Biolase Stock Is Trading Higher On Better Than Expected Q2 Earnings

Biolase Inc BIOL shares are trading higher on strong volume after it reported Q2 sales of $9.1 million, +211% Y/Y, edging out a consensus of $8.31 million.
Over 70% of U.S. laser sales came from new customers, continuing a positive trend, and more than 35% of U.S. Waterlase sales came from dental specialists.
Net revenue was 6% higher than the pre-pandemic revenues during the second quarter of 2019.
U.S. and international revenue increased 167% and 340%, respectively, as more dental practices were operating during Q2 than Q2 FY20 due to the pandemic.
Laser system sales increased 424%. Consumables and other revenue increased 173%.
The gross margin expanded to 44% from 32% a year ago due to higher revenue, favorable revenue mix, and higher average selling prices.
During Q2, Biolase was able to break even compared to an EPS loss of $(0.12) a year ago. Cash and cash equivalents totaled $37.1 million.
Biolase forecasts Q3 revenue to be significantly above Q3 FY20 despite the pent-up demand it experienced in last year's Q3 as procedure volume dramatically improved from historically low levels in the 2020 second quarter.
Price Action: BIOL shares are up 31.4% at $0.83 during the market session on the last check Friday.