Medical technology specialist InMode (NASDAQ:INMD) was a very in-fashion stock Monday. The company's shares zoomed 12.5% higher, on the back of very encouraging preliminary results and raised guidance.
According to its preliminary calculations, InMode will post record revenue in the second quarter of $86.5 million to $87 million. Bottom line, adjusted earnings are also projected to set a new high of $1 to $1.01 per share.
The good times should last through the entirety of 2021, at a minimum. InMode also raised its guidance for the full year; it believes annual revenue will come in at $305 million to $315 million, with adjusted gross margin of 84% to 86%. The Israel-based company didn't provide any bottom-line forecasts.
Regardless, that top-line annual figure alone is enough to attract attention. If achieved, it would represent year-over-year growth of at least 48%.
It would also continue a pattern of impressive increases from the company, which concentrates on dermatology procedures. In its first quarter, InMode managed to lift its revenue by 62% on a year-over-year basis thanks largely to what it described as "continued demand for our minimally invasive and hands-free devices." The company is also doing a brisk business in sales of its consumable products.
What's also helping InMode is the return of elective surgery, with many patients who were scared to come to the doctor's office during the pandemic returning for nonessential procedures. Numerous dermatology procedures fall under this category, hence the notable increase in demand for InMode's solutions.