Q1 2024 Allurion Technologies Inc Earnings Call Transcript
Key Points
- Allurion Technologies Inc (ALUR) reported a sequential revenue increase of 14% from the fourth quarter of 2023, totaling $9.4 million in the first quarter of 2024.
- Procedural volumes grew by 22% compared to the fourth quarter of 2023 and by 12% compared to the first quarter of 2023, indicating strong and growing demand for the Allurion program.
- Cash burn reduced by 62% compared to the fourth quarter of 2023, from $22 million to $8.4 million, due to a 43% reduction in operating expenses and more efficient marketing investments.
- Allurion Technologies Inc (ALUR) announced a significant financing deal with the closing of a $48 million convertible senior secured note, improving financial flexibility and extending cash runway.
- The company has expanded its Virtual Care Suite (VCS) in the United States, enhancing its digital offerings and potentially broadening its market reach.
- Year-over-year, revenue for the first quarter decreased by 33% due to macroeconomic headwinds and inventory adjustments in distributor markets.
- Despite high procedural volumes, ongoing de-stocking at distributor locations led to a lag in revenue recognition, which may impact short-term financial results.
- Gross margins were temporarily boosted to 73% due to lower production volumes, which may not sustain as production scales up.
- General and administrative expenses increased by $1.1 million, driven by costs associated with being a public company.
- The company is still navigating the challenges of inventory de-stocking, which is expected to conclude in the second quarter but has temporarily affected revenue growth.
Thank you for standing by and welcome to the Allurion first-quarter earnings call. (Operator Instructions)
Thank you. I would now like to turn the call over to Mike Cavanaugh, Investor Relations, please go ahead.
Good morning. Thank you all for joining us today.
Earlier today, Allurion Technologies Incorporated issued a press release announcing financial results for the quarter ended March 31, 2024, and reviewing the company's recent business highlights. You can access a copy of the announcement on the company's website at www.investors.allurion.com.
With me on the call today are Shantanu Gaur, Founder and Chief Executive Officer; and Chris Geberth, Chief Financial Officer. Shantanu will begin the call by discussing the quarter's business and operational highlights and our 2024 financial outlook. Chris will then provide a review of our financial results and we will close the call with a question and answer session.
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
