Allurion Technologies reports Q3 EPS (14c), consensus (18c)

Reports Q4 revenue $5.4M , consensus $8.55M…”We observed robust growth in procedure volume in the third quarter in regions previously impacted by GLP-1s like the Middle East and in parts of Latin America where the macro headwinds we have faced previously appear to be subsiding,” said Dr. Shantanu Gaur, Chief Executive Officer. “Our results were adversely affected by the suspension of sales in France, destocking in certain markets, and the availability of compounded GLP-1s in the UK. Overall, our performance validates the need for considerable change at Allurion. As part of our restructuring, we have installed new leadership in the commercial team and are implementing a new sales strategy that strengthens the sales force in number and focus, shifting them away from less efficient direct-to-consumer approaches and toward what we expect to be more profitable and predictable business-to-business-to-consumer sales strategies with a specific focus on direct markets. With our new plan going into 2025, I have clarity and excitement about our path forward….”We have also observed robust growth in our AI product revenue, especially as providers expand their practices with GLP-1s. With revenues increasing at this pace, we believe we can expand this business further and plan on testing Coach Iris.. The Company is updating its full-year 2024 revenue guidance to between $30M and $35M and expects growth in procedure volume to be flat year-over-year.