OPSENS – RECORD FY2019 CONSOLIDATED REVENUES OF $32.8 M, UP 36%,
RECORD FFR REVENUES OF $20 M, UP 41%
Quebec City, Quebec, November 14, 2019 – Opsens Inc. (“Opsens” or the “Company”) (TSX:OPS) (OTCQX:OPSSF) today reported its results for 2019.
Highlights FOR THE QUARTER AND FOR THE YEAR
- Record consolidated revenues at $32.8 M for FY2019 compared with $24.1 M for FY2018, a 36% increase;
- Fractional Flow Reserve (“FFR”) revenues of $20 M for FY2019 compared with $14.2 M for FY2018, a 41% increase;
- Q4 FFR revenues reach $5.3 M compared with $4.1 M for the same quarter 2018, a 29% increase;
- 42% increase in FFR revenues in the United States compared with the same quarter in 2018;
- Opsens expands into structural cardiology;
- Opsens gets OptoWire III Health Canada approval.
“These results reflect cardiologists’ acceptance of the OptoWire’s distinctive features and the positive evolution of our sales approach deployed in the past year,” said Louis Laflamme, President and Chief Executive Officer of Opsens. ” We are excited by our recently announced development efforts to provide precision measurement technology for structural heart procedures. We are also pleased with Opsens’ extended collaboration with Abiomed through the signing of a five-year contract to supply a critical component of their Impella CP® heart pump technology widely used in the United States. These three applications of our technology – coronary physiology (FFR, dPR), the Abiomed heart pump and structural heart offer a diverse foundation for Opsens and highlight the quality and precision of our optical technology for cardiac applications,” Laflamme concluded.
Financial Results – Year Ended August 31, 2019
Opsens’ consolidated products sales reached $29.5 M for the year ended August 31, 2019 compared with $22.1 M the previous year. This increase is explained by a $7.0 M increase in medical revenues. In addition, the Company recorded non-recurring licensing revenues of $3.3 M compared with $2.0 M the previous year.
Gross margin for the year ended August 31, 2019, compared with the same period last year, increased from 53% to 57%. Excluding non-recurring licensing revenue, the gross margin increased from 49% to 52% ($10.8 M for the year ended August 31, 2018 to $15.4 M for the year ended August 31, 2019). This increase is the result of the optimization of FFR production activities, as well as the increase in other medical income.
Net loss amounted to $2.0 M for the year ended August 31, 2019, compared with a net loss of $4.5 M for the same period last year, a positive change of $2.5 M. This variation is mainly explained by an increase in the gross margin partially offset by an increase in administration, sales and marketing and research and development expenses.
Opsens had a cash position of $14.9 M as at August 31, 2019 compared with $10.9 M as of August 31, 2018.
|(In thousands of Canadian dollars, except for information per share)||For the year ended August 31, 2019||For the year ended August 31, 2018|
|Cost of Sales||14,037||11,330|
|Gross margin (%)||57%||53%|
|Sales and marketing expenses||11,116||9,273|
|Financial expenses (revenues)||157||(50)|
|Change in fair value of embedded derivative||–||501|
|Net loss and comprehensive loss||(1,952)||(4,550)|
|Net loss per share – Basic and diluted||(0.02)||(0.05)|
Financial results for the three-month period ended August 31, 2019
Consolidated revenues reached $7.9 M for the three-month period compared with $5.9 M for the same period last year, an increase of $2.0 M or 34%. This increase is mainly related to the increase in FFR sales, which reached $5.3 M compared with $4.1 M in the 2018 comparative quarter.
For the three-month periods ended August 31, 2019 and 2018, gross margin was $4.0 M and $3.0 M, respectively.
Opsens focuses mainly on physiological measurements, such as FFR and dPR in interventional cardiology. Opsens offers an advanced optical-based pressure guidewire that aims at improving the clinical outcome of patients with coronary artery disease. Its flagship product, the OptoWire, is a second-generation fiber optic pressure guidewire designed to provide the lowest drift in the industry and excellent lesions access. The OptoWire has been used in the diagnosis and treatment of over 80,000 patients in more than 30 countries. It is approved for sale in the United States, European Union, Japan, and Canada.
Opsens is also involved in industrial activities in developing, manufacturing and installing innovative fiber optic sensing solutions for critical applications.
Forward-looking statements contained in this press release involve known and unknown risks, uncertainties and other factors that may cause actual results, performance and achievements of Opsens to be materially different from any future results, performance or achievements expressed or implied by the said forward-looking statements.
Neither TSX nor its Regulation Services Provider (as that term is defined in the policies of the TSX) accepts responsibility for the adequacy or accuracy of this release.
For further information, please contact:
Louis Laflamme, CPA, CA, Chief Executive Officer, 418.781.0333
Robin Villeneuve, CPA, CA Chief Financial Officer, 418.781.0333