Thoratec's ($THOR) HeartMate heart pumps supercharged revenue toward another double-digit increase in the 2013 second quarter. The question to ask now is, how long will the surge last?
The California devicemaker's $130.5 million in revenue booked during the quarter soared 10% above the $118.6 million generated during the same period in 2012. Thoratec's HeartMate line of left ventricular assist devices (LVADs) generated $115.7 million of that.
Executives noted that the CentriMag extracorporeal blood pump was Thoratec's second-highest revenue generator, contributing $11.5 million to the grand total during the quarter. That may not seem like much, but it represents a 44% increase from the 2012 second quarter. Net income also grew, reaching $23.2 million, or 40 cents per diluted share, a solid rise from $20.8 million in net income booked in the 2012 second quarter, or 35 cents per diluted share.
One blot on an otherwise positive quarterly report card: Revenue for Thoratec's PVAD and IVAD devices dropped nearly 30% in Q2 to $2.7 million.
But HeartMate, particularly HeartMate II, remains the company star. President and CEO Gary Burbach said the product's unit sales volume grew 9% globally, driven by steady U.S. growth but also by a smooth rollout in Japan, though HeartMate II's sales were at a higher rate earlier in the year. With that in mind, it will be interesting to see how long HeartMate keeps up its robust growth. Still, executives reaffirmed Thoratec's guidance for fiscal 2013 revenues of between $490 million and $510 million.
One new twist: The company predicts that development costs stemming from its $56.5 million purchase of Terumo's DuraHeart II LVAD technology in July will slightly affect earnings per share in the coming months.
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