Benzinga | Jul 14, 2021 06:57AM EDT

LeMaitre Vascular Sees Better Than Expected Q2 Sales, Raises $55M Via Equity At 9% Discount

* LeMaitre Vascular Inc (NASDAQ:LMAT) has announced preliminary Q2 2021 results and sees net sales of $40.7 million compared to an estimated $37.9 million, up 64%Y/Y on a reported basis and +35% organically.

* It expects gross margin in the range of 65.5% to 66.1%, -2.7% at the midpoint vs. Q2 2020, due to inventory write-downs and manufacturing inefficiencies related to personnel reductions in 2020.

* The Company sees operating income of approximately $10.9 million to $11.3 million, +128% at the midpoint.

* The quarter ended with cash and cash equivalents of $21.8 million, and debt stood at $23 million.

* 2Q sales growth was driven by Artegraft (acquired in June 2020) with sales of $6.7 million, as well as by valvulotomes, shunts, and allografts.

* Sales growth was boosted in all geographic locations, with the Americas up +83%, Europe/Middle East/Africa up +36%, and Asia/Pac up +29%.

* Concurrently, the Company also priced underwritten public offering of 1 million shares at $54.50 per share, with gross proceeds of approximately $54.5 million.

* Proceeds will be used to repay senior secured credit facility and general corporate purposes.

* Price Action: LMAT shares closed at $60.03 on Tuesday.