Medical device company Insulet Corp. (PODD) on Monday reported a loss for the first quarter that narrowed from last year on higher revenues, reflecting strong demand for the new Omnipod insulin pump following its launch in February. Loss per share was also narrower than analysts' expectations, while revenues beat their estimates. Looking ahead, the company reiterated its revenue outlook for fiscal 2013.
The increase in revenue for the quarter was driven by sales of the new OmniPod both in the U.S. and in international markets. The company launched the new OmniPod in the U.S. in February 2013. The OmniPod is a revolutionary and easy-to-use tubeless insulin pump.
The company's first-quarter net loss was $10.67 million or $0.20 per share, narrower than loss of $14.78 million or $0.31 per share in the year-ago period. On average, sixteen analysts polled by Thomson Reuters expected the company to report loss of $0.21 per share for the quarter. Analysts' estimates typically exclude special items.
Revenues for the quarter grew 20 percent to $57.36 million from $47.75 million in the same period last year. Analysts had a consensus revenue estimate of $57.26 million.
Duane DeSisto, President and Chief Executive Officer of Insulet said, "Demand for the new OmniPod has been tremendous with referrals and initial shipments up by more than 40% over the last two months as compared to the prior year. In the coming weeks, we expect to begin converting the existing customer base to the new OmniPod and continue to expect the transition to be completed by the end of the third quarter."
Total operating expenses were almost flat with the prior-year period at $31.36 million.
Looking ahead to the second quarter, Insulet forecasts revenues of $59 million to $62 million. Analysts estimate the company to report revenues for the quarter of $60.99 million.
For fiscal year 2013, Insulet reiterated its outlook for revenues in a range of $240 million to $255 million, while analysts currently estimates of $249.11 million.
PODD closed Monday's regular trading session at $24.87, down $0.63 or 2.47 percent on a volume of 798,156 shares. However, in after-hours, the stock gained $1.43 or 5.75 percent to $26.30.
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