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SpineGuard Reports Full-Year 2016 Financial ResultsSpineGuard (FR0011464452 - ALSGD), an innovative company that develops and markets disposable medical devices designed to make spine surgery safer, reported today its full-year 2016 financial results as approved by the Board of Directors on March 23, 2017.
Pierre Jérôme, CEO and co-founder of SpineGuard, said: "2016 saw SpineGuard's sales momentum continue and showed the great potential of our DSG™ technology platform. Our commercial organization keeps delivering double-digit growth via our PediGuard family of smart drilling probes, which we expanded with the successful launch of the PediGuard Threaded. At the same time, our R&D investments for the integration of the DSG technology into implantable devices such as pedicle screws has begun to bear fruit with first surgeries in Europe and FDA clearance early in 2017. The US is a key market for SpineGuard where we keep growing significantly year after year. Our focus on operating expenses also allowed the company to improve its operating result. We will continue to pursue this path as one of our corporate objectives for 2017." Operating income improves by 9% In 2016, SpineGuard reported full-year revenue of €7,463k compared with €6,346k for 2015, an 18% increase both on reported basis and cc. 8,603 PediGuard units were sold compared with 7,449 in 2015, including 4,948 in the United States. The gross margin improved by nearly €1M and 60 bps at 85.1% compared with the prior year of 84.5%, and remains strong. The improvement year-on-year is the result of a combined stability of average selling prices and more favorable country mix with an improved performance on manufacturing cost despite headwinds on currency vs. prior year. Operating costs increased by €648k (+7%); mainly due to R&D expenses related to the clearance of both PediGuard Threaded and the DSG™ screw (€438k). With the combination of an improved gross margin and the control of operating expenses, the operating result improved by +€340k (or +9%) vs. prior year. The Company reported a net loss of €4,178k for the full-year 2016 compared with a loss of €3,878k for the full-year 2015, impacted by the increase of financial costs related to lower Fx gains of €114k and an increase of interest on loans by €439k. Working capital was €955k compared with €-65k for the full-year 2015. The increase is mainly due to the building of the inventory of the new products prior to their commercial launch (PediGuard Threaded and DSG modules for the screw), the anticipation of purchases with our Singapore-based manufacturing partner and the Fx Euro/dollar unfavorable impact on the manufacturing cost. At December 31, 2016, cash and cash equivalents were €1,804k compared with €3,229k at December 31, 2015. The Company has the possibility under certain conditions to draw a €1.5M tranche of debt with IPF Partners. 2016: Excellent sales momentum and strategic objectives achieved Sales; marketing and regulatory: 2016 was a year of significant breakthroughs in the United States:
In the rest of the world, the Company focused on procuring extensive training and marketing support to the network of distributors making significant progress in various markets:
Clinical: Eleven surgeons presented their experience with PediGuard in international scientific conventions and five new clinical studies were initiated:
2017 perspectives: After the FDA clearance in the US early 2017 for the DSG™ screw, SpineGuard intends to:
Next financial press release: First Quarter 2017 revenue, on April 6, 2017.
About SpineGuard® For further information, visit www.spineguard.com. Disclaimer The SpineGuard securities may not be offered or sold in the United States as they have not been and will not be registered under the Securities Act or any United States state securities laws, and SpineGuard does not intend to make a public offer of its securities in the United States. This is an announcement and not a prospectus, and the information contained herein does and shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of the securities referred to herein in the United States in which such offer, solicitation or sale would be unlawful prior to registration or exemption from registration. View source version on businesswire.com: http://www.businesswire.com/news/home/20170323006085/en/ |