Business
UTMD Reports Financial Performance for Second Calendar Quarter and First Half 2023
SALT LAKE CITY, UT, July 25, 2023 (GLOBE NEWSWIRE) -- via NewMediaWire – Utah Medical Products, Inc. [Nasdaq: UTMD] achieved second calendar quarter (2Q) and
About this update from Utah Medical Products, Inc.
[{"type":"text","content":"SALT LAKE CITY, UT, July 25, 2023 (GLOBE NEWSWIRE) -- via NewMediaWire – Utah Medical Products, Inc. [Nasdaq: UTMD] achieved second calendar quarter (2Q) and first half (1H) 2023 financial results consistent with those anticipated in its beginning of year projections. Currencies in this release are denoted as $ or USD = U.S. Dollars; AUD = Australia Dollars; £ or GBP = UK Pound Sterling; C$ or CAD = Canadian Dollars; and € or EUR = Euros. Currency amounts throughout this report are in thousands, except per share amounts and where noted. Because of the relatively short span of time, results for any given three-month period in comparison with a previous three-month period may not be indicative of comparative results for the year as a whole. Overview of Results In brief, consolidated total 1H 2023 revenues were only $366 lower compared to 1H 2022 despite $630 lower biopharmaceutical OEM sales post COVID-pandemic, which was anticipated at the beginning of the year. Despite the lower sales, and combined with continued supply chain disruption challenges, UTMD’s 1H gross profit margin improved, yielding total gross profit almost the same for the first half of the year. Operating Income, however, declined $715 (7.5%) as a result of unusual litigation expenses related to yet unresolved Filshie clip product liability claims in the U.S. However, because UTMD realized $1,236 higher interest income on its cash balances, Net Income for 1H 2023 was up 10% compared to 1H 2022. The following is an income statement line item comparison of 2Q and 1H 2023 with 2Q and 1H 2022, according to U.S. Generally Accepted Accounting Principles (US GAAP): 2Q 1H (April – June) (January-June)Revenues (Sales):-4%-1%Gross Profit (GP):-5%-1%Operating Income (OI):-12%-7%Income Before Tax (EBT):-1%6%Net Income (NI):2%10%Earnings Per Share (EPS):3%11% Profit margins in 2Q and 1H 2023 compared to 2Q and 1H 2022 follow: 2Q 2023 2Q 20221H 20231H 2022(Apr – Jun)(Apr – Jun)(Jan – Jun)(Jan – Jun)Gross Profit Margin (GP/ sales):60.10%60.70%61.40%60.90%Operating Income Margin (OI/ sales):34.40%37.70%34.90%37.20%Income B4 Tax Margin (EBT/ sales):40.20%38.70%40.50%37.80%Net Income Margin (NI/ sales):32.60%30.60%33.10%29.70% The lower consolidated revenues were primarily attributable to a decline in sales to UTMD’s biopharmaceutical OEM customer, although the Company was also n...