AngioDynamics Reports 7.9% Decline in Q2 Revenue, Net Loss Improves

AngioDynamics, Inc. reported a decline in financial performance for the second quarter of fiscal year 2025, with net sales of $72.8 million, a decrease of 7.9% compared to $79.1 million in the same period last year. For the six months ended November 30, 2024, total revenue was $140.3 million, down 11% from $157.8 million in the prior year. The company experienced a net loss of $10.7 million, or $0.26 per share, significantly improved from a net loss of $29.0 million, or $0.72 per share, in the previous year. The decrease in revenue was attributed to the divestiture of certain business segments, including the PICC and Midline businesses, which collectively impacted sales by approximately $12.4 million for the quarter.

In terms of operational metrics, AngioDynamics' Med Tech segment saw a notable increase in sales, growing by 24.4% year-over-year, driven by strong performance from products like Auryon and the thrombus management platform. Conversely, the Med Device segment experienced a decline of 23.1%, primarily due to the aforementioned divestitures and the discontinuation of certain product lines. The gross profit margin improved to 54.8%, up from 50.9% in the prior year, reflecting better cost management and product mix.

Strategically, AngioDynamics has been active in restructuring its operations. The company announced a shift to an outsourced manufacturing model, which is expected to generate annual cost savings of approximately $15 million by fiscal year 2027. This restructuring includes maintaining a presence in Queensbury, NY, for select manufacturing and customer service operations. Additionally, the company has initiated a share repurchase program, authorizing up to $15 million in stock buybacks, with $1.1 million already utilized in the current fiscal year.

As of November 30, 2024, AngioDynamics reported total assets of $291.6 million, down from $317.7 million at the end of the previous fiscal year. The company’s cash and cash equivalents stood at $54.1 million, a decrease from $76.1 million. The company continues to monitor its liquidity position closely, especially in light of ongoing macroeconomic challenges, including inflation and supply chain disruptions. Looking ahead, AngioDynamics aims to enhance its product offerings and expand its market presence, with a focus on innovation and strategic partnerships to drive future growth.