CONMED Corporation (CNMD) is experiencing a significant premarket decline, with prices down by 11.5%, bringing the premarket price to $65.50. This change comes on the heels of the recent announcement regarding their fourth quarter and full-year 2024 financial results.
In the results released, CONMED reported a total revenue of $1.307 billion for the full-year 2024, indicating a 5.0% increase compared to the previous year. The fourth quarter sales were also promising, amounting to $345.9 million, which represents a 5.8% increase year-over-year. Particularly, domestic revenue grew by 6.8%, while international sales saw a modest increase of 4.4%.
Despite the positive sales growth, the release also highlighted some operational challenges that may be weighing on investor sentiment. Patrick J. Beyer, CONMED's President and Chief Executive Officer, acknowledged the navigational difficulties the company faced due to persistent supply challenges that affected parts of the business. Although profitability improved, these challenges cast a shadow over an otherwise strong performance.
Looking ahead, the company's outlook for 2025 is cautiously optimistic, with projected revenue growth of 4% to 6% and adjusted diluted net earnings per share expected to range between $4.25 and $4.40. However, executives warned of potential impacts from recently announced tariffs, which could affect these projections.
As CONMED seeks to strengthen its foundation for future growth, investors will be closely monitoring how the company addresses these operational challenges and whether they can deliver on their 2025 expectations.
