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Dec 31, 2023

Merit Medical Q4 2023 Earnings Report

Merit Medical reported revenue increase and improved profitability in Q4 2023.

Key Takeaways

Merit Medical Systems, Inc. reported a 10.6% increase in revenue for Q4 2023, reaching $324.5 million. The company's non-GAAP operating margin improved to 18.2%, and it generated approximately $55 million in free cash flow. The company issued fiscal year 2024 guidance, reflecting confidence in continued strong execution, stable growth, improving profitability, and solid free cash flow generation.

Q4 2023 reported revenue increased by 10.6% year-over-year, reaching $324.5 million.

Constant currency revenue for Q4 2023 was up 10.3% year-over-year.

GAAP operating margin for Q4 2023 was 10.4%, consistent with Q4 2022, while non-GAAP operating margin improved to 18.2%.

GAAP EPS for Q4 2023 was $0.47, and non-GAAP EPS was $0.81.

Total Revenue
$323M
Previous year: $293M
+10.2%
EPS
$0.81
Previous year: $0.79
+2.5%
GAAP Operating Margin
10.4%
Previous year: 10.4%
+0.0%
Non-GAAP Operating Margin
18.2%
Previous year: 17.8%
+2.2%
Gross Profit
$151M
Previous year: $135M
+11.9%
Cash and Equivalents
$587M
Previous year: $58.4M
+905.1%
Free Cash Flow
$55M
Previous year: $15.5M
+254.4%
Total Assets
$2.33B
Previous year: $1.66B
+39.7%

Merit Medical

Merit Medical

Merit Medical Revenue by Segment

Forward Guidance

For the year ending December 31, 2024, Merit expects net sales between $1.312 billion and $1.325 billion, cardiovascular segment sales between $1.272 billion and $1.285 billion, endoscopy segment sales between $39.7 million and $40.1 million, and non-GAAP earnings per share between $3.28 and $3.35.

Positive Outlook

  • Net sales are expected to be between $1.312 billion and $1.325 billion, representing a 4% - 5% increase year-over-year.
  • Cardiovascular segment sales are projected to be between $1.272 billion and $1.285 billion, also a 4% - 5% increase.
  • Endoscopy segment sales are anticipated to be between $39.7 million and $40.1 million, an 8% - 9% increase.
  • Non-GAAP earnings per share are forecasted to be between $3.28 and $3.35, indicating a 9% - 11% increase.
  • Constant currency net sales are expected to increase by 4.8% - 5.9%.

Revenue & Expenses

Visualization of income flow from segment revenue to net income