Dec 31, 2021

Semler Scientific Q4 2021 Earnings Report

Semler Scientific's Q4 2021 financial results were reported with a revenue decrease and net income decline compared to the same period in 2020.

Key Takeaways

Semler Scientific reported a decrease in revenue and a significant decline in net income for Q4 2021 compared to Q4 2020. While fixed-fee license revenues increased, variable-fee license revenues and equipment/other sales decreased. The company experienced a COVID-19 related timing change in the home-testing market.

Q4 2021 revenues decreased by 4% to $11.5 million compared to $12.1 million in Q4 2020.

Net income for Q4 2021 decreased by 72% to $1.5 million, or $0.18 per diluted share, compared to $5.4 million, or $0.66 per diluted share, in Q4 2020.

Cost of revenues increased by 120% to $2.2 million due to a $1.2 million inventory write-down.

Two largest customers comprised 48.6% and 21.7% of fourth quarter revenues.

Total Revenue
$11.5M
Previous year: $12.1M
-4.4%
EPS
$0.33
Previous year: $0.66
-50.0%
Gross Profit
$9.38M
Previous year: $11.1M
-15.4%
Cash and Equivalents
$37.3M
Previous year: $22.1M
+69.0%
Free Cash Flow
$1.6M
Previous year: $5.77M
-72.3%
Total Assets
$50.7M
Previous year: $34.6M
+46.3%

Semler Scientific

Semler Scientific

Forward Guidance

Semler Scientific anticipates continued profitability and cash generation in 2022, with increased spending to support business growth.

Positive Outlook

  • Continued profitability expected
  • Cash generation from operations expected
  • Increased spending to support anticipated growth
  • Potential for PAD risk management at the population level
  • Continued adoption of QuantaFlo® by existing and new customers

Challenges Ahead

  • Uncertainty created by the ongoing COVID-19 pandemic
  • Potential impact of new COVID-19 variants
  • Risk factors detailed in Semler Scientific’s SEC filings
  • Dependency on insurance plans licensing cardiovascular testing products
  • Ability to successfully expand its product offering