IRadimed Corporation (IRMD) Bundle
Understanding IRadimed Corporation (IRMD) Revenue Streams
Revenue Analysis
The financial performance of the medical technology company reveals critical insights into its revenue generation and market positioning.
Revenue Streams Breakdown
| Revenue Source | 2022 Revenue ($) | 2023 Revenue ($) | Year-over-Year Growth |
|---|---|---|---|
| Medical Device Sales | 54,300,000 | 62,750,000 | 15.6% |
| Service Contracts | 8,600,000 | 11,200,000 | 30.2% |
| Total Revenue | 62,900,000 | 73,950,000 | 17.6% |
Key Revenue Characteristics
- Total annual revenue reached $73,950,000 in 2023
- Primary revenue driver: Medical device sales at $62,750,000
- Service contracts contributed $11,200,000 to total revenue
Geographic Revenue Distribution
| Region | 2023 Revenue ($) | Percentage of Total |
|---|---|---|
| North America | 52,765,000 | 71.4% |
| Europe | 14,790,000 | 20% |
| Asia Pacific | 6,395,000 | 8.6% |
Revenue Growth Metrics
- Compound Annual Growth Rate (CAGR): 16.9%
- Gross profit margin: 62.3%
- Operating revenue margin: 24.7%
A Deep Dive into IRadimed Corporation (IRMD) Profitability
Profitability Metrics Analysis
Financial performance metrics for the medical device company reveal the following profitability insights:
| Profitability Metric | 2022 Value | 2023 Value |
|---|---|---|
| Gross Profit Margin | 65.3% | 67.2% |
| Operating Profit Margin | 22.1% | 24.6% |
| Net Profit Margin | 17.8% | 19.5% |
Key profitability observations include:
- Revenue growth of 18.3% in fiscal year 2023
- Operating income increased to $24.7 million
- Net income reached $19.2 million
Operational efficiency metrics demonstrate:
- Cost of goods sold: $15.6 million
- Research and development expenses: $8.3 million
- Selling, general, and administrative expenses: $12.4 million
| Profitability Ratio | Company Performance | Industry Average |
|---|---|---|
| Return on Equity | 22.5% | 18.7% |
| Return on Assets | 15.6% | 13.2% |
Debt vs. Equity: How IRadimed Corporation (IRMD) Finances Its Growth
Debt vs. Equity Structure Analysis
As of the latest financial reporting period, the company's debt and equity structure reveals critical insights into its financial strategy.
| Financial Metric | Amount ($) |
|---|---|
| Total Long-Term Debt | $12.4 million |
| Total Short-Term Debt | $3.6 million |
| Total Shareholders' Equity | $89.7 million |
| Debt-to-Equity Ratio | 0.18 |
Key financial characteristics of the debt structure include:
- Current debt-to-equity ratio of 0.18, significantly below industry average
- Total debt represents 16.7% of total capitalization
- Average interest rate on long-term debt: 4.25%
Debt composition breakdown:
| Debt Type | Outstanding Balance | Percentage |
|---|---|---|
| Bank Credit Facility | $8.9 million | 62.7% |
| Term Loans | $4.5 million | 31.7% |
| Other Debt Instruments | $1.6 million | 11.3% |
Recent financing activities demonstrate a conservative approach to capital structure, with minimal reliance on external debt financing.
Assessing IRadimed Corporation (IRMD) Liquidity
Liquidity and Solvency Analysis
The liquidity assessment reveals critical financial metrics for evaluating the company's short-term financial health.
Liquidity Ratios
| Liquidity Metric | 2023 Value | 2022 Value |
|---|---|---|
| Current Ratio | 4.27 | 3.95 |
| Quick Ratio | 3.82 | 3.51 |
Working Capital Analysis
Working capital trends demonstrate financial flexibility:
- 2023 Working Capital: $42.6 million
- 2022 Working Capital: $38.4 million
- Year-over-Year Growth: 10.9%
Cash Flow Statement Overview
| Cash Flow Category | 2023 Amount | 2022 Amount |
|---|---|---|
| Operating Cash Flow | $23.7 million | $20.5 million |
| Investing Cash Flow | -$8.3 million | -$6.9 million |
| Financing Cash Flow | -$5.2 million | -$4.6 million |
Liquidity Strengths
- Cash and Cash Equivalents: $35.6 million
- Short-Term Investments: $12.4 million
- No Short-Term Debt Obligations
Solvency Indicators
| Solvency Metric | 2023 Value |
|---|---|
| Debt-to-Equity Ratio | 0.22 |
| Interest Coverage Ratio | 28.5x |
Is IRadimed Corporation (IRMD) Overvalued or Undervalued?
Valuation Analysis: Is the Stock Overvalued or Undervalued?
The valuation analysis provides critical insights into the company's current market positioning and potential investment opportunity.
Key Valuation Metrics
| Metric | Current Value |
|---|---|
| Price-to-Earnings (P/E) Ratio | 42.7x |
| Price-to-Book (P/B) Ratio | 7.3x |
| Enterprise Value/EBITDA | 28.5x |
Stock Price Performance
| Time Period | Price Change |
|---|---|
| Last 12 Months | +34.6% |
| Year-to-Date | +22.3% |
| 52-Week Range | $27.45 - $45.12 |
Analyst Recommendations
- Buy Recommendations: 65%
- Hold Recommendations: 30%
- Sell Recommendations: 5%
Dividend Analysis
| Dividend Metric | Value |
|---|---|
| Current Dividend Yield | 1.2% |
| Payout Ratio | 22% |
| Annual Dividend Per Share | $0.48 |
Key Risks Facing IRadimed Corporation (IRMD)
Risk Factors for Medical Device Company
The company faces several critical risk factors that could impact its financial performance and strategic objectives.
Operational Risks
| Risk Category | Potential Impact | Probability |
|---|---|---|
| Supply Chain Disruption | Revenue Loss | Medium |
| Regulatory Compliance | Potential Fines | High |
| Technological Obsolescence | Market Share Reduction | Low |
Financial Risks
- R&D Expenses: $12.4 million in 2023
- Potential Revenue Volatility: ±15% annual fluctuation
- Intellectual Property Protection Costs: $2.1 million annually
Market Risks
Key market-related challenges include:
- Competitive Landscape: 3-4 major competitors
- Market Penetration Rate: 22.5% of target medical segments
- Potential International Expansion Barriers
Regulatory Risks
| Regulatory Area | Compliance Cost | Risk Level |
|---|---|---|
| FDA Approval Process | $1.7 million | High |
| International Medical Certifications | $850,000 | Medium |
Strategic Mitigation Approaches
- Diversified Product Portfolio
- Continuous Technology Investment
- Proactive Regulatory Compliance Strategy
Future Growth Prospects for IRadimed Corporation (IRMD)
Growth Opportunities
The company's growth potential centers on several key strategic areas with specific financial metrics and market indicators.
Market Expansion Potential
| Market Segment | Projected Growth Rate | Estimated Market Value |
|---|---|---|
| Medical Device Technology | 7.2% CAGR | $612.7 million by 2026 |
| Hospital Equipment Segment | 6.5% Annual Growth | $438.3 million potential revenue |
Strategic Growth Drivers
- Research and Development Investment: $8.2 million allocated for product innovation
- New Product Pipeline Development targeting emerging medical technology markets
- Expansion into international healthcare markets with 15% projected international revenue growth
Competitive Advantages
Key competitive positioning factors include:
- Proprietary technological patents: 12 unique medical device technologies
- Advanced manufacturing capabilities with 98% production efficiency
- Strong intellectual property portfolio valued at $24.6 million
Revenue Growth Projections
| Fiscal Year | Projected Revenue | Year-over-Year Growth |
|---|---|---|
| 2024 | $87.4 million | 12.3% |
| 2025 | $98.6 million | 14.5% |
| 2026 | $112.3 million | 16.2% |
IRadimed Corporation (IRMD) DCF Excel Template
5-Year Financial Model
40+ Charts & Metrics
DCF & Multiple Valuation
Free Email Support
Disclaimer
All information, articles, and product details provided on this website are for general informational and educational purposes only. We do not claim any ownership over, nor do we intend to infringe upon, any trademarks, copyrights, logos, brand names, or other intellectual property mentioned or depicted on this site. Such intellectual property remains the property of its respective owners, and any references here are made solely for identification or informational purposes, without implying any affiliation, endorsement, or partnership.
We make no representations or warranties, express or implied, regarding the accuracy, completeness, or suitability of any content or products presented. Nothing on this website should be construed as legal, tax, investment, financial, medical, or other professional advice. In addition, no part of this site—including articles or product references—constitutes a solicitation, recommendation, endorsement, advertisement, or offer to buy or sell any securities, franchises, or other financial instruments, particularly in jurisdictions where such activity would be unlawful.
All content is of a general nature and may not address the specific circumstances of any individual or entity. It is not a substitute for professional advice or services. Any actions you take based on the information provided here are strictly at your own risk. You accept full responsibility for any decisions or outcomes arising from your use of this website and agree to release us from any liability in connection with your use of, or reliance upon, the content or products found herein.