Philippe Belamant's questions to iRhythm Technologies Inc (IRTC) leadership • Q4 2024
Question
Philippe Belamant asked for more detail on the calculation of the 50-75 basis point gross margin impact from potential tariffs and for insight into the SG&A expense cadence for 2025.
Answer
CFO Daniel Wilson explained the tariff impact calculation is based on proposed tariffs going into effect in March, with suppliers in Mexico being a primary driver of the headwind. Regarding SG&A, he noted the company will see a full-year benefit from 2024 restructuring but will balance this with continued reinvestment in key growth areas like undiagnosed monitoring, Zio MCT, and international expansion.