Penumbra’s second quarter saw strong momentum, with management attributing outperformance to robust adoption in its U.S. thrombectomy business and the successful rollout of new products like RUBY XL in embolization. CEO Adam Elsesser highlighted the company’s focus on expanding its commercial infrastructure and noted, “Our U.S. thrombectomy business led overall growth... reflecting strong continued adoption and ramping utilization of our CAVT portfolio.” Management also pointed to improved operational execution following the buildout of specialized sales teams, supporting growth across both the thrombectomy and embolization franchises.
Is now the time to buy PEN? Find out in our full research report (it’s free).
Penumbra (PEN) Q2 CY2025 Highlights:
- Revenue: $339.5 million vs analyst estimates of $327.5 million (13.4% year-on-year growth, 3.7% beat)
- Adjusted EPS: $0.86 vs analyst estimates of $0.82 (4.7% beat)
- Adjusted EBITDA: $61.38 million vs analyst estimates of $53.37 million (18.1% margin, 15% beat)
- The company slightly lifted its revenue guidance for the full year to $1.36 billion at the midpoint from $1.35 billion
- Operating Margin: 12%, up from -27% in the same quarter last year
- Constant Currency Revenue rose 12.7% year on year (14.7% in the same quarter last year)
- Market Capitalization: $9.27 billion
While we enjoy listening to the management's commentary, our favorite part of earnings calls are the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention.
Our Top 5 Analyst Questions From Penumbra’s Q2 Earnings Call
- Lawrence H. Biegelsen (Wells Fargo) asked about the significance of the STORM-PE study and its potential to change standard care. CEO Adam Elsesser explained it is the first randomized trial comparing anticoagulation alone to combined therapy, which could drive substantial clinical shifts if positive.
- Travis Lee Steed (Bank of America) inquired about the timing and rationale of the sales force split and potential near-term disruption. Elsesser stated the split allows for greater focus, and most hires are already trained and operational, minimizing expected disruption.
- William John Plovanic (Canaccord) questioned the drivers behind international and embolization outperformance, particularly regarding China. Elsesser indicated that easing headwinds and product launches are helping recovery, with a minor China order but no substantial change in coil sales there.
- Ryan Benjamin Zimmerman (BTIG) sought clarity on the timeline for FDA clearance of Thunderbolt and the necessity of further clinical trials for distal aspiration. Elsesser emphasized the process is ongoing and as expected, while discussions continue about the need for additional distal trials.
- Christopher Thomas Pasquale (Nephron) asked about growth expectations for international embolization and quantification of China’s contribution. Elsesser clarified China does not contribute to coil sales and noted international recovery reflects long-term efforts to optimize product portfolio and market presence.
Catalysts in Upcoming Quarters
Going forward, the StockStory team will be watching (1) the impact of STORM-PE clinical trial results on U.S. thrombectomy adoption, (2) the effectiveness of the newly separated sales forces in driving growth for both thrombectomy and embolization, and (3) continued recovery and contribution from international markets, especially as China headwinds subside. Progress on the Thunderbolt device’s regulatory pathway will also be a key signpost.
Penumbra currently trades at $235.75, up from $227.22 just before the earnings. At this price, is it a buy or sell? Find out in our full research report (it’s free).
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