Masimo Tops EPS, Revenue Expectations
Masimo impressed with a robust earnings report driven by its healthcare segment, despite challenges from non-healthcare operations.
Masimo (NASDAQ:MASI), a provider of noninvasive patient monitoring technology, released its fourth-quarter earnings for 2024, on Feb. 25, 2025. The results presented a mixed picture: strong performance was seen in its core healthcare segment, with revenue reaching $601 million, surpassing analyst expectations of $592 million. The company's non-GAAP earnings per share (EPS) were also noteworthy at $1.80, outstripping both the analyst forecast of $1.43 and management's guidance of $1.35 to $1.50. However, non-healthcare operations continued to struggle, overshadowed by past strategic decisions and accompanying impairment charges.
Source: Analyst estimates provided by FactSet. Management expectations based on management's guidance, as provided in 2024-11-05 earnings report.
Masimo is positioned at the forefront of noninvasive monitoring technologies, notably with its SET and rainbow SET Pulse CO-Oximetry systems. These innovations enhance patient care by providing more accurate measurements compared to traditional devices. Masimo leverages partnerships with original equipment manufacturers (OEMs) to widely deploy its technologies across healthcare institutions. However, it is also realigning its strategies, particularly focusing on core businesses following its acquisition of Sound United.
