XVIVO Perfusion (XVIVO) Q3 2024 earnings summary

Executive summary

• Q3 2024 net sales reached SEK 198 million, up 41% organically and 35% year-over-year, with EBITDA margin improving to 21% despite continued investments in commercial capabilities and a negative currency effect of 6%.

• Growth was driven by strong momentum in the thoracic segment, especially in the US, with record EVLP sales up 110% year-over-year, and increased activity post-ISHLT conference.

• Major clinical milestones included publication of European heart preservation study in The Lancet showing up to 49% risk reduction in primary endpoints and the first transatlantic heart transplant using the technology.

• Strategic acquisition of FlowHawk, a digital workflow and communication platform, strengthens the US service offering and digital presence.

• The company is scaling up production capacity for disposables, with milestones for Kidney Assist Transport and Liver Assist, and full-scale production expected by end of Q2 2025.

Financial highlights

• Q3 net sales: SEK 198 million (up from SEK 147 million in Q3 2023); YTD net sales: SEK 595 million (up from SEK 442 million YTD 2023); organic growth 41%.

• Gross margin improved to 75% in Q3 (up from 73%); YTD gross margin: 74%.

• Adjusted EBIT margin was 13% in Q3; adjusted EBITDA margin was 21% in Q3 and 22% YTD.

• Cash flow from operating activities was positive at SEK 23 million in Q3; cash position at period end: SEK 450 million.

• Equity/assets ratio strengthened to 91% at period end.

Outlook and guidance

• Continued investment in commercial and organizational capabilities to support high growth, with focus on U.S., Canada, and global market leadership in lung and liver segments.

• Product launches planned for Kidney Assist Transport in U.S. and Europe, and heart in Europe and Australia upon regulatory approval.

• Key 2025 milestones: commercialization of heart technology in Europe and Australia, completion of US heart trial enrollment, and ramp-up of new disposable kit production.

• Q4 expected to be the strongest quarter, barring unforeseen holiday effects; no significant post-period events affecting financial assessment.