false 0001158895 0001158895 2021-10-28 2021-10-28

Washington, D.C. 20549
Form 8-K
Current Report
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported):  October 28, 2021
LeMaitre Vascular, Inc.
(Exact name of registrant as specified in its charter)
Commission File Number:  001-33092
(State or other jurisdiction of
(IRS Employer
Identification No.)
63 Second Avenue
Burlington, MA 01803
(Address of principal executive offices, including zip code)
(Registrants telephone number, including area code)
(Former name or former address, if changed since last report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Indicate by checkmark whether the company is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (240.12c-2 of this chapter).
Emerging growth company
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.   ☐
Securities registered pursuant to Section 12(b) of the Exchange Act:
Title of each class
Trading symbol
Name of exchange on which registered
Common stock, $0.01 par value per share
The Nasdaq Global Market
Item 2.02. Results of Operations and Financial Condition.
On October 28, 2021, LeMaitre Vascular, Inc. (the “Company”) issued a press release regarding its preliminary financial and operational results for the quarter ended September 30, 2021. A copy of the press release is furnished as Exhibit 99.1 to this Report.
The information in this Item 2.02, including Exhibit 99.1 attached hereto, is intended to be furnished and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934 (the “Exchange Act”) or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933 or the Exchange Act, except as expressly set forth by specific reference in such filing.
Item 9.01. Financial Statements and Exhibits.
The following exhibits are furnished or filed as part of this Report, as applicable:
Exhibit No.
104   Cover Page Interactive Data File (embedded within the Inline XBRL document)
Exhibit Index
Exhibit No.
Press release issued by LeMaitre Vascular, Inc. on October 28, 2021.
104   Cover Page Interactive Data File (embedded within the Inline XBRL document)

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
LeMaitre Vascular, Inc.
Date: October 28, 2021
Joseph P. Pellegrino, Jr.
Joseph P. Pellegrino, Jr.
Chief Financial Officer

Exhibit 99.1


LeMaitre Q3 2021 Financial Results


BURLINGTON, MA, October 28, 2021 - LeMaitre (Nasdaq:LMAT), a provider of vascular devices, implants and services, today reported Q3 2021 results, announced an $0.11/share quarterly dividend and provided guidance.


Q3 2021 Financial Results



Sales of $38.4mm, +5% (+5% organic) vs. Q3 2020


Gross margin of 64.8%, +250 basis points


Op. income of $9.1mm, -9%


Op. margin of 24%


Net income of $6.5mm, -13%


Earnings of $0.30 per diluted share, -19%


EBITDA of $11.3mm, -10%


Q3 2021 sales were driven by Artegraft, allografts and valvulotomes. The Americas and EMEA both grew 5%, while APAC was up 16%. Due to the Delta variant, many hospitals deferred elective surgeries.


The 250 basis point gross margin improvement was due to year-ago Artegraft purchase price accounting, which reduced the Q3 2020 gross margin. This was somewhat offset by Q3 2021 manufacturing inefficiencies.


Q3 2021 op. income of $9.1mm was down 9% as op. expenses increased 24%. This increase was due to a 14% headcount increase, as well as additional selling and marketing expenses. As of October 28, 2021 the Company employed 103 sales representatives.


Cash and investments increased to $67.1mm on September 30, 2021 due to the recent stock offering (net proceeds of $58.7mm) and Q3 EBITDA of $11.3mm. In July, the Company also paid off the remaining Artegraft acquisition debt.


George LeMaitre, Chairman and CEO, said, “Although the Delta variant impacted Q3 sales, we delivered a 24% op. margin while rebuilding headcount and the salesforce back to pre-COVID levels.”



Business Outlook




Q4 2021 Guidance

Full Year 2021 Guidance


$39.0mm - $41.0mm

(Midpoint: $40.0, +7%)

$153.9mm - $155.9mm

(Midpoint: $154.9, +20%)

Gross Margin



Op. Income

$8.3mm - $9.7mm

(Midpoint: $9.0mm, -6%)

$36.5mm - $37.8mm

(Midpoint: $37.1mm, +29%)


$0.29 - $0.34

(Midpoint: $0.31, -8%)

$1.26 - $1.31

(Midpoint: $1.29, +24%)



Quarterly Dividend


On October 26, 2021, the Company's Board of Directors approved a quarterly dividend of $0.11/share of common stock. The dividend will be paid on December 2, 2021 to shareholders of record on November 19, 2021.



Conference Call Reminder


Management will conduct a conference call at 5:00pm ET today. The conference call will be broadcast live over the Internet. Individuals interested in listening to the webcast can log on to the Company's website at www.lemaitre.com/investor. The conference call may also be accessed by dialing 844-239-5284 (+1 512-961-6497 for international callers), using passcode 8308248. For individuals unable to join the live conference call, a replay will be available on the Company's website.


A reconciliation of GAAP to non-GAAP results is included in the tables attached to this release.




About LeMaitre


LeMaitre is a provider of devices, implants and services for the treatment of peripheral vascular disease, a condition that affects more than 200 million people worldwide. The Company develops, manufactures and markets disposable and implantable vascular devices to address the needs of its core customer, the vascular surgeon.


LeMaitre is a registered trademark of LeMaitre Vascular, Inc. This press release may include other trademarks and trade names of the Company.


For more information about the Company, please visit http://www.lemaitre.com.



Use of Non-GAAP Financial Measures


LeMaitre Vascular management believes that in order to better understand the Company's short-term and long-term financial trends, investors may wish to consider certain non-GAAP financial measures as a supplement to financial performance measures prepared in accordance with GAAP. Non-GAAP financial measures are not based on a comprehensive set of accounting rules or principles and do not have standardized meanings. These non-GAAP measures result from facts and circumstances that may vary in frequency and/or impact on continuing operations. Non-GAAP measures should be considered in addition to, and not as a substitute for, financial performance measures in accordance with GAAP. In addition to the description provided below, reconciliation of GAAP to non-GAAP results is provided in the financial statement tables included in this press release.


In this press release, the Company has reported non-GAAP sales growth percentages after adjusting for the impact of foreign currency exchange, business development transactions, and/or other events as well as EBITDA or earnings before interest, taxes, depreciation and amortization. The Company refers to the calculation of non-GAAP sales growth percentages as "organic." The Company analyzes non-GAAP sales on a constant currency basis, net of acquisitions and other non-recurring events, and EBITDA to better measure the comparability of results between periods. Because changes in foreign currency exchange rates have a non-operating impact on net sales, and acquisitions, divestitures, product discontinuations, and other strategic transactions are episodic in nature and are highly variable to the reported sales results, the Company believes that evaluating growth in sales on a constant currency basis net of such transactions provides an additional and meaningful assessment of sales to management. The Company believes that evaluating EBITDA provides an approximation of the cash generating ability of its operations.



Forward-Looking Statements


The Company's current financial results, as discussed in this release, are preliminary and unaudited, and subject to adjustment. This press release contains forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Statements in this press release regarding the Company's business that are not historical facts may be "forward-looking statements" that involve risks and uncertainties. Forward-looking statements are based on management's current, preliminary expectations and are subject to risks and uncertainties that could cause actual results to differ from the results expected, including, but not limited to, the status of our global regulatory approvals and compliance with foreign regulatory requirements to market and sell our products outside the United States; the duration and severity of the impact of COVID-19 on the global economy, our customers, our suppliers and our company; the risk of significant fluctuations in our quarterly and annual results due to numerous factors; the risk that assumptions about the market for the Company’s products and the productivity of the Company’s direct sales force and distributors may not be correct; the risk that we may not be able to maintain our recent levels of profitability; the risk that the Company may not realize the anticipated benefits of its strategic activities; risks related to the integration of acquisition targets; the acceleration or deceleration of product growth rates; risks related to product demand and market acceptance of the Company’s products and pricing; the risk that a recall of our products could result in significant costs or negative publicity; the risk that the Company is not successful in transitioning to a direct-selling model in new territories and other risks and uncertainties included under the heading "Risk Factors" in our most recent Annual Report on Form 10-K, as updated by our subsequent filings with the SEC, which are all available on the Company's investor relations website at http://www.lemaitre.com and on the SEC's website at http://www.sec.gov. Undue reliance should not be placed on forward-looking statements, which speak only as of the date they are made. The Company 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.




J.J. Pellegrino, CFO, LeMaitre






(amounts in thousands)



September 30, 2021


December 31, 2020






Current assets:


Cash and cash equivalents

  $ 17,369     $ 26,764  

Short-term marketable securities

    49,710       214  

Accounts receivable, net

    19,501       19,552  

Inventory and other deferred costs

    44,326       45,115  

Prepaid expenses and other current assets

    3,110       2,618  

Total current assets

    134,016       94,263  

Property and equipment, net

    16,997       15,036  

Right-of-use leased assets

    15,664       16,066  


    65,945       65,945  

Other intangibles, net

    54,230       58,905  

Deferred tax assets

    1,627       1,686  

Other assets

    994       909  

Total assets

  $ 289,473     $ 252,810  

Liabilities and stockholders' equity


Current liabilities:


Current portion of long-term debt

  $ -     $ 2,500  

Accounts payable

    3,137       2,394  

Accrued expenses

    16,460       17,525  

Acquisition-related obligations

    616       772  

Lease liabilities - short-term

    1,901       1,954  

Total current liabilities

    22,114       25,145  

Long-term debt

    -       35,532  

Lease liabilities - long-term

    14,589       14,791  

Deferred tax liabilities

    122       127  

Other long-term liabilities

    3,600       4,643  

Total liabilities

    40,425       80,238  

Stockholders' equity


Common stock

    234       221  

Additional paid-in capital

    179,070       114,924  

Retained earnings

    84,356       70,554  

Accumulated other comprehensive loss

    (2,636 )     (1,525 )

Treasury stock

    (11,976 )     (11,602 )

Total stockholders' equity

    249,048       172,572  

Total liabilities and stockholders' equity

  $ 289,473     $ 252,810  






(amounts in thousands, except per share amounts)




For the three months ended


For the nine months ended


September 30, 2021


September 30, 2020


September 30, 2021


September 30, 2020


Net sales

  $ 38,368     $ 36,416     $ 114,921     $ 91,818  

Cost of sales

    13,502       13,712       39,495       31,602  

Gross profit

    24,866       22,704       75,426       60,216  

Operating expenses:


Sales and marketing

    6,941       5,157       20,210       17,788  

General and administrative

    6,004       5,901       18,748       16,425  

Research and development

    2,848       2,098       8,344       7,230  

Gain on sale of building

    -       (470 )     -       (470 )

Total operating expenses

    15,793       12,686       47,302       40,973  

Income from operations

    9,073       10,018       28,124       19,243  

Other income (expense), net


Interest income

    54       15       56       194  

Interest expense

    (621 )     (665 )     (1,693 )     (732 )

Foreign currency gain (loss)

    (72 )     10       (105 )     (280 )

Income before income taxes

    8,434       9,378       26,382       18,425  

Provision for income taxes

    1,930       1,865       5,650       4,238  

Net income

  $ 6,504     $ 7,513     $ 20,732     $ 14,187  

Earnings per share of common stock



  $ 0.30     $ 0.37     $ 0.99     $ 0.70  


  $ 0.30     $ 0.37     $ 0.98     $ 0.69  

Weighted - average shares outstanding:



    21,592       20,254       20,920       20,201  


    21,935       20,474       21,251       20,434  

Cash dividends declared per common share

  $ 0.110     $ 0.095     $ 0.330     $ 0.285  






(amounts in thousands)




For the three months ended


For the nine months ended


September 30, 2021


September 30, 2020


September 30, 2021


September 30, 2020










Net Sales by Geography



  $ 25,299       66 %   $ 24,184       66 %   $ 76,327       67 %   $ 57,462       63 %

Europe/Middle East/Africa

    10,535       27 %     10,039       28 %     31,200       27 %     28,339       31 %

Asia/Pacific Rim

    2,534       7 %     2,193       6 %     7,394       6 %     6,017       6 %

Total Net Sales

  $ 38,368       100 %   $ 36,416       100 %   $ 114,921       100 %   $ 91,818       100 %







(amounts in thousands)



Reconciliation between GAAP and Non-GAAP sales growth:


For the three months ended September 30, 2021


Net sales as reported

  $ 38,368                          

Impact of currency exchange rate fluctuations

    (231 )                        

Adjusted net sales

          $ 38,137                  

For the three months ended September 30, 2020


Net sales as reported

  $ 36,416                          

Adjusted net sales

          $ 36,416                  

Adjusted net sales increase for the three months ended September 30, 2021

    $ 1,721       5 %        





For the three months ended


For the nine months ended


September 30, 2021


September 30, 2020


September 30, 2021


September 30, 2020


Reconciliation between GAAP and Non-GAAP EBITDA


Net income as reported

  $ 6,504     $ 7,513     $ 20,732     $ 14,187  

Interest (income) expense, net

    567       650       1,637       538  

Amortization and depreciation expense

    2,340       2,599       7,117       5,778  

Provision for income taxes

    1,930       1,865       5,650       4,238  


  $ 11,341     $ 12,627     $ 35,136     $ 24,741  

EBITDA percentage increase (decrease)

            -10 %             42 %