STAAR Surgical Company (STAA) Q2 2024 earnings summary

Executive summary

• Achieved record Q2 2024 net sales of $99 million, up 7% year-over-year, driven by strong ICL sales and global momentum, with constant currency sales exceeding $100 million.

• Net income rose to $7.4 million ($0.15 per diluted share), up from $6.1 million ($0.12) year-over-year; Adjusted EBITDA increased to $22.5 million ($0.45 per share) from $18.3 million ($0.37).

• Gross profit margin improved to 79.2% from 76.6% year-over-year, aided by favorable reserve changes after exiting the cataract IOL business.

• Raised full-year 2024 guidance for net sales to $340–$345 million and Adjusted EBITDA to ~$42 million, reflecting continued commercial execution and market share gains.

• Strong global adoption of EVO ICL lens technology, with market share gains in all major regions.

Financial highlights

• Q2 2024 net sales grew to $99 million from $92.3 million year-over-year; constant currency sales up 9%.

• Gross profit was $78.4 million (79.2% margin), up from $70.7 million (76.6%) in prior year.

• Operating income grew 38% to $11.9 million (12.0% of sales) from $8.6 million (9.3%) year-over-year.

• Adjusted EBITDA reached $22.5 million ($0.45 per share), up from $18.3 million ($0.37) year-over-year.

• Cash, cash equivalents, and investments totaled $235.5 million at Q2 end.

Outlook and guidance

• Fiscal 2024 net sales outlook raised to $340–$345 million; Adjusted EBITDA to ~$42 million (~$0.80 per share).

• Q3 2024 net sales expected at $87 million, with U.S. sales of $5–$5.5 million.

• U.S. growth outlook increased to 25% for 2024; EMEA to 6%; APAC remains at 7% (China 10%).

• Management expects liquidity sources to be sufficient for at least 12 months, with future capital needs dependent on sales growth and macroeconomic factors.