Mar 31, 2023

Insulet Q1 2023 Earnings Report

Insulet reported strong financial performance in Q1 2023, driven by unprecedented U.S. Omnipod results and strategic progress.

Key Takeaways

Insulet Corporation reported a 21.2% year-over-year increase in revenue for the first quarter of 2023, reaching $358.1 million. The growth was primarily driven by a significant increase in U.S. Omnipod revenue. The company is on track with the international roll-out of Omnipod 5.

Revenue increased by 21.2% year-over-year to $358.1 million.

U.S. Omnipod revenue increased by 48.8%.

Operating income was $27.7 million, representing 7.7% of revenue.

The company received FDA clearance for Omnipod GO.

Total Revenue
$358M
Previous year: $295M
+21.2%
EPS
$0.23
Previous year: $0.4
-42.5%
Gross Margin
67.2%
Previous year: 71%
-5.4%
Gross Profit
$241M
Previous year: $210M
+14.7%
Cash and Equivalents
$621M
Previous year: $710M
-12.5%
Free Cash Flow
-$10M
Previous year: -$26.5M
-62.3%
Total Assets
$2.29B
Previous year: $2.07B
+10.6%

Insulet

Insulet

Insulet Revenue by Segment

Forward Guidance

The Company expects revenue growth of 27% to 30% for the quarter ending June 30, 2023.

Positive Outlook

  • Total Omnipod revenue is expected to grow by 29% to 32%.
  • U.S. Omnipod revenue is expected to grow by 37% to 40%.
  • International Omnipod revenue is expected to grow by 13% to 16%.
  • The company is raising its expected revenue growth of 18% to 22% for the year ending December 31, 2023.
  • Total Omnipod revenue is expected to grow by 21% to 25% for the year ending December 31, 2023.

Challenges Ahead

  • Drug Delivery revenue is expected to decline by 25% to 20%.
  • Drug Delivery revenue is expected to decline by 55% to 45% for the year ending December 31, 2023.
  • The Company is reaffirming its expected gross margin of 65% to 66% for the year ending December 31, 2023, excluding income of $8.0 million associated with the voluntary MDCs issued in 2022.
  • The Company is reaffirming its expected operating margin of high-single digits for the year ending December 31, 2023, excluding income of $8.0 million noted above.
  • Gross margin of 67.2%, down 380 basis points.

Revenue & Expenses

Visualization of income flow from segment revenue to net income