GOLETA, Calif.–(BUSINESS WIRE)–Inogen, Inc. (NASDAQ: INGN), a medical technology company offering innovative respiratory products for use in the homecare setting, today reported financial results for the three months ended March 31, 2021.
First Quarter 2021 Highlights
- Total revenue of $86.9 million, down 1.8% from the same period in 2020, primarily due to the impacts of the COVID-19 pandemic
- Domestic business-to-business revenue of $30.7 million, up 11.6% from the same period in 2020
- Rental revenue of $9.9 million, up 84.2% from the same period in 2020
- Cash, cash equivalents, and marketable securities were $233.2 million with no debt outstanding as of March 31, 2021
“While the COVID-19 pandemic continued to have an impact on our business in the first quarter of 2021, we saw sequential growth in all four channels, and sequential growth of 17.5% in total revenue for the reported quarter,” said Inogen’s President and Chief Executive Officer, Nabil Shabshab. “Additionally, our focus on the rental channel continues to produce strong operating performance with rental revenue growing significantly in the first quarter of 2021 versus the comparable period in the prior year. We continue to be focused on creating long-term value by increasing patient access to our products, enhancing physician advocacy, and driving product innovation.”
First Quarter 2021 Financial Results
Total revenue for the three months ended March 31, 2021 declined 1.8% to $86.9 million from $88.5 million in the same period in 2020.
Domestic business-to-business sales in the first quarter of 2021 increased 11.6% to $30.7 million compared to $27.6 million in the first quarter of 2020. The Company believes this increase in the first quarter of 2021 was primarily due to greater demand for portable oxygen concentrators (POCs) for COVID-19 patients upon hospital discharge, partially offset by lower reseller demand. In addition, the Company believes the resolution of the competitive bidding uncertainty in October 2020 also contributed to increased demand in our domestic business-to-business channel during the first quarter of 2021.
International business-to-business sales in the first quarter of 2021 decreased by 21.7% (27.4% decrease on a constant currency basis) to $15.7 million compared to $20.1 million in the first quarter of 2020. The Company believes the decrease was primarily driven by the continued impact of the COVID-19 pandemic with intermittent lockdowns in many European countries, along with reduced operational capacity of certain European respiratory assessment centers.
Direct-to-consumer sales decreased 13.8% to $30.6 million in the first quarter of 2021 from $35.5 million in the first quarter of 2020. The Company believes the decrease was primarily driven by lower average inside sales representative headcount, which was down approximately 18% from the comparative period primarily due to the impacts of the COVID-19 pandemic on the…