporary pause in margin improvement due to currency headwinds and other global macroeconomic factors, which could hinder financial performance.
AVNS FAQs
How does AVNS typically perform around its earnings report dates?
Is Avanos Medical Inc (AVNS) Q4 2024 Earnings Call Summary positive or negative?
How can historical earnings data help predict future stock performance?
AVNS Earning Call Sentiment
Avanos Medical Inc. (AVNS) Q4 2024 Earnings Call Transcript
AVNS.N
-2.23%Positive
Despite strong earnings and an optimistic guidance, the market faces challenges such as a $437 million impairment charge and pricing pressures. While the strategic transformation plan and share repurchase program are positives, uncertainties around HA business and macroeconomic factors temper enthusiasm. The Q&A reveals cautious optimism but lacks clarity on crucial aspects. Given these mixed signals, a neutral stock movement is likely.
