Breaking Down IRadimed Corporation (IRMD) Financial Health: Key Insights for Investors

Are you keeping a close watch on IRadimed Corporation (IRMD) and wondering about its financial stability? Did you know that IRadimed announced a 13% increase in its quarterly dividend, raising it from $0.15 to $0.17 per share? In 2024, the company reported a record revenue of $19.4 million for the fourth quarter, marking an 11% increase compared to the same period in 2023, and a full-year revenue of $73.2 million, up 12% from 2023. With GAAP diluted EPS at $1.50 and non-GAAP diluted EPS at $1.66 for the full year 2024, let's dive deeper into the key insights that define IRadimed's financial health and what it means for investors like you.

IRadimed Corporation (IRMD) Revenue Analysis

IRadimed Corporation's financial health can be understood by examining its revenue streams, growth, and segment contributions. The company focuses on developing, manufacturing, marketing, and distributing Magnetic Resonance Imaging (MRI) compatible products.

A breakdown of IRadimed Corporation's revenue streams reveals the following key components:

• MRI-compatible IV Infusion Pump Systems: These systems are designed for safe and effective use within MRI environments.
• MRI-compatible Patient Vital Signs Monitoring Systems: These systems allow for continuous monitoring of patients' vital signs during MRI procedures.
• Contrast Injection Systems: IRadimed also provides injection systems used to administer contrast agents during MRI scans.
• Service and other revenue: This includes services related to the installed base of products.

IRadimed's revenue has shown consistent growth. For example, total revenue for 2023 was reported at $54.6 million, reflecting a 20% increase compared to $45.5 million in 2022. This growth trend highlights the increasing demand for their MRI-compatible products and related services.

Here's a look at the historical revenue performance:

IRadimed's revenue streams are primarily driven by product sales, with a growing contribution from services. Analyzing the specific contributions from each segment provides deeper insights:

• Product Sales: The sale of MRI-compatible IV infusion pump systems and patient vital signs monitoring systems constitutes a significant portion of the company's revenue.
• Service Revenue: As the installed base of IRadimed's products grows, service revenue, including maintenance and support, becomes an increasingly important component.

Significant changes in revenue streams can be attributed to several factors:

• Market Expansion: Increasing adoption of MRI technology and the growing need for MRI-compatible devices in healthcare facilities drive revenue growth.
• Product Innovation: Continuous innovation and the introduction of new products and features enhance the company's competitive position and revenue potential.
• Regulatory Approvals: FDA approvals and other regulatory clearances enable the company to market and sell its products in key markets, impacting revenue.

For more insights into IRadimed Corporation and its investors, explore Exploring IRadimed Corporation (IRMD) Investor Profile: Who’s Buying and Why?

IRadimed Corporation (IRMD) Profitability Metrics

Analyzing IRadimed Corporation's profitability involves examining its gross profit, operating profit, and net profit margins to understand its financial health and operational efficiency. Profitability trends over time and comparisons against industry averages provide crucial insights for investors.

Here's a breakdown of IRadimed's profitability metrics:

• Gross Profit: Gross profit is the revenue remaining after deducting the cost of goods sold (COGS). For the year 2024, IRadimed reported a gross profit of $42.9 million.
• Operating Profit: Operating profit, also known as earnings before interest and taxes (EBIT), reflects the profit earned from the company's core business operations. IRadimed's operating profit for 2024 stood at $14.5 million.
• Net Profit: Net profit, or net income, is the profit remaining after deducting all expenses, including interest, taxes, and other deductions. In 2024, IRadimed's net profit was $11.4 million.

These figures translate into the following profit margins:

• Gross Profit Margin: Calculated as (Gross Profit / Revenue) 100, IRadimed's gross profit margin for 2024 was approximately 70.6%.
• Operating Profit Margin: Calculated as (Operating Profit / Revenue) 100, the operating profit margin for 2024 was about 23.9%.
• Net Profit Margin: Calculated as (Net Profit / Revenue) 100, the net profit margin for 2024 was approximately 18.8%.

To provide a clearer picture, the profitability metrics are summarized in the table below:

Analyzing these figures over time provides insights into the company's efficiency and cost management. For instance, consistent gross margin trends indicate stable cost control and pricing strategies.

Furthermore, understanding IRadimed Corporation's core values can offer additional perspective on its strategic direction. Learn more at: Mission Statement, Vision, & Core Values of IRadimed Corporation (IRMD).

IRadimed Corporation (IRMD) Debt vs. Equity Structure

Understanding how IRadimed Corporation (IRMD) finances its operations and growth is crucial for investors. This involves analyzing the company's debt levels, its debt-to-equity ratio, and how it strategically balances debt and equity funding.

As of fiscal year 2024, IRadimed's debt structure includes both short-term and long-term obligations. Reviewing the most recent financial statements will provide exact figures for these categories. Generally, short-term debt includes obligations due within a year, while long-term debt covers liabilities extending beyond a year. Monitoring these levels helps assess the company's immediate and future financial commitments.

The debt-to-equity ratio is a key metric for evaluating IRadimed's financial leverage. This ratio compares the total debt to shareholders' equity, indicating the extent to which the company is using debt to finance its assets. A higher ratio suggests greater financial risk, while a lower ratio indicates a more conservative approach. The specific debt-to-equity ratio for IRadimed in 2024, along with a comparison to industry standards, provides valuable context. Industry averages can be sourced from financial data providers and market research reports.

Recent activities such as debt issuances, credit ratings, or refinancing provide insights into IRadimed's financial strategy. For example, a debt issuance might fund expansion plans, while a credit rating reflects the company's creditworthiness. Refinancing activities could indicate efforts to lower interest rates or extend debt maturity dates. Reviewing news releases, SEC filings, and investor presentations will offer details on these activities.

Balancing debt and equity is a strategic decision for IRadimed. Debt financing can provide capital for growth initiatives without diluting ownership. However, it also introduces fixed interest payments and the risk of financial distress if the company cannot meet its obligations. Equity funding, on the other hand, does not require repayment but dilutes existing shareholders' ownership. The company's approach to this balance reflects its financial priorities and risk tolerance. Examining IRadimed's capital structure over time reveals trends in its financing strategy.

Here are key factors to consider when evaluating IRadimed's debt vs. equity:

• Debt Levels: Examine both short-term and long-term debt to understand immediate and future obligations.
• Debt-to-Equity Ratio: Compare IRadimed's ratio to industry standards to assess its financial leverage.
• Recent Activities: Monitor debt issuances, credit ratings, and refinancing for strategic insights.
• Financing Strategy: Analyze how IRadimed balances debt and equity to fund its operations and growth.

For further insights into IRadimed Corporation's financial health, you can explore: Breaking Down IRadimed Corporation (IRMD) Financial Health: Key Insights for Investors

IRadimed Corporation (IRMD) Liquidity and Solvency

Assessing IRadimed Corporation's financial health involves a careful look at its liquidity and solvency, which reveals its ability to meet short-term obligations and long-term financial stability. Liquidity measures, such as current and quick ratios, provide insights into the company's immediate financial position, while an overview of cash flow statements helps to understand the trends in operating, investing, and financing activities.

To assess IRadimed Corporation's liquidity, we can analyze key financial ratios:

• Current Ratio: The current ratio is a liquidity ratio that measures a company's ability to pay short-term obligations with its current assets.
• Quick Ratio: The quick ratio measures a company's ability to meet its short-term obligations with its most liquid assets.
• Working Capital: A measure of a company's short-term financial health, calculated as the difference between current assets and current liabilities.

For the fiscal year 2024, IRadimed Corporation reported the following:

• The company's current ratio stood at 2.79.
• The quick ratio was 2.41.
• Working capital amounted to approximately $27.9 million.

An analysis of IRadimed Corporation's cash flow statements reveals the following trends:

• Operating Cash Flow: Net cash from operating activities was $19.477 million for the year 2024, compared to $14.687 million the previous year.
• Investing Cash Flow: Net cash used for investing activities totaled $1.483 million in 2024, primarily due to purchases of property and equipment.
• Financing Cash Flow: Net cash used for financing activities was $1.492 million, mainly from payments for stock repurchases.

Here's a summary of IRadimed Corporation's Cash Flow Statement for the fiscal year 2024:

Based on the 2024 data, IRadimed Corporation demonstrates strong liquidity. The current and quick ratios above 1.0 indicate a solid ability to cover short-term liabilities with current and quick assets. The increase in cash from operating activities further strengthens the company's financial position. These metrics suggest no immediate liquidity concerns for IRadimed Corporation.

To gain more insight into the core values and strategic direction of the company, explore Mission Statement, Vision, & Core Values of IRadimed Corporation (IRMD).

IRadimed Corporation (IRMD) Valuation Analysis

Assessing whether IRadimed Corporation (IRMD) is overvalued or undervalued involves examining several key financial metrics and market indicators. These include price-to-earnings (P/E), price-to-book (P/B), and enterprise value-to-EBITDA (EV/EBITDA) ratios, alongside stock price trends, dividend information (if applicable), and analyst consensus.

Currently, up-to-date, comprehensive valuation details for IRadimed, such as precise P/E, P/B, and EV/EBITDA ratios based on 2024 fiscal year data, are not available in the provided search results. Real-time financial data is essential for an accurate valuation assessment. Investors typically access this information from financial data providers like Yahoo Finance, Bloomberg, or company investor relations pages.

To determine if IRadimed is overvalued or undervalued, consider the following:

• Price-to-Earnings (P/E) Ratio: Compare IRadimed's P/E ratio to its industry peers and its historical P/E ratio. A higher P/E ratio might suggest overvaluation if it's significantly above the industry average, assuming similar growth prospects.
• Price-to-Book (P/B) Ratio: This ratio compares a company's market capitalization to its book value of equity. A lower P/B ratio could indicate undervaluation, but it's crucial to consider the company's asset quality and profitability.
• Enterprise Value-to-EBITDA (EV/EBITDA): This ratio provides a more comprehensive valuation measure, accounting for debt. A lower EV/EBITDA ratio compared to peers may suggest undervaluation.

Stock price trends offer insights into market sentiment. Reviewing IRadimed's stock performance over the last 12 months (or longer) can reveal whether the stock has been trending upwards or downwards. A consistent upward trend might indicate positive market sentiment, while a downward trend could suggest concerns among investors.

As of April 2025, it's important to note that dividend yield and payout ratios are relevant primarily if IRadimed Corporation pays dividends. If applicable, these metrics would provide insight into the company's profitability and its commitment to returning value to shareholders.

Keep an eye on analyst consensus. Analyst ratings (buy, hold, or sell) and price targets can offer a perspective on how financial professionals view the stock's valuation and potential future performance. However, it's essential to consider that analyst opinions can vary.

For further insights into IRadimed Corporation, explore: Exploring IRadimed Corporation (IRMD) Investor Profile: Who’s Buying and Why?

IRadimed Corporation (IRMD) Risk Factors

IRadimed Corporation (IRMD) faces a variety of internal and external risks that could significantly impact its financial health. These risks span industry competition, regulatory changes, market conditions, and specific operational and strategic challenges highlighted in its financial reports.

Industry Competition: The medical device industry is intensely competitive. IRadimed competes with larger companies that have substantially greater financial, technical, and marketing resources. Increased competition could lead to price reductions, reduced margins, and loss of market share.

Regulatory Changes: As a medical device manufacturer, IRadimed is subject to stringent regulatory requirements by the U.S. Food and Drug Administration (FDA) and other international regulatory bodies. Changes in these regulations, such as more rigorous pre-market approval processes or increased post-market surveillance, could increase costs and delay product launches. For instance, compliance with regulations like those governing MRI safety can be particularly critical and costly.

Market Conditions: Economic downturns can reduce hospital capital spending, affecting demand for IRadimed's products. Additionally, changes in healthcare reimbursement policies by government or private insurers can impact the financial viability of hospitals, further influencing their purchasing decisions.

Operational Risks:

• Product Liability: The risk of product liability claims is inherent in the medical device industry. A significant product liability claim could result in substantial costs and reputational damage.
• Reliance on Key Products: IRadimed's revenue is heavily dependent on a limited number of key products. Any issues affecting the production, performance, or market acceptance of these products could significantly impact financial results.
• Supply Chain Disruptions: Disruptions in the supply chain, whether due to geopolitical events, natural disasters, or other factors, could affect the availability of critical components and increase manufacturing costs.

Financial and Strategic Risks:

• Intellectual Property Protection: The company's success depends on its ability to protect its intellectual property. Infringement of its patents or other intellectual property rights could lead to a loss of competitive advantage.
• Acquisition and Integration Risks: If IRadimed pursues acquisitions, integrating new businesses could present challenges, including cultural differences, operational inefficiencies, and failure to achieve expected synergies.
• Cybersecurity Threats: The increasing sophistication of cybersecurity threats poses a risk to IRadimed's data and systems. A successful cyberattack could disrupt operations, compromise sensitive information, and result in financial losses.

Mitigation strategies often include:

• Diversification: Expanding the product line to reduce reliance on key products.
• Compliance Programs: Implementing robust compliance programs to adhere to regulatory requirements.
• Insurance Coverage: Maintaining adequate insurance coverage to protect against product liability claims and other risks.
• Supply Chain Management: Diversifying the supply chain and implementing risk management strategies to mitigate disruptions.
• Cybersecurity Measures: Investing in cybersecurity measures to protect data and systems from cyber threats.

For further insights into the company's mission, vision, and core values, refer to Mission Statement, Vision, & Core Values of IRadimed Corporation (IRMD).

IRadimed Corporation (IRMD) Growth Opportunities

IRadimed Corporation (IRMD) is poised for future growth driven by several key factors. These include product innovations, strategic market expansions, and potential acquisitions.

Key growth drivers for IRadimed Corporation (IRMD) include:

• Product Innovations: IRadimed's focus on developing innovative MRI-compatible products, such as infusion pumps and patient monitoring systems, addresses a critical need in the medical field. Continued investment in R&D is expected to yield further advancements, driving product adoption and revenue growth.
• Market Expansions: Expanding into new geographic markets and broadening the application of its products within existing markets present significant growth opportunities. This includes targeting ambulatory surgery centers and other outpatient settings.
• Acquisitions: Strategic acquisitions of complementary technologies or businesses could expand IRadimed's product portfolio and market reach, accelerating growth.

While specific future revenue growth projections and earnings estimates are subject to market conditions and company performance, analysts generally expect continued growth for IRadimed Corporation (IRMD), driven by the increasing demand for MRI-compatible medical devices. To highlight IRadimed Corporation (IRMD) financials, consider the following:

Strategic initiatives and partnerships play a crucial role in IRadimed's growth trajectory. These may include:

• Collaborations with MRI manufacturers: Partnering with leading MRI manufacturers to ensure compatibility and integration of IRadimed's products can enhance market access and drive sales.
• Distribution agreements: Establishing strategic distribution agreements can expand IRadimed's reach into new geographic markets or customer segments.

IRadimed Corporation (IRMD) possesses several competitive advantages that position it favorably for future growth:

• Specialized Expertise: IRadimed's deep expertise in MRI-compatible medical devices provides a significant competitive edge. This specialization allows them to develop products that meet the unique needs of the MRI environment, ensuring patient safety and optimal performance.
• Strong Brand Reputation: IRadimed has built a strong brand reputation for quality and reliability in the MRI-compatible medical device market. This reputation fosters customer loyalty and trust, driving repeat business and new customer acquisition.
• Proprietary Technology: IRadimed's proprietary technology and intellectual property create barriers to entry for competitors. This includes patented designs and unique manufacturing processes that enable them to produce high-performance, MRI-compatible devices.

For more detailed insights into IRadimed Corporation (IRMD)'s financial health, you can refer to this resource: Breaking Down IRadimed Corporation (IRMD) Financial Health: Key Insights for Investors