Full Press Release Details
Reports Third Quarter 2018 Revenue of $151.1 Million, Up 24%
Year-Over-Year, and Gross Margin Over 67%, Up 700 Basis Points
Both Positive Operating and Net Income for the First Time in Insulet's
BILLERICA, Mass.--(BUSINESS WIRE)--November 1, 2018--Insulet Corporation
(NASDAQ: PODD) (Insulet or the Company), the global leader in tubeless
insulin pump technology with its Omnipod Insulin
Management System (Omnipod System), today announced financial results
for the three months ended September 30, 2018.
Third Quarter Financial Highlights:
Third quarter revenue of $151.1 million, up 24%, compared to revenue
of $121.8 million in the prior year, and guidance of $144.5 to $151.5
U.S. Omnipod revenue of $82.0 million, an increase of 17%
International Omnipod revenue of $50.2 million, an increase of 55%
Drug Delivery revenue of $18.9 million, a decrease of 2%
Gross margin of 67.5%, up 700 basis points
Operating income of $6.9 million compared to $2.0 million in the prior
Net income of $1.7 million, or $0.03 per share, compared to a net loss
of $2.2 million, or ($0.04) per share, in the prior year.
"Our team's ongoing commitment to operational excellence and our
expanding opportunities for growth are demonstrated in our strong third
quarter performance," said Patrick Sullivan, Chairman and Chief
Executive Officer. "We grew revenue 24%, achieved gross margin expansion
of 700 basis points and generated both positive operating and net income
for the first time in Insulet's history. We gained traction through the
quarter in our direct European operations, successfully launched the
limited commercial release of our next-generation Omnipod DASH system
and made great progress in both our market access initiatives and the
build out of our U.S. manufacturing facility."
Shacey Petrovic, President and Chief Operating Officer, added, "We are
very pleased with our results to date in 2018 and our team continues to
drive the business forward. We remain on track to achieve both positive
operating income in 2018 and our 2021 revenue and gross margin targets.
Looking ahead, we are confident our innovation, commercial and
operational initiatives are setting a strong foundation to deliver many
more years of growth and value for Insulet shareholders."
For the year ending December 31, 2018, the Company now expects a
revenue range of $558 to $563 million, representing growth of
approximately 20% to 21% (previously $547 to $562 million), compared
to 2017 revenue of $463.8 million.
For the quarter ending December 31, 2018, the Company now expects a
revenue range of $159 to $164 million, representing growth of
approximately 22% to 26% (previously $154.5 to $162.5 million),
compared to fourth quarter 2017 revenue of $130.5 million.
Future results may be affected by changes in ongoing assumptions and
judgments, and may also be affected by non-recurring, unusual or
unanticipated charges, expenses or gains.
Insulet will host a conference call at 4:30 p.m. (Eastern Time) on
November 1, 2018 to discuss the financial results and outlook. The link
to the live call will be available on the Investor Relations section of
the Company's website at http://investors.insulet.com, "Events
and Presentations", and will be archived for future reference. The call
may also be accessed by dialing (844) 831-3022 for domestic callers or
(315) 625-6887 for international callers, passcode 6887887.
About Insulet Corporation:
Insulet Corporation (NASDAQ: PODD), headquartered in Massachusetts, is
an innovative medical device company dedicated to making the lives of
people with diabetes and other conditions easier through the use of its
Omnipod product platform. The Omnipod Insulin Management System provides
a unique alternative to traditional insulin delivery methods. With its
simple, wearable design, the disposable Pod provides up to three days of
non-stop insulin delivery, without the need to see or handle a needle.
Insulet also leverages the unique design of its Pod, by tailoring its
Omnipod technology platform for the delivery of non-insulin subcutaneous
drugs across multiple therapeutic areas. Founded in 2000, more than
140,000 users across the globe rely on Insulet's Omnipod Insulin
Management System to bring simplicity and freedom to their lives.
On July 1, Insulet assumed direct operations of its Omnipod Insulin
Management System product line in Europe, including sales, marketing,
training and customer support activities. This allows Insulet to be
closer to the diabetes community and identify opportunities to support
European customer needs over the long-term, as Insulet does in the
United States and Canada.
For more information, please visit: www.insulet.com and www.myomnipod.com.
Forward-Looking Statement:
The 2018 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 September 30, 2018. This press release
contains forward-looking statements concerning Insulet's expectations,
anticipations, intentions, beliefs or strategies regarding the future.
These forward-looking statements are based on its current expectations
and beliefs concerning future developments and their potential effects
on Insulet. There can be no assurance that future developments affecting
Insulet will be those that it has anticipated.
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 the Company's dependence on
its principal product platform, the Omnipod System; risks associated
with 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; Insulet's ability to raise additional funds in the future on
acceptable terms or at all; potential supply problems or price
fluctuations with sole source or third-party suppliers on which Insulet
is dependent; the potential establishment of a competitive bid program
for conventional insulin pumps; failure by Insulet to retain supplier
pricing discounts and achieve satisfactory gross margins; failure by