Zynex Inc shares soared after the company posted fourth quarter earnings and revenue that beat Wall Street analyst estimates.
For the period ended December 31, 2022, the Englewood, Colorado-based medical device manufacturer reported earnings of $0.20 per share on revenue of $48.8 million. The consensus earnings estimate was $0.19 per share on revenue of $48.7 million. The firm’s revenue grew 20.9% on a year-over-year basis.
“We had a strong end to a record-setting 2022, marked by increased revenue and orders every single quarter," Zynex CEO Thomas Sandgaard said in a statement.
“Zynex Monitoring Solutions (ZMS) is making significant progress with clinical data collection, and we expect to hit several regulatory milestones in 2023. We look forward to maintaining shareholder value through continued financial health and double-digit growth going forward.”
Sandgaard noted that the company’s operating cash flows allowed it to buy back over $26 million of stock during 2022 which benefited its shareholders.
Zynex stock was up 15.2% to $10.98 in afternoon trading.
Meanwhile, Zynex said it expects 1Q earnings of $0.00 to $0.03 per share on revenue of $39 million to $41 million and full-year 2023 earnings of $0.40 to $0.50 per share on revenue of $180 million to $200 million.
The current consensus estimate is earnings of $0.06 per share on revenue of $39.05 million for the quarter ending March 31, 2023, and earnings of $0.52 per share on revenue of $196.06 million for the year ending December 31, 2023.
Zynex through its subsidiaries manufactures and sells US Food and Drug Administration (FDA) approved medical devices that treat chronic and acute pain, as well as activate and exercise muscles for rehabilitative purposes with electrical stimulation.
Contact the author Uttara Choudhury at uttara@proactiveinvestors.com
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