Shares of InMode have taken a hit as the company revises its full-year revenue guidance in response to current economic conditions and increasing limitations on financing. This downturn has resulted in a 14% decline in the stock, currently trading at $24.14. Over the course of the year, shares have already fallen by 22%.
The medical technology company, based in Israel, announced on Thursday that it now predicts its revenue for 2023 to be between $500 million and $510 million. This represents a decline from its previous estimate of $530 million to $540 million.
Furthermore, InMode anticipates third-quarter earnings to range from 59 cents to 60 cents per share, with sales totaling $122.8 million to $123 million. Both figures are expected to fall short of analyst forecasts.
The revised outlook is attributed to delayed purchasing decisions during the third quarter, largely influenced by decreased aesthetic activity over the summer months. In addition, InMode is grappling with financing constraints in the realm of medical equipment, which has negatively impacted its sales activity.
Overall, the company is navigating through challenging circumstances, necessitating revisions to its projections.