Higher performance in its radiation therapy and cancer detection businesses contributed to a 52% increase in revenue for computer-aided detection (CAD) and radiation therapy firm iCAD in its third quarter.
For the period (end-September 30), the vendor posted $12.6 million in revenues, up from $8.3 million recorded in the third quarter of 2013. iCAD had net income of $274,000, compared with a net loss of $589,000 in the same period a year ago.
Product revenue increased 2.4%, while service and supply revenue surged by 109.9%. Therapy revenue grew 91.9% and cancer detection revenue was up 14.5%, according to the firm. Based on the third-quarter performance, iCAD said it's increasing its financial guidance for the second half of the year.
It now expects second-half revenue to range from $25.5 million to $26 million, with an adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) margin in the 18% to 22% range. Previously, iCAD had expected second-half revenue to range from $23 million to $25 million, with an adjusted EBITDA margin in the range of 10% to 15%.