Masimo Consumer, the former Sound United company, reported an 11% decline in sales for the quarter, while Masimo Healthcare’s sales rose 23% and the company’s shares gained 4.2%.
Consumer revenue was $152 million, compared to $174 million in the same second quarter of 2023.
Apparently no decision has yet been made regarding the sale of the company or whether the spun-off operation will take on an industrial partner.
The good news is that gross margins increased from 33.6% in the same period in 2023 to 35.4% in 2024 as the company reduced its discounts.
The audio company’s revenue fell 21% year-to-date from $393 million to $306 million. The largest contribution came from core audio revenue, which fell 23%, while hearables revenue fell just 1%
Total sales were in line with analysts’ estimates.
Average sales growth of 5.9% per annum is expected for the next three years. In the US medical technology industry, however, growth of 8.2% is forecast.
There was no discussion about the future of the audio business.
About the author
