Sensus Healthcare Jumps After Posting Surprise Profit

Radiation-therapy-device specialist Sensus posted a surprise fourth-quarter profit of 6 cents a share.
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Shares of Sensus Healthcare  (SRTS) - Get Report, the radiation-therapy-device maker, jumped on Friday after reporting a surprise fourth-quarter profit.

The Boca Raton, Fla., company reported profit of 6 cents a share in the quarter, flat with the year-earlier quarter. Two analysts surveyed by FactSet were expecting a net loss of 11 cents per share. 

Revenue of $5.1 million was down 40% from $8.5 million a year earlier. Analysts were expecting revenue of $2.5 million. 

"Although COVID-19 impacted sales, it also presented an opportunity for Sensus to offer a treatment for pneumonia in COVID-19 patients by delivering superficial radiation to the lung," Chief Executive Joe Sardano said in a statement. 

"We believe the worst is behind us and that we are well positioned to resume the growth trajectory that was interrupted almost exactly one year ago."

Craig-Hallum analyst Alexander Nowak raised his price target on the company to $7 a share from $5 while affirming a buy rating. 

Sensus also reported updates for its business in China as the company expands in the country. 

“Business in China picked up during the fourth quarter with the sale of three systems. Plus, as of January 1, 2021 we have a new distribution partner for China and Hong Kong," Sardano said.

"Our new VP of international sales has developed an extensive network of prospects in China, and we are optimistic that China represents an excellent growth opportunity."

In July the company named Hoi-Bun “Benson” Suen to the post of VP international sales. Sensus said the executive had "nearly 20 years of business development, sales and regulatory experience supporting the distribution of U.S. medical devices and other products throughout Asia and in particular China." 

He most recently had been director of business development at Fosun Pharma.