Cutera® Announces Second Quarter 2024 Financial Results

BRISBANE, Calif.--()--CUTERA, INC. (Nasdaq: CUTR), a leading provider of aesthetic and dermatology solutions, today reported financial results for the second quarter ended June 30, 2024.

  • Consolidated revenue for the second quarter of 2024 of $34.4 million
  • Cash, cash equivalents, and restricted cash of $84.3 million
  • AviClear growth of 41% vs prior year period driven by international capital system sales
  • Service growth of 7% vs prior year period, highlighting improvements in field service and overall customer support
  • Completion of the Q4 2023 corporate restructuring program, and announcement of additional cost reduction initiatives, allowing for both improved cost structure and better organization alignment

“The second quarter was challenging for Cutera and for the aesthetics industry in general. While AviClear experienced continued momentum internationally, and our launch of Xeo+ is off to a promising start, our overall performance did not meet expectations, particularly in North America,” commented Taylor Harris, Chief Executive Officer of Cutera, Inc. “We are responding to the challenging market environment with new commercial leadership in North America, additional cost reductions, and continued focus on building the AviClear franchise through training and education, cooperative marketing, launches in new international markets, and clinical indication expansion.”

Steve Kreider Promoted to Senior Vice President, North America

In July 2024, Steve Kreider was promoted to Senior Vice President (SVP), North America, with leadership responsibility for the combined North American commercial organization, including sales, marketing and customer excellence. Mr. Kreider joined Cutera in 2022 as SVP, Global Marketing, and brings close to 20 years of experience in dermatology and aesthetics, having served in prior commercial and business development leadership roles at Ortho Dermatologics, Merz Aesthetics, and Medicis.

Taylor Harris commented: “I am thrilled to appoint Steve to this role, and I’m confident that he is the right leader to unify our commercial efforts to best serve our customers. Steve brings tremendous passion for building great teams and culture, as well as deep experience in our space, all of which will serve Cutera well.”

Second Quarter 2024 Financial Highlights

Consolidated revenue for the second quarter of 2024 was $34.4 million, a decrease of 44% compared to the second quarter 2023. Revenue in the second quarter of 2023 included skincare revenue of $9.4 million and as the skincare distribution agreement was terminated in February 2024, the second quarter of 2024 did not have skincare revenue. Revenue related to capital systems sales declined 39%, while recurring sources of revenue, excluding skincare, declined 20%.

Gross profit was $7.6 million, or 22.2% of revenue for the second quarter of 2024, compared to a gross profit of $26.1 million, or 42.2% of revenue, for the second quarter of 2023. On a non-GAAP basis, gross profit was $9.6 million, or 28.0% of revenue, for the second quarter of 2024, compared to $28.8 million, or 46.6%, for the second quarter of 2023. Gross profit in the second quarter, on a GAAP and a non-GAAP basis, was negatively affected by approximately $2.4 million, or 6.9% of revenue, of expense related to excess and obsolete inventory.

Operating expenses were $29.4 million for the second quarter of 2024, compared to $57.2 million in the prior year period. On a non-GAAP basis, operating expenses were $30.9 million for the second quarter of 2024, compared to $42.1 million for the prior year period.

GAAP operating loss was $21.8 million and $31.2 million for the second quarters of 2024 and 2023, respectively. Non-GAAP operating loss was $21.3 million for the second quarter of 2024, compared to a loss of $13.2 million for the second quarter of 2024.

Cash, cash equivalents, and restricted cash, were $84.3 million as of June 30, 2024, compared to $105.4 million as of March 31, 2024.

Cost Restructuring

During the second quarter, the company completed the global restructuring program that was initiated in the fourth quarter of 2023, which resulted in expense savings of approximately $20 million on an annualized basis. In addition to that program, the company has identified an additional $10 million cost reduction opportunity, which should be fully realized in 2025.

2024 Outlook

Management is revising full year revenue guidance to $140 million to $145 million, compared to previous revenue guidance of $160 million to $170 million. Cash, cash equivalents, and restricted cash guidance is updated to approximately $40 million at December 31, 2024, from the Company’s previous guidance of a range from $55 million to $60 million.

Conference Call

The Company’s management will host a conference call to discuss these results and related matters today at 1:30 p.m. PT (4:30 p.m. ET). Participating in the call will be Taylor Harris, Chief Executive Officer, Stuart Drummond, Interim Chief Financial Officer, and Shelby Eckerman, Vice President, Finance.

Participants can register for the conference call by following registration link. Upon registering, a calendar booking will be provided by email including the dial-in details and a unique PIN to access the call. Using this process will by-pass the operator and avoid the call queue. Registration will remain open until the end of the live conference call.

If participants prefer to dial in and speak with an operator, dial Canada/USA Toll Free: 1-844-763-8274 or +1-647-484-8814. It is recommended that you call in 10 minutes prior to the scheduled start time if you are using one of these operator-assisted phone numbers.

The call will also be webcast and can be accessed from the Investor Relations section of Cutera’s website at http://www.cutera.com/. The webcast replay of the call will be available at the same site approximately one hour after the end of the call.

About Cutera, Inc.

Cutera is a leading provider of aesthetic and dermatology solutions for practitioners worldwide. For over 25 years, Cutera has strived to improve lives through medical aesthetic technologies that are driven by science and powered through partnerships. For more information, call 1-888-4-CUTERA or visit Cutera.com.

*Use of Non-GAAP Financial Measures

In this press release, to supplement the Company’s condensed consolidated financial statements presented in accordance with Generally Accepted Accounting Principles, or GAAP, management has disclosed certain non-GAAP financial measures for gross margin, gross margin rate, and income or loss from operations. Non-GAAP adjustments include depreciation and amortization including contract acquisition costs, stock-based compensation, enterprise resource planning (“ERP”) implementation costs, certain legal and litigation costs, certain executive and non-recurring severance costs, retention plan costs, gain on termination of a distribution agreement, and certain other adjustments. From time to time in the future, there may be other items that the Company may exclude if the Company believes that doing so is consistent with the goal of providing useful information to investors and management. The Company has provided a reconciliation of each non-GAAP financial measure used in this earnings release to the most directly comparable GAAP financial measure.

The Company defines non-GAAP financial measure, also commonly known as adjusted EBITDA, as operating income before depreciation and amortization, stock-based compensation, ERP implementation costs, certain legal and litigation costs, severance, retention plan costs, gain on early termination of distribution agreement, and other adjustments.

Company management uses non-GAAP measures as aids in monitoring the Company’s ongoing financial performance from quarter to quarter, and year to year, and for benchmarking against other similar companies. Non-GAAP financial measures used by the Company may be calculated differently from, and therefore may not be comparable to, similarly titled measures used by other companies. These non-GAAP financial measures should be considered along with, but not as alternatives to, the operating performance measure as prescribed by GAAP. Non-GAAP financial measures for the statement of operations and net income per share exclude the following:

Depreciation and amortization, including contract acquisition costs. The Company has excluded depreciation and amortization expense in calculating its non-GAAP operating expenses and net income measures. Depreciation and amortization are non-cash charges to current operations;

Stock-based compensation. The Company has excluded the effect of stock-based compensation expenses in calculating its non-GAAP operating expenses and net income measures. Although stock-based compensation is a key incentive offered to the Company's employees, the Company continues to evaluate its business performance excluding stock-based compensation expenses. The Company records stock-based compensation expenses related to grants of options, employee stock purchase plans, and performance and restricted stock. Depending upon the size, timing, and terms of the grants, this expense may vary significantly but will recur in future periods. The Company believes that excluding stock-based compensation better allows for comparisons to its peer companies;

ERP implementation costs. The Company has excluded ERP system costs related to direct and incremental costs incurred in connection with its multi-phase implementation of a new ERP solution and the related technology infrastructure costs. The Company excludes these costs because it believes that these items do not reflect future operating expenses and will be inconsistent in amounts and frequency, making it difficult to contribute to a meaningful evaluation of the Company’s operating performance;

Certain legal and litigation costs. The Company has excluded costs incurred related to its litigation against Lutronic Aesthetics as well as the settlement of $5.8 million, which is not part of the Company’s ordinary course of business. The Company’s complaint against Lutronic alleges misappropriation of trade secrets, violation of the Racketeer Influenced and Corrupt Organizations Act (RICO), interference with contractual relations and other claims. The Company excludes these costs as well as the settlement because this litigation is a result of a discrete event that was not part of the Company’s business strategy, but has a significant effect on the results of operations. Its costs are incidental to and do not reflect the efficiencies and effectiveness of the Company’s core operations;

Severance. The Company has excluded costs associated with restructuring activities and the separation of its officers and other executives in calculating its non-GAAP operating expenses and non-GAAP Operating Income. The Company has excluded restructuring costs because a restructuring represents a discrete event that signifies a change in the Company’s strategy, but its costs are not indicative of the ongoing financial performance of the business. The Company excludes executive separation costs because executive separations are unpredictable and not part of the Company’s business strategy but could have a significant impact on the results of operation;

Retention plan costs. The Company has excluded the expense related to a retention plan implemented in April 2023. Approximately $11 million was made available to sales personnel and key employees. The Company expects the final aggregate payments under the retention plan will be approximately $7 million with the final installment occurring in October 2024. The Company has excluded expense related to this retention plan as such costs are not considered part of ongoing operations; and

Gain on early termination of distribution agreement. The Company has excluded a gain recorded in connection with the early termination of a distribution agreement with ZO USA in calculating its non-GAAP operating expenses and non-GAAP operating income. The Company recorded the net gain of $9.7 million in the Company's condensed consolidated statement of operations for the three months ended March 31, 2024. The Company has excluded this gain as it is not indicative of the ongoing financial performance of the business, and not part of the Company’s business strategy.

The Company believes that excluding all of the items above allows users of its financial statements to better review and assess both current and historical results of operations.

Safe Harbor Statement

Certain statements in this press release, other than purely historical information, are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act, and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”). These statements include but are not limited to, Cutera’s plans, objectives, strategies, financial performance, guidance and outlook, product launches and performance, trends, prospects, or future events and involve known and unknown risks that are difficult to predict. As a result, the Company’s actual financial results, performance, achievements, or prospects may differ materially from those expressed or implied by these forward-looking statements. In some cases, you can identify forward-looking statements by the use of words such as, but not limited to, “may,” “could,” “seek,” “guidance,” “predict,” “potential,” “likely,” “believe,” “will,” “should,” “expect,” “anticipate,” “estimate,” “plan,” “intend,” “forecast,” “foresee” or variations of these terms and similar expressions or the negative of these terms or similar expressions. Forward-looking statements are based on management's current, preliminary expectations and are subject to risks and uncertainties, which may cause Cutera's actual results to differ materially from the statements contained herein. These statements are not guarantees of future performance, and stockholders should not place undue reliance on forward-looking statements. There are several risks, uncertainties, and other important factors, many of which are beyond the Company’s control, that could cause its actual results to differ materially from the forward-looking statements contained in this press release, including those described in the “Risk Factors” section of Annual Reports on Form 10-K, Quarterly Reports on Form 10-Q, Current Reports on Form 8-K, and other documents filed from time to time with the United States Securities and Exchange Commission by Cutera.

All statements made in this release are made only as of the date set forth at the beginning of this release. Accordingly, undue reliance should not be placed on forward-looking statements. Cutera undertakes no obligation to update publicly any forward-looking statements to reflect new information, events, or circumstances after the date they were made, or to reflect the occurrence of unanticipated events. If the Company updates one or more forward-looking statements, no inference should be drawn that it will make additional updates concerning those or other forward-looking statements. Cutera's financial performance for the second quarter ended June 30, 2024, as discussed in this release, is preliminary and unaudited, and subject to adjustment.

CUTERA, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands)
(unaudited)
 
June 30, December 31,

2024

2023

Assets
Current assets:
Cash and cash equivalents

$

83,115

 

$

143,612

 

Accounts receivable, net

 

34,554

 

 

43,121

 

Inventories

 

80,353

 

 

62,600

 

Other current assets and prepaid expenses

 

12,961

 

 

19,852

 

Total current assets

 

210,983

 

 

269,185

 

 
Long-term inventories

 

13,825

 

 

16,283

 

Property and equipment, net

 

28,140

 

 

37,275

 

Deferred tax asset

 

508

 

 

579

 

Restricted cash

 

1,196

 

 

-

 

Goodwill

 

1,339

 

 

1,339

 

Operating lease right-of-use assets

 

11,388

 

 

10,055

 

Other long-term assets

 

8,916

 

 

11,575

 

Total assets

$

276,295

 

$

346,291

 

 
Liabilities and Stockholders' Deficit
Current liabilities:
Accounts payable

$

17,617

 

$

19,829

 

Accrued liabilities

 

30,356

 

 

55,055

 

Operating leases liabilities

 

3,382

 

 

2,441

 

Deferred revenue

 

8,798

 

 

10,422

 

Total current liabilities

 

60,153

 

 

87,747

 

 
Deferred revenue, net of current portion

 

1,507

 

 

1,494

 

Operating lease liabilities, net of current portion

 

9,223

 

 

8,887

 

Convertible notes, net of unamortized debt issuance costs

 

419,841

 

 

418,695

 

Other long-term liabilities

 

1,242

 

 

1,298

 

Total liabilities

 

491,966

 

 

518,121

 

 
Stockholders’ deficit:
Common stock

 

20

 

 

20

 

Additional paid-in capital

 

135,114

 

 

131,496

 

Accumulated deficit

 

(350,805

)

 

(303,346

)

Total stockholders' deficit

 

(215,671

)

 

(171,830

)

Total liabilities and stockholders' deficit

$

276,295

 

$

346,291

 

CUTERA, INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share data)
(unaudited)
 
Three Months Ended Six Months Ended
June 30, June 30, June 30,   June 30,

2024

2023

2024

2023

 
Products $

28,357

 

$

56,175

 

$

61,472

 

$

105,296

 

Service

6,020

 

5,650

 

11,698

 

11,055

 

Total net revenue

34,377

 

61,825

 

73,170

 

116,351

 

 
Products

23,765

 

32,051

 

47,054

 

62,110

 

Service

2,968

 

3,691

 

6,053

 

6,526

 

Total cost of revenue

26,733

 

35,742

 

53,107

 

68,636

 

Gross profit

7,644

 

26,083

 

20,063

 

47,715

 

Gross margin %

22.2

%

42.2

%

27.4

%

41.0

%

 
Operating expenses:
Sales and marketing

20,664

 

33,271

 

44,341

 

62,783

 

Research and development

4,463

 

5,784

 

9,464

 

12,252

 

General and administrative

4,321

 

18,191

 

17,202

 

30,444

 

Gain on early termination of distribution agreement

-

 

-

 

(9,708

)

-

 

Total operating expenses

29,448

 

57,246

 

61,299

 

105,479

 

Loss from operations

(21,804

)

(31,163

)

(41,236

)

(57,764

)

Amortization of debt issuance costs

(575

)

(557

)

(1,146

)

(1,109

)

Interest on convertible notes

(2,959

)

(2,958

)

(5,898

)

(5,897

)

Interest income

1,025

 

2,179

 

2,480

 

4,658

 

Other expense, net

(387

)

(453

)

(1,703

)

(616

)

Loss before income taxes

(24,700

)

(32,952

)

(47,503

)

(60,728

)

Income tax expense (benefit)

(19

)

326

 

(44

)

598

 

Net loss $

(24,681

)

$

(33,278

)

$

(47,459

)

$

(61,326

)

 
Net loss per share:
Basic $

(1.23

)

$

(1.68

)

$

(2.37

)

$

(3.09

)

Diluted $

(1.23

)

$

(1.68

)

$

(2.37

)

$

(3.09

)

 
Weighted-average number of shares used in per share calculations:
Basic

20,091

 

19,858

 

20,041

 

19,819

 

Diluted

20,091

 

19,858

 

20,041

 

19,819

 

CUTERA, INC.
CONSOLIDATED FINANCIAL HIGHLIGHTS
(in thousands, except percentage data)
(unaudited)
 

Three Months Ended

 

% Change

 

Six Months Ended

 

% Change

June 30,

 

June 30,

 

2024 Vs

 

June 30,

 

June 30,

 

2024 Vs

2024

 

2023

 

2023

 

2024

 

2023

 

2023

Revenue By Geography:
North America $ 15,980

 

$ 32,437

 

-50.7%

$ 34,371

 

$ 59,639

 

-42.4%

Japan

3,829

 

12,810

 

-70.1%

11,427

 

25,718

 

-55.6%

Rest of World 14,568

 

16,578

 

-12.1%

27,372

 

30,994

 

-11.7%

Total Net Revenue $

34,377

 

$

61,825

 

-44.4%

$

73,170

 

$

116,351

 

-37.1%

International as a percentage of total revenue

53.5

%

47.5

%

53.0

%

48.7%

 
Revenue By Product Category:
Systems
- North America $

9,814

 

$

23,598

 

-58.4%

$

21,673

 

$

42,768

 

-49.3%

- Rest of World (including Japan)

14,086

 

15,664

 

-10.1%

26,487

 

31,036

 

-14.7%

Total Systems

23,900

 

39,262

 

-39.1%

48,160

 

73,804

 

-34.7%

Consumables

4,457

 

7,491

 

-40.5%

9,112

 

13,938

 

-34.6%

Skincare

-

 

9,422

 

-100.0%

4,200

 

17,554

 

-76.1%

Total Products

28,357

 

56,175

 

-49.5%

61,472

 

105,296

 

-41.6%

Service

6,020

 

5,650

 

+6.5%

11,698

 

11,055

 

+5.8%

Total Net Revenue $

34,377

 

$

61,825

 

-44.4%

$

73,170

 

$

116,351

 

-37.1%

 
Three Months Ended Six Months Ended
June 30, June 30, June 30, June 30,

2024

2023

2024

2023

Pre-tax Stock-Based Compensation Expense:
Cost of revenue $

144

 

$

361

 

$

293

 

$

725

 

Sales and marketing

404

 

1,283

 

970

 

2,431

 

Research and development

264

 

415

 

569

 

1,108

 

General and administrative

781

 

(509

)

1,870

 

672

 

$

1,593

 

$

1,550

 

$

3,702

 

$

4,936

 

CUTERA, INC.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(in thousands)
(unaudited)
 
Three Months Ended Six Months Ended
June 30, June 30, June 30, June 30,

2024

2023

2024

2023

Cash flows from operating activities:
Net loss

$

(24,681

)

$

(33,278

)

$

(47,459

)

$

(61,326

)

Adjustments to reconcile net loss to net cash provided used in operating activities:
Stock-based compensation

 

1,593

 

 

1,550

 

 

3,702

 

 

4,936

 

Depreciation and amortization

 

1,804

 

 

1,829

 

 

3,795

 

 

3,238

 

Amortization of contract acquisition costs

 

1,378

 

 

1,891

 

 

2,769

 

 

4,069

 

Amortization of debt issuance costs

 

575

 

 

557

 

 

1,146

 

 

1,109

 

Deferred tax assets

 

26

 

 

30

 

 

71

 

 

43

 

Provision for credit losses

 

2,627

 

 

1,689

 

 

4,808

 

 

1,914

 

Unrealized gain on foreign exchange forward

 

-

 

 

623

 

 

-

 

 

-

 

Accretion of discount on investment securities and investment income, net

 

-

 

 

180

 

 

-

 

 

146

 

Changes in assets and liabilities:
Accounts receivable

 

(287

)

 

(3,621

)

 

3,634

 

 

(10,031

)

Inventories

 

2,879

 

 

5,627

 

 

(8,582

)

 

(536

)

Other current assets and prepaid expenses

 

6,332

 

 

1,277

 

 

6,892

 

 

(776

)

Other long-term assets

 

(90

)

 

(2,771

)

 

(330

)

 

(4,782

)

Accounts payable

 

4,301

 

 

(336

)

 

(2,212

)

 

(1,666

)

Accrued liabilities

 

(16,525

)

 

(5,512

)

 

(24,441

)

 

(3,806

)

Operating leases, net

 

(26

)

 

(14

)

 

(56

)

 

(30

)

Deferred revenue

 

(150

)

 

308

 

 

(1,611

)

 

509

 

Net cash used in operating activities

 

(20,244

)

 

(29,971

)

 

(57,874

)

 

(66,989

)

 
Cash flows from investing activities:
Acquisition of property and equipment

 

(882

)

 

(14,755

)

 

(1,217

)

 

(25,108

)

Proceeds from maturities of marketable investments

 

6

 

 

58,705

 

 

63

 

 

152,859

 

Purchases of marketable investments

 

-

 

 

-

 

 

-

 

 

(23,467

)

Net provided by (used in) cash used in investing activities

 

(876

)

 

43,950

 

 

(1,154

)

 

104,284

 

 
Cash flows from financing activities:
Proceeds from exercise of stock options and employee stock purchase plan

 

-

 

 

749

 

 

-

 

 

858

 

Taxes paid related to net share settlement of equity awards

 

(20

)

 

(789

)

 

(84

)

 

(3,186

)

Payments on finance lease obligation

 

7

 

 

(113

)

 

(189

)

 

(237

)

Net cash provided by (used in) financing activities

 

(13

)

 

(153

)

 

(273

)

 

(2,565

)

 
Net increase (decrease) in cash, cash equivalents and restricted cash

 

(21,133

)

 

13,826

 

 

(59,301

)

 

34,730

 

Cash, cash equivalents, and restricted cash at beginning of period

 

105,444

 

 

167,528

 

 

143,612

 

 

146,624

 

Cash, cash equivalents, and restricted cash at end of period

$

84,311

 

$

181,354

 

$

84,311

 

$

181,354

 

CUTERA, INC.

Reconciliation of Non-GAAP Financial Measures to the Most Directly Comparable GAAP Financial Measure

(in thousands)

 
Three Months Ended June 30, 2024

Gross Profit

Gross Margin

Operating

Expenses

Operating

Income

Reported

$

7,644

22.2%

 

29,448

 

$

(21,804

)

Adjustments:
Depreciation and amortization including contract acquisition costs

 

1,826

 

5.3%

 

1,357

 

 

3,183

 

Stock-based compensation

 

144

 

0.4%

 

1,449

 

 

1,593

 

Legal - Lutronic settlement

0.0%

 

(5,750

)

 

(5,750

)

Severance

 

4

 

0.0%

 

676

 

 

680

 

Retention plan costs

 

7

 

0.0%

 

821

 

 

828

 

Gain on early termination of distribution agreement

 

-

 

0.0%

 

-

 

 

-

 

Other adjustments

 

-

 

0.0%

 

-

 

 

-

 

 
Total adjustments

 

1,981

 

5.8%

 

(1,447

)

 

534

 

Non-GAAP

$

9,625

 

28.0%

$

30,895

 

$

(21,270

)

 
 
Three Months Ended June 30, 2023

Gross Profit

Gross Margin

Operating

Expenses

Operating

Income

Reported

$

26,083

 

42.2%

 

57,246

 

$

(31,163

)

Adjustments:
Depreciation and amortization including contract acquisition costs

 

1,998

 

3.2%

 

1,993

 

 

3,991

 

Stock-based compensation

 

361

 

0.6%

 

1,189

 

 

1,550

 

ERP implementation cost

 

-

 

0.0%

 

770

 

 

770

 

Legal - Lutronic expense

 

-

 

0.0%

 

394

 

 

394

 

Severance

 

-

 

0.0%

 

234

 

 

234

 

Retention plan costs

 

65

 

0.1%

 

2,907

 

 

2,972

 

Board of Directors legal and advisory fees

 

-

 

0.0%

 

7,709

 

 

7,709

 

Other adjustments

 

307

 

0.5%

 

-

 

 

307

 

 
Total adjustments

 

2,731

 

4.4%

 

15,196

 

 

17,927

 

Non-GAAP

$

28,814

 

46.6%

$

42,050

 

$

(13,236

)

Six Months Ended June 30, 2024

Gross Profit

Gross Margin

Operating

Expenses

Operating

Income

Reported

$

20,063

27.4%

 

61,299

 

$

(41,236

)

Adjustments:
Depreciation and amortization including contract acquisition costs

 

3,921

 

5.4%

 

2,644

 

 

6,565

 

Stock-based compensation

 

293

 

0.4%

 

3,409

 

 

3,702

 

Legal - Lutronic settlement

 

-

 

0.0%

 

(5,750

)

 

(5,750

)

Severance

 

96

 

0.1%

 

803

 

 

899

 

Retention plan costs

 

55

 

0.1%

 

3,572

 

 

3,627

 

Gain on early termination of distribution agreement  

 

-

 

0.0%

 

(9,708

)

 

(9,708

)

Other adjustments

 

-

 

0.0%

 

263

 

 

263

 

 
Total adjustments

 

4,365

 

6.0%

 

(4,767

)

 

(402

)

Non-GAAP

$

24,428

 

33.4%

$

66,066

 

$

(41,638

)

 
 
Six Months Ended June 30, 2023

Gross Profit

Gross Margin

Operating

Expenses

Operating

Income

Reported

$

47,715

 

41.0%

 

105,479

 

$

(57,764

)

Adjustments:
Depreciation and amortization including contract acquisition costs

 

3,597

 

3.1%

 

3,981

 

 

7,578

 

Stock-based compensation

 

725

 

0.6%

 

4,211

 

 

4,936

 

ERP implementation cost

 

-

 

0.0%

 

1,288

 

 

1,288

 

Legal - Lutronic expense

 

-

 

0.0%

 

1,046

 

 

1,046

 

Severance

 

119

 

0.1%

 

430

 

 

549

 

Retention plan costs

 

65

 

0.1%

 

2,907

 

 

2,972

 

 

-

 

0.0%

 

7,709

 

 

7,709

 

Other adjustments

 

307

 

0.3%

 

585

 

 

892

 

 
Total adjustments

 

4,813

 

4.1%

 

22,157

 

 

26,970

 

Non-GAAP

$

52,528

 

45.1%

 

83,322

 

$

(30,794

)

 

Contacts

Cutera Investor Relations Contact:
Shelby Eckerman, VP, Finance
IR@Cutera.com

Contacts

Cutera Investor Relations Contact:
Shelby Eckerman, VP, Finance
IR@Cutera.com