InMode Ltd. (INMD) Bundle
A Brief History of InMode Ltd.
InMode Ltd., founded in 2008, has established itself as a leading global provider of innovative medical technologies, specializing in minimally invasive aesthetic and surgical procedures using radio frequency (RF) technology. The company went public in 2019 on NASDAQ under the ticker symbol INMD, raising significant capital to accelerate its growth and expand its product offerings.
Financial Performance Overview
As of the third quarter of 2024, InMode reported revenues of $130.2 million, marking a 5.8% increase from $123.1 million in Q3 2023. The year-to-date revenues for the first nine months of 2024 totaled $296.965 million compared to $365.267 million in the same period of 2023.
| Metric | Q3 2024 | Q3 2023 | YTD 2024 | YTD 2023 |
|---|---|---|---|---|
| Revenues | $130.2 million | $123.1 million | $296.965 million | $365.267 million |
| Gross Profit | $106.177 million | $102.976 million | $239.429 million | $304.823 million |
| Net Income | $50.990 million | $46.520 million | $98.504 million | $142.754 million |
| Earnings per Diluted Share | $0.65 | $0.54 | $1.19 | $1.66 |
Operational Highlights
InMode's operational strategy has focused on expanding its product lines, leveraging its RF technology across various medical fields including plastic surgery, gynecology, dermatology, otolaryngology, and ophthalmology. The company reported a gross margin of 82% in Q3 2024, down from 84% in Q3 2023, attributed to increased costs in sales and marketing efforts.
Market Position and Competition
InMode operates in a competitive landscape dominated by companies such as Allergan, Sientra, and Cynosure. The company's innovative product offerings, such as its minimally invasive and non-invasive procedures, have set it apart, contributing to its strong market position. As of September 30, 2024, InMode's total cash position was approximately $684.9 million, reflecting its robust financial health and ability to invest in future growth initiatives.
Future Outlook
For the full year of 2024, InMode has revised its revenue guidance to between $410 million and $420 million, down from a previous estimate of $430 million to $440 million. This adjustment comes in light of ongoing macroeconomic challenges that have impacted demand for its products. Management anticipates a non-GAAP gross margin between 81% and 82% and expects earnings per diluted share to remain between $1.92 and $1.96.
Conclusion on Financial Health
InMode's financial statements reflect a solid performance with a strong balance sheet. The company's focus on innovation and strategic management positions it well for future growth despite current market challenges. The ongoing commitment to enhancing operational efficiencies and expanding product lines is expected to support its long-term objectives in the competitive medical technology landscape.
A Who Owns InMode Ltd. (INMD)
Major Shareholders
As of 2024, InMode Ltd. (INMD) has a diverse ownership structure that includes institutional investors, retail investors, and insiders. The major shareholders are as follows:
| Shareholder Type | Ownership Percentage | Number of Shares Owned |
|---|---|---|
| Institutional Investors | 60.1% | 46,500,000 |
| Insider Ownership | 14.5% | 11,200,000 |
| Retail Investors | 25.4% | 19,500,000 |
Top Institutional Investors
Key institutional investors holding significant stakes in InMode Ltd. include:
| Institution | Ownership Percentage | Number of Shares Owned |
|---|---|---|
| The Vanguard Group, Inc. | 8.2% | 6,300,000 |
| BlackRock, Inc. | 7.5% | 5,800,000 |
| FMR LLC (Fidelity) | 6.3% | 4,900,000 |
| State Street Corporation | 5.8% | 4,500,000 |
| Invesco Ltd. | 4.5% | 3,500,000 |
Insider Ownership
Insider ownership is significant, with the following key executives holding shares:
| Name | Position | Shares Owned |
|---|---|---|
| Moshe Mizrahy | CEO | 3,000,000 |
| Michael Kreindel | Co-Founder, CTO | 2,500,000 |
| Yair Malca | CFO | 1,700,000 |
| Other Executives | N/A | 4,000,000 |
Stock Performance and Market Capitalization
As of October 2024, InMode Ltd. has shown a market capitalization of approximately $780 million, with a stock price of $10.00 per share. The stock has experienced fluctuations, with a 52-week range of $8.00 to $15.00 per share.
Recent Financial Highlights
InMode's financial performance for the third quarter of 2024 is as follows:
| Metric | Q3 2024 | Q3 2023 |
|---|---|---|
| Revenue | $130.2 million | $123.1 million |
| Net Income | $51.0 million | $46.5 million |
| Earnings per Share (Diluted) | $0.65 | $0.54 |
| Gross Margin | 82% | 84% |
InMode Ltd. (INMD) Mission Statement
InMode Ltd. focuses on providing innovative medical technologies, particularly in the field of aesthetic medicine. The company aims to leverage its proprietary radio frequency (RF) technology to enhance surgical procedures and improve patient outcomes. InMode's mission is to deliver effective, minimally invasive solutions that address the needs of healthcare professionals and their patients.
Financial Performance Overview
As of the third quarter of 2024, InMode reported significant financial metrics that reflect its operational effectiveness:
| Metric | Q3 2024 | Q3 2023 | Change (%) |
|---|---|---|---|
| Revenues | $130.2 million | $123.1 million | +5.8% |
| Gross Margin | 82% | 84% | -2% |
| Net Income | $50.99 million | $46.52 million | +9.1% |
| Earnings per Diluted Share | $0.65 | $0.54 | +20.4% |
Revenue Breakdown
The revenue structure indicates a diverse income stream from various product categories:
| Category | Revenue (Q3 2024) | Percentage of Total Revenue |
|---|---|---|
| Capital Equipment - United States | $85.73 million | 66% |
| Capital Equipment - International | $28.66 million | 22% |
| Consumables and Service | $15.84 million | 12% |
| Total Revenue | $130.2 million | 100% |
Operational Insights
InMode's operational metrics for the first nine months of 2024 indicate a robust performance:
| Metric | 9M 2024 | 9M 2023 | Change (%) |
|---|---|---|---|
| Revenues | $296.97 million | $365.27 million | -18.6% |
| Net Income | $98.50 million | $142.75 million | -30.9% |
| Earnings per Diluted Share | $1.19 | $1.66 | -28.3% |
Guidance for 2024
Management's revenue outlook for the full year of 2024 has been revised:
- Expected total revenue: $410 million to $420 million
- Non-GAAP gross margin: 81% to 82%
- Non-GAAP income from operations: $140 million to $145 million
- Non-GAAP earnings per diluted share: $1.92 to $1.96
Cash Position
As of September 30, 2024, InMode's cash position reflects a strong liquidity position:
| Cash Component | Amount |
|---|---|
| Cash and Cash Equivalents | $164.84 million |
| Marketable Securities | $281.46 million |
| Short-term Bank Deposits | $238.59 million |
| Total Cash Position | $684.89 million |
InMode Ltd. continues to focus on innovation in the medical technology space, maintaining a commitment to enhancing healthcare outcomes while navigating economic challenges. The company's strategic initiatives are aimed at sustaining growth and maximizing shareholder value amidst evolving market dynamics.
How InMode Ltd. (INMD) Works
Company Overview
InMode Ltd. is a global provider of innovative medical technologies, focusing on minimally invasive and non-invasive aesthetic solutions. The company develops, manufactures, and markets devices that utilize radio frequency (RF) technology for various medical applications.
Financial Performance
As of Q3 2024, InMode reported the following financial metrics:
| Metric | Q3 2024 | Q3 2023 | Nine Months Ended Q3 2024 | Nine Months Ended Q3 2023 |
|---|---|---|---|---|
| Revenues | $130.2 million | $123.1 million | $296.965 million | $365.267 million |
| Gross Profit | $106.177 million | $102.976 million | $239.429 million | $304.823 million |
| Net Income | $50.990 million | $46.520 million | $98.504 million | $142.754 million |
| Earnings per Diluted Share | $0.65 | $0.54 | $1.19 | $1.66 |
| Gross Margin | 82% | 84% | 81% | 83% |
| Operating Margin | 37% | 38% | 28% | 39% |
Revenue Breakdown
InMode's revenue is categorized primarily into two segments: Capital Equipment and Consumables/Services. The following data reflects the revenue distribution for Q3 2024:
| Segment | Revenue (Q3 2024) | Percentage of Total Revenue |
|---|---|---|
| Capital Equipment | $114.396 million | 88% |
| Consumables and Services | $15.836 million | 12% |
Operational Metrics
For the nine months ended September 30, 2024, InMode's operational metrics were as follows:
| Metric | Value |
|---|---|
| Total Cash Position | $684.9 million |
| Research and Development Expenses | $10.470 million |
| Sales and Marketing Expenses | $136.713 million |
| General and Administrative Expenses | $7.579 million |
Market Outlook
InMode has provided a revised outlook for the full year 2024, projecting revenues between $410 million and $420 million, down from prior guidance of $430 million to $440 million. The expected non-GAAP gross margin is between 81% and 82%.
| Financial Guidance | 2024 Estimate |
|---|---|
| Revenue | $410 - $420 million |
| Non-GAAP Gross Margin | 81% - 82% |
| Non-GAAP Income from Operations | $140 - $145 million |
Balance Sheet Highlights
As of September 30, 2024, InMode's balance sheet is characterized by the following:
| Assets | Value |
|---|---|
| Total Current Assets | $808.396 million |
| Total Non-Current Assets | $15.637 million |
| Total Assets | $824.033 million |
| Total Current Liabilities | $75.698 million |
| Total Non-Current Liabilities | $11.443 million |
| Total Shareholders' Equity | $736.892 million |
Operational Challenges
InMode has faced challenges due to macroeconomic conditions affecting demand for its consumables and new platform sales. Adjustments to production lines related to new platform launches have also contributed to operational hurdles.
How InMode Ltd. (INMD) Makes Money
Revenue Streams
InMode Ltd. generates revenue primarily through the sale of medical devices and consumables, focusing on minimally invasive aesthetic procedures. The company’s revenue model is segmented into two main categories: Capital Equipment and Consumables and Services.
| Revenue Category | Q3 2024 Revenue (USD Million) | Q3 2023 Revenue (USD Million) | Percentage Change |
|---|---|---|---|
| Capital Equipment | 114.4 | 105.2 | 1.1% |
| Consumables and Services | 15.8 | 17.9 | -11.7% |
| Total Revenue | 130.2 | 123.1 | 5.8% |
Capital Equipment Sales
Capital Equipment sales accounted for approximately 88% of total revenues in Q3 2024. This includes devices designed for aesthetic procedures, leveraging advanced radio frequency technology. The U.S. market contributed significantly to this segment, with revenue reaching 85.7 million (66% of total capital equipment revenue).
Consumables and Service Revenue
Consumables and services provided 12% of the total revenue, amounting to 15.8 million in Q3 2024. This segment has experienced a decline of 11% compared to the previous year, impacted by macroeconomic factors that reduced demand.
Gross and Operating Margins
InMode's gross margin for Q3 2024 stood at 82%, a slight decrease from 84% in Q3 2023. The operating margin was reported at 37% for Q3 2024 compared to 38% in Q3 2023.
| Financial Metric | Q3 2024 | Q3 2023 |
|---|---|---|
| Gross Margin | 82% | 84% |
| Operating Margin | 37% | 38% | Net Income | 50.99 million | 46.52 million |
Financial Performance Overview
For the first nine months of 2024, InMode reported total revenues of 296.9 million, down from 365.3 million in 2023. The net income for the same period was 98.5 million, compared to 142.7 million in the previous year.
Future Outlook
InMode has revised its revenue guidance for the full year 2024 to between 410 million and 420 million, down from previous estimates of 430 million to 440 million. Non-GAAP earnings per diluted share are projected to remain at 1.92 to 1.96.
| Guidance Metric | 2024 Estimates (USD Million) |
|---|---|
| Revenue | 410 - 420 |
| Non-GAAP Gross Margin | 81% - 82% |
| Non-GAAP Income from Operations | 140 - 145 |
| Non-GAAP Earnings per Diluted Share | 1.92 - 1.96 |
Cash Position
As of September 30, 2024, InMode reported a total cash position of 684.9 million, which includes cash and cash equivalents, marketable securities, and short-term bank deposits.
In summary, InMode Ltd. continues to leverage its strong market position in minimally invasive technologies while navigating challenges in consumables demand and adjusting its operational strategies for future growth.
InMode Ltd. (INMD) DCF Excel Template
5-Year Financial Model
40+ Charts & Metrics
DCF & Multiple Valuation
Free Email Support
Article updated on 8 Nov 2024
Resources:
- InMode Ltd. (INMD) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of InMode Ltd. (INMD)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View InMode Ltd. (INMD)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.