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Jun 30, 2021

Zynex Q2 2021 Earnings Report

Reported a 61% increase in revenue and a net income of $2.8 million.

Key Takeaways

Zynex reported a strong second quarter with record revenue of $31.0 million, a 61% increase year-over-year, and a net income of $2.8 million. The company's order growth was significant at 247%.

Net revenue increased by 61% compared to Q2 2020, reaching $31.0 million.

Gross margins were 77% for the second quarter of 2021.

Net income was $2.8 million for the second quarter.

Order growth in the second quarter was 247%.

Total Revenue
$31M
Previous year: $19.3M
+61.0%
EPS
$0.07
Previous year: $0.08
-12.5%
Gross Profit
$23.8M
Previous year: $15.2M
+56.3%
Cash and Equivalents
$32.3M
Previous year: $16.9M
+91.1%
Free Cash Flow
$972K
Previous year: $2.29M
-57.6%
Total Assets
$83.7M
Previous year: $36.8M
+127.7%

Zynex

Zynex

Forward Guidance

The estimated range for third quarter revenue is between $34.5 and $36.0 million with Adjusted EBITDA between $5.0 and $6.0 million. Full year 2021 revenue is estimated between $130.0 and $137.5 million with Adjusted EBITDA between $16.5 and $21.5 million.

Positive Outlook

  • Third quarter revenue is expected to be between $34.5 and $36.0 million.
  • Third quarter Adjusted EBITDA is expected to be between $5.0 and $6.0 million.
  • Full year revenue is estimated between $130.0 and $137.5 million.
  • Full year Adjusted EBITDA is expected to be between $16.5 and $21.5 million.
  • Third quarter revenue is expected to be approximately 72% to 80% above 2020 third quarter revenue.

Challenges Ahead

  • The full year revenue estimate is on the lower end of previously provided guidance.
  • Competitive job market is impacting the number of sales reps.
  • Slower hiring due to a very competitive job market.
  • Fewer sales reps than expected.
  • Cash decreased slightly during the quarter due to the Company spending $2.0 million on its stock buy-back program.