On July 31, 2024, Pulmonx Corp (LUNG, Financial) released its 8-K filing for the second quarter of 2024, showcasing significant revenue growth and a narrower net loss compared to the same period last year. Pulmonx Corp is a commercial-stage medical technology company specializing in minimally invasive treatments for severe emphysema, a form of chronic obstructive pulmonary disease (COPD). The company’s product portfolio includes the Zephyr Endobronchial Valve, the Chartis Pulmonary Assessment System, and the StratX Lung Analysis Platform.
Performance Overview
Pulmonx Corp reported record worldwide revenue of $20.8 million for Q2 2024, a 21% increase from $17.2 million in Q2 2023. This figure surpassed the analyst estimate of $20.13 million. U.S. revenue grew by 26% year-over-year to $13.9 million, while international revenue increased by 12% to $6.9 million. The company’s gross margin remained steady at 74%, consistent with the same period last year.
Financial Achievements and Challenges
Despite the impressive revenue growth, Pulmonx Corp reported a net loss of $15.3 million, or $0.39 per share, which is narrower than the $0.44 per share loss estimated by analysts. This compares favorably to the net loss of $16.2 million, or $0.43 per share, in Q2 2023. The company’s adjusted EBITDA loss also improved, narrowing to $7.6 million from $10.3 million in the same period last year.
“Our record quarterly results reflect the continued traction of our commercial strategy, particularly in the United States where we continue to expand our presence by opening new accounts, preparing to launch new pilot programs to optimize patient workflows, and building local awareness of our Zephyr Valves,” said Steve Williamson, President, and Chief Executive Officer.
Key Financial Metrics
| Metric | Q2 2024 | Q2 2023 |
|---|---|---|
| Revenue | $20.8 million | $17.2 million |
| Gross Profit | $15.3 million | $12.7 million |
| Operating Expenses | $30.9 million | $29.2 million |
| Net Loss | $15.3 million | $16.2 million |
| Adjusted EBITDA Loss | $7.6 million | $10.3 million |
Income Statement Highlights
Gross profit for Q2 2024 was $15.3 million, up from $12.7 million in Q2 2023. Operating expenses increased by 6% to $30.9 million, primarily due to a one-time, non-cash charge of $1.7 million to impair internally developed software. The company’s cash, cash equivalents, and marketable securities totaled $114.5 million as of June 30, 2024.
Balance Sheet and Cash Flow
As of June 30, 2024, Pulmonx Corp reported total assets of $172.6 million, down from $177.8 million at the end of 2023. The company’s total liabilities increased to $71.4 million from $59.5 million, while stockholders' equity decreased to $101.2 million from $118.3 million.
Analysis and Outlook
Pulmonx Corp’s strong revenue growth and improved EBITDA highlight the effectiveness of its commercial strategy, particularly in the U.S. market. The company’s ability to expand its presence and optimize patient workflows is crucial for sustaining this momentum. However, the increase in operating expenses and the net loss indicate ongoing challenges that need to be addressed.
For the full year 2024, Pulmonx Corp expects revenue to be in the range of $81 million to $84 million, with a gross margin between 74% and 75%. Total operating expenses are projected to fall within the range of $127 million to $129 million, inclusive of approximately $25 million of non-cash stock-based compensation.
For more detailed insights and the complete financial statements, please refer to the 8-K filing.
Explore the complete 8-K earnings release (here) from Pulmonx Corp for further details.
