- The stock price of Silk Road Medical Inc (NASDAQ: SILK) increased by over 16% during intraday trading. This is why it happened.
The stock price of Silk Road Medical Inc (NASDAQ: SILK) – a company focused on reducing the risk of stroke and its devastating impact – increased by over 16% during intraday trading. Investors are responding positively to the company’s financial results for the quarter ended June 30, 2021.
Q2 2021 Financial Results
— Revenue for the second quarter of 2021 was $26.5 million, an increase of $11.4 million or 75%, compared to the second quarter of 2020.
— Second-quarter revenue in 2020 included the recognition of $1.3 million in deferred revenue due to a decrease in the provision for sales returns related to certain prior sales with a shorter shelf life, coupled with the downward trend in the company’s historical returns rate.
— Excluding the contribution of the $1.3 million, second-quarter revenue in 2021 increased 91% compared to the second quarter of 2020.
— Gross profit for the second quarter of 2021 was $19.9 million compared to $9.8 million for the second quarter of 2020.
— Gross margin for the second quarter of 2021 increased to 75% compared to 65% in the second quarter of 2020. The prior period gross margin included unfavorable production variances as a result of temporarily idled manufacturing operations and lower demand due to COVID-19.
KEY QUOTE:
“Our second quarter results reflect excellent commercial execution and broad strength across our business, as TCAR utilization increased in all segments of our trained physician base. We remain very optimistic about the future of TCAR, and we are particularly excited about the new evidence supporting TCAR in standard surgical risk patients as we prepare to expand our addressable market to include this patient population.”
— Erica Rogers, President and Chief Executive Officer of Silk Road Medical
Disclaimer: This content is intended for informational purposes. Before making any investment, you should do your own analysis.
