LivaNova reports first-quarter 2024 results

LivaNova PLC reported results for the quarter ended March 31, 2024 and raised full-year 2024 revenue and adjusted diluted earnings per share guidance.

“In the first quarter, LivaNova achieved double-digit revenue and operating income growth in both the Cardiopulmonary and Neuromodulation segments,” said Vladimir Makatsaria, Chief Executive Officer of LivaNova. “I am grateful to our teams around the world for their exceptional work and dedication to serving our patients and customers. Looking ahead, our priorities continue to emphasize execution, innovation and talent development. We are confident that by delivering in each of these areas, we will improve patient outcomes and create shareholder value.”

First-quarter 2024 results

The following table summarizes revenue for the first quarter of 2024 by segment (in millions):

Cardiopulmonary revenue increased 14.8% on a reported basis and increased 15.7%(1) on a constant-currency basis versus the first quarter of 2023 with growth across all regions, driven by EssenzTM Perfusion System sales in the U.S. and Europe regions, and strong consumables demand worldwide.

Neuromodulation revenue increased 10.9% on a reported basis and increased 11.0%(1) on a constant-currency basis versus the first quarter of 2023 with double-digit growth in the U.S. and Rest of World regions.

Earnings analysis
On a U.S. GAAP basis, first-quarter 2024 operating income was $16.2 million, as compared to operating loss of $2.3 million for the first quarter of 2023. Adjusted operating income for the first quarter of 2024 was $53.1 million, as compared to adjusted operating income of $26.8 million for the first quarter of 2023.

On a U.S. GAAP basis, first-quarter 2024 diluted loss per share was $0.78, as compared to diluted earnings per share of $0.14 in the first quarter of 2023. First-quarter 2024 adjusted diluted earnings per share was $0.73, as compared to adjusted diluted earnings per share of $0.43 in the first quarter of 2023.

Full-year 2024 guidance
LivaNova now expects revenue for full-year 2024 to grow between 6 and 7 percent on a constant-currency basis. When excluding the impact of the ACS segment wind down, the Company now expects revenue for full-year 2024 to grow between 8 and 9 percent on a constant-currency basis. Foreign currency is now expected to be a 1 percent headwind based on current exchange rates.

Adjusted diluted earnings per share for 2024 are now expected to be in the range of $3.05 to $3.15, assuming a share count of approximately 55 million for full-year 2024. In 2024, the Company continues to estimate that adjusted free cash flow will be in the range of $95 to $115 million.

As discussed in the section entitled “Use of Non-GAAP Financial Measures” below, the Company is unable to predict with a reasonable degree of certainty the type and extent of certain items that would be expected to impact GAAP measures but would not impact the non-GAAP measures. Accordingly, the Company is unable to reconcile the forward-looking non-GAAP financial measures included in this section to their most directly comparable forward-looking GAAP financial measures without unreasonable efforts.
MB Bureau