On November 1, 2023, Inari Medical Inc (NARI, Financial), a medical device company specializing in the treatment of venous and other diseases, released its financial results for the third quarter ended September 30, 2023.
Financial Performance
Inari Medical reported a significant increase in revenue for Q3 2023, generating $126.4 million, up 31.4% over the same quarter last year. The company attributed this growth to increased adoption of its procedures, new product launches, and global commercial expansion.
The company's net income for the third quarter of 2023 was $3.2 million, a significant turnaround from the $10.2 million net loss reported in the same quarter of the previous year. This marks the first time the company has reported positive operating income since the fourth quarter of 2021.
Financial Highlights
Gross profit for the third quarter of 2023 was $111.9 million, compared to $85.1 million for the same period in 2022. Despite the increase in gross profit, the gross margin remained flat at 88.5% for both periods. Operating expenses for Q3 2023 were $109.8 million, up from $94.9 million in Q3 2022, primarily due to personnel-related expenses and increased headcount to support the expansion of the commercial, research and development, clinical, and support organizations.
Operating income for the third quarter of 2023 was $2.1 million, compared to an operating loss of $9.8 million for the same period in 2022. The company ended the quarter with cash and investments totaling $351.3 million.
Acquisition of LimFlow
Inari Medical also announced its agreement to acquire LimFlow, a privately held pioneer in limb salvage for patients with chronic limb-threatening ischemia (CLTI). This acquisition aligns with Inari Medical's mission to address major unmet needs for patients.
Full-Year 2023 Revenue Guidance
For the full year 2023, Inari Medical has raised its revenue guidance to a range of $490 million to $493 million, an increase of $4.5 million at the midpoint from its prior guidance range of $482 million to $492 million.
Inari Medical's CEO, Drew Hykes, expressed confidence in the company's ability to continue to grow sustainably for years to come, stating,
Our robust third quarter performance was driven by strong underlying procedural growth and crisp execution across all our growth drivers. Our core business is thriving, and we are confident in our ability to continue to grow sustainably for years to come."
Explore the complete 8-K earnings release (here) from Inari Medical Inc for further details.
