VEXIM: Strong first half 2017 results, in line with expectations

VEXIM: Strong first half 2017 results, in line with expectations

14 September 2017 / 7 h 00

— 21% revenue growth reaching €10.4 million and strong gross margin at 73%
— Net Loss reduced by 43% vs. last year (H1 2016) to €1.6 million
— Solid cash position of €5.7 million as of end-June 2017

 

Full-year 2017 guidance maintained
— Continued strong sales growth expected in the second half of 2017 to reach 30% growth
— Achieve profitability for the full-year 2017

 

VEXIM Investors Meeting planned for 2017 NASS(1) Meeting in Orlando
— Update on the on-going U.S. FDA Clinical Trial
— Presentation on U.S. go-to-market strategy

Toulouse, September 14th, 2016 (7:00 AM CEST) – VEXIM (FR0011072602 – ALVXM / PEA‐PME), a medical device company specializing in the minimally-invasive treatment of vertebral fractures, announces its consolidated results for the first half of 2017(2) in line with guidance(3).

Our sales performance and controlled expenses for the first half of 2017 are in line with our expectations. This trend should be reinforced in the second half of 2017 allowing us to remain confident in reaching profitability for 2017. On the U.S. development, we are excited to announce we will hold an investors meeting at the upcoming 2017 NASS Congress in Orlando where we will share information on our on-going FDA clinical trial comparing SpineJack® to balloon kyphoplasty and also the go-to-market strategy that will support the launch of SpineJack® in the U.S., subject to 510(k) clearance. These various milestones further position our company to become a global leader in the spine-trauma market,” said Vincent Gardès, VEXIM’s CEO.

 

+21% increase in sales, gross margin of 72.6% and significant net loss reduction

VEXIM’s sales reached €10.4 million in the first half of 2017, up 21% compared to the same period of 2016. This significant revenue growth shows the effectiveness of the direct sales strategy implemented for SpineJack® in Europe, combined with a network of specialized distributors at the international level (see press release on VEXIM’s sales in the first half of 2017(4)).

The gross profit increased 19% compared to the first half of 2016, up to €7.5 million, representing a 72.6% gross margin (as percentage of sales) vs. 73.8% on the same period last year and 72.2% for the full year 2016. Given the implementation of the direct sales strategy, VEXIM maintained a high level of gross margin, in a context of stable prices.

Compared to the 21% increase in revenue, operating expenses decreased 1%, to €9.0 million, compared with the first half of 2016. The effective control of operating expenses resulted in a saving of €1.3 million in the net operating loss, down to €1.5 million. Net loss for the period was €1.6 million.

 

Solid cash position at €5.7 million

As of June 30, 2017, VEXIM had €5.7 million in cash, allowing the company to secure its future development. The company’s current cash position and future cash flows should allow VEXIM to continue to grow in-line with its ambitions.

Other business achievements over the first half of 2017:

 

 

Full-year 2017 guidance confirmed

 

Given the Company’s solid results for the first half of 2017, VEXIM is on track to reach its full-year 2017 objectives:

 

 


 

Financial reporting schedule
3rd quarter sales results: Wednesday, October 25th, 2017 (after market close)*

*(Indicative dates, subject to modifications)


NASS 2017: Vexim Investor & Analyst Lunch Meeting & Webcast
U.S. FDA clinical trial update and go-to-market strategy (in English)
Wednesday, October 25th, 2017 at 12:00 PM ET (Orlando) / 6:00 PM CEST (Paris time)

To join please contact:

A replay of the webcast will be available on VEXIM’s website within 48 hours at:
http://www.vexim.com/us/ (U.S. section of the website) > shareholder area

 

  1. NASS: North American Spine Society
  2. The results, which were subject to a limited review, have been approved by the Board of Directors of VEXIM at its meeting held on September 13th, 2017.
  3. Consolidated financial statements presented in Appendix.
  4. Press release published on July 11th, 2017