Exhibit No.
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Description of Exhibit
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InMode Ltd.
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By: /s/ Moshe Mizrahy
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Moshe Mizrahy
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May 2, 2023
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Chief Executive Officer and Chairman of
The Board of Directors
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● |
Quarterly revenue of $106.1 million, an increase of 23.5% compared to the first quarter of 2022. InMode’s proprietary surgical technology platforms engaged in
minimally invasive and subdermal ablative treatments represented 83% of quarterly revenues, while 8% came from InMode’s hands-free platforms and 9% from InMode’s traditional laser and non-invasive RF platforms.
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● |
GAAP net income of $40.5 million, compared to $31 million in the first quarter of 2022; *non-GAAP net income of $44.7 million, compared to $34.1 million in the first
quarter of 2022.
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● |
GAAP diluted earnings per share of $0.47, compared to $0.36 in the first quarter of 2022; *non-GAAP diluted earnings per share of $0.52, compared to $0.40 in the first quarter of 2022.
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● |
Record quarterly revenues from consumables and service of $20 million, an increase of 43% compared to the first quarter of 2022.
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● |
Total cash position of $574.5 million as of March 31, 2023, including cash and cash equivalents, marketable securities, and short-term bank deposits.
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U.S. GAAP Results
(U.S. dollars in thousands, except for per share data)
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Q1 2023
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Q1 2022
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Revenues
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$106,074
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$85,921
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Gross Margins
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83%
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83%
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Net Income
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$40,505
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$30,975
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Earnings per Diluted Share
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$0.47
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$0.36
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*Non-GAAP Results
(U.S. dollars in thousands, except for per share data)
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Q1 2023
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Q1 2022
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Gross Margins
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83%
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83%
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Net Income
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$44,714
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$34,069
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Earnings per Diluted Share
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$0.52
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$0.40
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● |
Revenue between $525 million and $530 million
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● |
*Non-GAAP gross margin between 83% and 85%
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● |
*Non-GAAP income from operations between $236 million and $238 million
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*Non-GAAP earnings per diluted share between $2.58 and $2.60
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Company Contact:
Yair Malca
Chief Financial Officer
Phone: (949) 305-0108
Email: Yair.Malca@inmodemd.com
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Investor Relations Contact:
Miri Segal
MS-IR LLC
Phone: (917) 607-8654
Email: ir@inmodemd.com
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Three months ended
March 31, |
||||||||
2023
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2022
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|||||||
REVENUES
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106,074
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85,921
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COST OF REVENUES
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18,254
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14,772
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GROSS PROFIT
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87,820
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71,149
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OPERATING EXPENSES:
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Research and development
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3,102
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2,815
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Sales and marketing
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41,713
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30,849
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General and administrative
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2,008
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2,477
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TOTAL OPERATING EXPENSES
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46,823
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36,141
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INCOME FROM OPERATIONS
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40,997
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35,008
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Finance income, net
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3,289
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379
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INCOME BEFORE TAXES
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44,286
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35,387
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INCOME TAXES
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3,781
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4,412
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NET INCOME
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40,505
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30,975
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NET INCOME PER SHARE:
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Basic
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0.49
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0.37
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Diluted
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0.47
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0.36
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WEIGHTED AVERAGE NUMBER OF SHARES OUTSTANDING USED IN COMPUTATION OF NET INCOME PER SHARE (in thousands)
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Basic
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83,154
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82,973
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Diluted
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85,387
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85,696
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March 31,
2023
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December 31,
2022
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Assets
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||||||||
CURRENT ASSETS:
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Cash and cash equivalents
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92,961
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97,540
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Marketable securities
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405,674
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374,589
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Short-term bank deposits
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75,817
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75,254
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Accounts receivable, net of allowance for doubtful accounts
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24,868
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26,997
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Other receivables
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14,802
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15,094
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Inventories
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40,811
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39,897
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TOTAL CURRENT ASSETS
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654,933
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629,371
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NON-CURRENT ASSETS:
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Accounts receivable
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3,883
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3,973
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Deferred income tax asset, net
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2,457
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3,094
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Operating lease right-of-use assets
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5,288
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5,073
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Property and equipment, net
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2,451
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2,298
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Other investments
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600
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600
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TOTAL NON-CURRENT ASSETS
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14,679
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15,038
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TOTAL ASSETS
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669,612
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644,409
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Liabilities and shareholders’ equity
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CURRENT LIABILITIES:
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Accounts payable
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11,987
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16,242
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Contract liabilities
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17,293
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13,798
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Other liabilities
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30,391
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51,980
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TOTAL CURRENT LIABILITIES
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59,671
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82,020
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NON-CURRENT LIABILITIES:
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Contract liabilities
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3,042
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3,959
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Other liabilities
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391
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303
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Operating lease liabilities
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3,529
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3,509
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TOTAL NON-CURRENT LIABILITIES
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6,962
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7,771
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TOTAL LIABILITIES
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66,633
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89,791
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TOTAL SHAREHOLDERS’ EQUITY
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602,979
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554,618
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TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY
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669,612
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644,409
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Three months ended
March 31, |
||||||||
2023
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2022
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CASH FLOWS FROM OPERATING ACTIVITIES:
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Net income
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40,505
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30,975
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Adjustments required to reconcile net income to net cash provided by operating activities:
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Depreciation and amortization
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188
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138
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Share-based compensation expenses
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4,209
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3,094
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Change in allowance for credit losses of trade receivable
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(22
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)
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210
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Loss on marketable securities, net
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-
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14
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Finance expenses (income), net
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(1,512
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)
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90
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Deferred income taxes, net
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19
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(22
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)
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Changes in operating assets and liabilities:
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Decrease in accounts receivable
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2,241
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3,953
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Increase in other receivables
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(229
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)
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(1,195
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)
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Increase in inventories
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(914
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)
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(4,074
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)
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Increase (decrease) in accounts payable
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(4,255
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)
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762
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Decrease in other liabilities
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(23,043
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)
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(4,875
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)
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Increase in contract liabilities
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3,926
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2,783
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Net cash provided by operating activities
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21,113
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31,853
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CASH FLOWS FROM INVESTING ACTIVITIES:
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Investment in short-term deposits
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(6,000
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)
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(23,111
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)
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Proceeds from short-term deposits
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6,000
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20,000
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Purchase of fixed assets
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(341
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)
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(299
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)
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Purchase of marketable securities
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(118,352
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)
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(21,209
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)
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Proceeds from sale of marketable securities
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-
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994
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Proceeds from maturity of marketable securities
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91,137
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10,933
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Net cash used in investing activities
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(27,556
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)
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(12,692
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)
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CASH FLOWS FROM FINANCING ACTIVITIES:
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Repurchase of ordinary shares
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-
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(42,637
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)
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Exercise of options
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1,673
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161
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Net cash provided by (used in) financing activities
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1,673
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(42,476
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)
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EFFECT OF EXCHANGE RATE CHANGES ON CASH
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191
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(151
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)
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NET DECREASE IN CASH AND CASH EQUIVALENTS
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(4,579
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)
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(23,466
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)
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CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD
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97,540
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68,136
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CASH AND CASH EQUIVALENTS AT END OF PERIOD
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92,961
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44,670
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Three months ended
March 31, |
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2023
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2022
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Revenues by Category:
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Capital Equipment revenues - United States
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49,751
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47
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%
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44,760
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52
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%
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Capital Equipment revenues - International
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36,373
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34
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%
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27,183
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32
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%
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||||||||||
Total Capital Equipment revenues
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86,124
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81
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%
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71,943
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84
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%
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||||||||||
Consumables and service revenues
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19,950
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19
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%
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13,978
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16
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%
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||||||||||
Total Net Revenue
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106,074
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100
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%
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85,921
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100
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%
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Three months ended
March 31, |
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2023
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2022
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|||||||||||||||||||||||
%
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%
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|||||||||||||||||||||||
United States
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International
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Total
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United States
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International
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Total
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|||||||||||||||||||
Revenues by Technology:
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||||||||||||||||||||||||
Minimally Invasive
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90
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75
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83
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84
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71
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80
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Hands-Free
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8
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6
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8
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13
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6
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10
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||||||||||||||||||
Non-Invasive
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2
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19
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9
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3
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23
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10
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||||||||||||||||||
100
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100
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100
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100
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100
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100
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Three months ended March 31, 2023
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Three months ended March 31, 2022
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|||||||||||||||||||||||
GAAP
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Share Based
Compensation |
Non-GAAP
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GAAP
|
Share Based
Compensation |
Non-GAAP
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|||||||||||||||||||
REVENUES
|
106,074
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-
|
106,074
|
85,921
|
-
|
85,921
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||||||||||||||||||
COST OF REVENUES
|
18,254
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(354
|
)
|
17,900
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14,772
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(314
|
)
|
14,458
|
||||||||||||||||
GROSS PROFIT
|
87,820
|
354
|
88,174
|
71,149
|
314
|
71,463
|
||||||||||||||||||
OPERATING EXPENSES:
|
||||||||||||||||||||||||
Research and development
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3,102
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(501
|
)
|
2,601
|
2,815
|
(525
|
)
|
2,290
|
||||||||||||||||
Sales and marketing
|
41,713
|
(3,038
|
)
|
38,675
|
30,849
|
(1,895
|
)
|
28,954
|
||||||||||||||||
General and administrative
|
2,008
|
(316
|
)
|
1,692
|
2,477
|
(360
|
)
|
2,117
|
||||||||||||||||
TOTAL OPERATING EXPENSES
|
46,823
|
(3,855
|
)
|
42,968
|
36,141
|
(2,780
|
)
|
33,361
|
||||||||||||||||
INCOME FROM OPERATIONS
|
40,997
|
4,209
|
45,206
|
35,008
|
3,094
|
38,102
|
||||||||||||||||||
Finance income, net
|
3,289
|
-
|
3,289
|
379
|
-
|
379
|
||||||||||||||||||
INCOME BEFORE TAXES
|
44,286
|
4,209
|
48,495
|
35,387
|
3,094
|
38,481
|
||||||||||||||||||
INCOME TAXES
|
3,781
|
-
|
3,781
|
4,412
|
-
|
4,412
|
||||||||||||||||||
NET INCOME
|
40,505
|
4,209
|
44,714
|
30,975
|
3,094
|
34,069
|
||||||||||||||||||
NET INCOME PER SHARE:
|
||||||||||||||||||||||||
Basic
|
0.49
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0.54
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0.37
|
0.41
|
||||||||||||||||||||
Diluted
|
0.47
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0.52
|
0.36
|
0.40
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||||||||||||||||||||
WEIGHTED AVERAGE NUMBER OF SHARES OUTSTANDING USED IN COMPUTATION OF NET INCOME PER SHARE (in thousands)
|
||||||||||||||||||||||||
Basic
|
83,154
|
83,154
|
82,973
|
82,973
|
||||||||||||||||||||
Diluted
|
85,387
|
85,878
|
85,696
|
86,132
|