Company expects strong ICL demand in key markets to continue through the rest of 2026
STAAR anticipates third-quarter China sales to step down from H1 peak, but still grow Y/Y excluding prior one-time order
Company expects margin pressures from tariffs to persist until all China-bound products are made in Switzerland by end-2026
Quarterly results
U.S. intraocular lens maker's Q2 net sales rose 111% yr/yr to $93.5 mln
Company swung to Q2 net income of $8.1 mln, or $0.16 EPS, from a loss a year ago
Growth was driven by strong China demand and improved gross margin
Growth drivers and margin
China sales growth - Co said Q2 sales in China rose over 100% yr/yr, driven by higher procedure volume, market share gains, and a favorable product mix following the EVO+ launch
APAC and Americas contribution - Co said Japan and broader APAC region, as well as the Americas, contributed to growth, with Japan benefiting from direct-to-consumer campaigns and the Americas seeing market share gains as laser vision correction procedures declined
- Co attributed higher gross margin to elimination of period costs from manufacturing ramp-up, lower inventory provisions, and decreased freight and other costs, partially offset by higher per unit manufacturing costs and increased tariffs
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 3 "strong buy" or "buy", 8 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the medical equipment, supplies & distribution peer group is "buy"
Wall Street's median 12-month price target for STAAR Surgical Company is $29.00, about 16.3% above its August 11 closing price of $24.94
The stock recently traded at 53 times the next 12-month earnings vs. a P/E of 277 three months ago
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