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| An illustration of the Impella 2.5 pump in the heart--Screenshot courtesy of Abiomed |
Abiomed ($ABMD) shares have surged 20% since yesterday's earnings report, on the back of strong demand for its Impella heart pumps.
Patient usage of its percutaneous, catheter-based heart pumps is up 62% year over year, Abiomed said. That translates into profits, which were $8.9 million in the Q1 FY 2016, up from a net loss of $1.7 million a year ago. Impella revenues were up 53% year over year to $68.8 million, from $45 million in Q1 FY 2015.
The devices' installed customer base now stands at 973 sites, after 15 hospitals made initial purchases of the device during the quarter.
Abiomed benefited from an expanded indication from the FDA in March, which enabled use of the Impella 2.5 during elective and urgent high-risk percutaneous coronary intervention (PCI) procedures. In 2008, the device had been permitted for use in a narrower indication, partial circulatory support for up to 6 hours.
"After a full quarter of FDA approval for high-risk PCI with Impella 2.5, we feel that our customer education and training efforts are truly making an impact on our business," said Abiomed CEO Michael Minogue in a statement. "Our license to become the standard of care has transformed into a reality and I'm proud of the discipline and execution we have demonstrated to get to this phase of the Company's financial and regulatory success."
In June the company escaped the wrath of the U.S. Department of Justice. The feds decided to wrap up an investigation of the company's marketing of its Impella 2.5 heart pump device without taking additional action.
Overall, quarterly revenue at the company was $73.4 million, an increase of 50% year over year. The company also increased its FY 2016 guidance, and expects annual revenue of $300 to $310 million instead of the previous $285 to $295 million.
- read the release