Nuwellis (NASDAQ:NUWE) Posts Earnings Results, Misses Estimates By $1.09 EPS

Nuwellis (NASDAQ:NUWE) posted its quarterly earnings results on Tuesday. The company reported ($2.09) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($1.00) by ($1.09), Zacks reports. Nuwellis had a negative return on equity of 6,094.26% and a negative net margin of 214.90%.The firm had revenue of $2.40 million for the quarter, compared to the consensus estimate of $2.09 million.

Here are the key takeaways from Nuwellis’ conference call:

• Nuwellis said Q1 revenue rose 26% year over year to $2.4 million, driven by stronger console sales and a 15% increase in circuit sales as more patients were treated with Aquadex therapy.
• Gross margin improved to 70.1%, which management attributed to better pricing, product mix, and the shift to contract manufacturing.
• The company completed the Rendiatech acquisition to expand its cardiorenal platform, with management saying the technology could add bedside kidney-function monitoring and is targeted for a U.S. launch in 2027.
• Pediatrics is becoming a major growth driver, now representing about 50% of U.S. revenue, with the footprint expanding to 47 centers including six top children’s hospitals.
• Despite improving revenue and margins, operating expenses rose to about $6 million and the company reported a net loss of approximately $4.3 million, while ending the quarter with $2.2 million of cash and no debt.

Nuwellis Stock Up 4.9%

Shares of NASDAQ NUWE traded up $0.05 during midday trading on Thursday, hitting $1.08. The stock had a trading volume of 42,243 shares, compared to its average volume of 1,443,560. The company has a market capitalization of $2.66 million, a PE ratio of -0.02 and a beta of 0.25. The stock has a 50 day simple moving average of $1.16 and a 200-day simple moving average of $1.95. Nuwellis has a 1 year low of $0.96 and a 1 year high of $43.18.

Analysts Set New Price Targets

Separately, Weiss Ratings reissued a “sell (e+)” rating on shares of Nuwellis in a research report on Friday, March 27th. One research analyst has rated the stock with a Sell rating, According to data from MarketBeat.com, the company has an average rating of “Sell”.

About Nuwellis

Nuwellis (NASDAQ:NUWE) is a medical technology company focused on developing therapies and devices to manage fluid overload in patients with cardiorenal and cardiovascular conditions. The company’s core business revolves around designing, manufacturing and marketing the Aquadex™ FlexFlow® System, a gentle ultrafiltration device intended to remove excess fluid in patients with acute decompensated heart failure, cardiorenal syndrome and other fluid‐overload disorders. By providing an alternative to traditional diuretic therapy, Nuwellis aims to improve patient outcomes and reduce hospital stays.

The Aquadex FlexFlow System operates by drawing blood through a low‐shear filter and returning it to the patient, allowing precise control of fluid removal at the bedside outside of an intensive care setting.