Business
Tactile Systems Technology, Inc. Reports Second Quarter 2020 Financial Results
Second Quarter Revenue Decreased 22% Year-Over-Year; Decreased 20% Year-Over-Year on an Operational Basis First Half Revenue Decreased 5% Year-over-Year; Flat
About this update from Tactile Systems Technology, Inc.
[{"type":"text","content":"Second Quarter Revenue Decreased 22% Year-Over-Year; Decreased 20% Year-Over-Year on an Operational Basis\n First Half Revenue Decreased 5% Year-over-Year; Flat Year-over-Year on an Operational Basis MINNEAPOLIS, Aug. 03, 2020 (GLOBE NEWSWIRE) -- Tactile Systems Technology, Inc. (“Tactile Medical”) (Nasdaq: TCMD), a medical technology company focused on developing medical devices for the at-home treatment of chronic diseases, today reported financial results for the second quarter and six months ended June 30, 2020. Second Quarter 2020 Summary: Total revenue decreased 22% year-over-year, to $35.1 million, compared to $45.2 million in second quarter 2019.- Excluding the contribution to second quarter 2019 revenue related to the Company’s adoption of ASC 842, second quarter 2020 revenue reflects a year-over-year decrease of 20% on an operational basis.- Revenue for the second quarter of 2020 was negatively impacted by the COVID-19 pandemic. Flexitouch revenue decreased 24% year-over-year, to $31.1 million, compared to $41.0 million in second quarter 2019.Operating loss of $8.0 million, compared to operating income of $3.0 million in second quarter 2019.Net loss of $13.9 million, compared to net income of $2.8 million in second quarter 2019.Operating loss and net loss for the second quarter of 2020 included a $4.0 million non-cash impairment charge to fully write-off the inventory and long-lived assets of the Airwear wrap in the quarter ended June 30, 2020.Adjusted EBITDA loss of $0.7 million, compared to Adjusted EBITDA of $6.3 million in second quarter 2019. Second Quarter 2020 Highlights: On April 6, 2020, the Company reported preliminary first quarter 2020 revenue results, withdrew its 2020 financial outlook and provided a COVID-19 business update.On May 21, 2020, the Company announced the appointment of Daniel L. Reuvers as President and Chief Executive Officer, effective June 8, 2020. Mr. Reuvers succeeds Gerald R. Mattys who retired, as previously disclosed. Mr. Reuvers also joined the Board of Directors, effective June 8, 2020, filling a seat created by Mr. Mattys’ retirement from the Board, effective that same day. “As expected, our second quarter operating and financial results were significantly impacted by the business disruption related to the COVID-19 pandemic,” said Dan Reuvers, President and Chief Executive Officer ...