AngioDynamics Inc. (NASDAQ:ANGO) Q2 2018 Earnings Conference Call Transcript
Jan 04, 2018 • 08:00 am ET
Good morning, and welcome to the AngioDynamics Second Quarter Fiscal Year 2018 Earnings Call. At this time, all participants are in a listen-only mode. A brief question-and-answer session will follow the formal presentation. (Operator Instructions) As a reminder, this conference is being recorded.
The news release detailing the second quarter results crossed the wire earlier this morning and is available on the company's website. This conference call is also being broadcast live over the internet at the Investors section of the company's website at www.angiodynamics.com, and the webcast replay of the call will be available at the same site approximately one hour after the end of today's call.
Before we begin, I would like to caution listeners that during the course of this conference call, the company will make projections or forward-looking statements regarding future events, including statements about expected revenue, adjusted earnings and free cash flow for fiscal year 2018. Management encourages you to review the company's past and future filings with the SEC, including without limitation, the company's Forms 10-Q and 10-K, which identify specific factors that may cause the actual results or events to differ materially from those being described in the forward-looking statement.
A slide package offering insight into the company's financial results is also available on the Investors section of the company's website under Presentations. This presentation should be read in conjunction with the press release discussing the company's operating results and financial performance during this morning's conference call.
I'd now like to turn the call over to Jim Clemmer, AngioDynamics' President and Chief Executive Officer. Mr. Clemmer?
James C. Clemmer
Thanks, Rob. Good morning, everyone. And thank you for joining us for AngioDynamics second quarter 2018 earnings call. With me on the call is Michael Greiner, AngioDynamics' Executive Vice President and Chief Financial Officer.
Today, I will provide a brief overview of the operating highlights for the quarter. Michael will then provide a detailed analysis of our financial performance and an update to our fiscal 2018 financial guidance. After that we'll open the call to your questions.
The second quarter was both rewarding and challenging for AngioDynamics. While we continue to drive operating efficiencies and position our company for long-term success, our topline performance did not meet our expectations. This led us to reduce our full year 2018 net sales and free cash flow guidance.
Our net sales for the second quarter of fiscal 2018 were down 2.6% year-over-year to $86.7 million. This decrease was primarily attributable to declines in our Venous Insufficiency and Core businesses, as well as year-over-year declines in our non-BioFlo product lines. These were partially offset by growth in our Solero, AngioVac and BioFlo businesses.
Now, I'd like to briefly discuss the performance of each of our businesses during the quarter and outline the strategies we're implementing to improve performance and drive long-term growth in each of those businesses. Our Peripheral Vascular business was negatively impacted by year-over-year declines in the previously mentioned Venous Insufficiency and Core businesses.
These declines were partially offset by