Company: ICUI
Filing Date: 2025-05-08
Form Type: 10-Q
Source: 0000883984-25-000016
Chunk: 8

Company: ICU MEDICAL INC/DE
Filing Date: 2025-05-08
Form: 10-Q
Item: Item 2
Chunk 8
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 Change% ChangeVital Care (GAAP)$172.2 $165.3 $6.9 4.2 %Impact of foreign currency exchange rate changes1.5 Vital Care on a constant currency basis (non-GAAP)$173.7 $ Change in constant currency$8.4 % Change in constant currency5.1 %

Vital Care revenue increased for the three months ended March 31, 2025, as compared to the same period in the prior year, primarily due to higher sales of IV Solutions and Critical Care products.

Gross Margins 

    For the three months ended March 31, 2025 and 2024, gross margins were 34.8% and 32.7%, respectively. The increase in gross margin for the three months ended March 31, 2025, as compared to the same period in the prior year, was primarily driven by price increases, higher production levels, the impact of foreign exchange, lower supply chain costs and the realization of integration synergies.

Selling, General and Administrative (“SG&A”) Expenses 

    The following table summarizes our total SG&A Expenses (in millions, except percentages):

Three months ended March 31,20252024$ Change% ChangeSG&A$157.2 $157.7 $(0.5)(0.3)%

43

SG&A expenses slightly decreased for the three months ended March 31, 2025, as compared to the same period in the prior year, primarily due to a decrease of $2.4 million in depreciation and amortization expense, which when combined with other smaller category decreases were mostly offset by increases of $1.8 million in dealer fees and $1.5 million in professional services. Depreciation and amortization expense decreased primarily due to certain assets that reached the end of their useful lives and and certain assets classified as held for sale. Dealer fees increased due to an increase in revenue to distributors. Professional services increased due to increase in audit and consulting fees.

Research and Development (“R&D”) Expenses

    The following table summarizes our total R&D Expenses (in millions, except percentages):

Three months ended March 31,20252024$ Change% ChangeR&D$23.3 $21.8 $1.5 6.9 %

R&D expenses increased for the three months ended March 31, 2025, as compared to the same period in the prior year, primarily