OpSens Announces First Quarter Fiscal 2021 Financial Results
QUEBEC CITY, Jan. 13, 2021 /CNW Telbec/ - OpSens Inc. ("OpSens" or the "Company") (TSX: OPS) (OTCQX: OPSSF), a medical device cardiology-focused company delivering diagnostic and treatment solutions based on its proprietary optical technology, today reported its financial results for the first quarter of fiscal 2021, ended November 30, 2020.
First Quarter Financial Highlights
-- Total revenue of $8.3 million, an increase of 19%, compared with $7.0
million for the first quarter of fiscal 2020;
-- FFR and dPR sales of $5.3 million, an increase of 23%, compared with
$4.3 million for the first quarter of fiscal 2020;
-- Net income of $0.6 million, an improvement of $2.5 million, compared
with the first quarter of fiscal 2020;
-- Cash and cash equivalents were $12.2 million as of November 30, 2020
($10.9 million as of August 31, 2020).
Recent Developments
-- Awarded 3-year contract in October 2020 with major American group
purchasing organization ("GPO") to provide access to the OptoWire to
their member hospitals across the United States;
-- Progress in the development of a guidewire for transcatheter aortic
valve replacement (TAVI or TAVR) procedures.
Management Commentary
"I am pleased with the financial results of the first quarter of fiscal 2021, as we achieved solid double-digit top- and-bottom line growth. These positive results reflect the continued confidence of our customers and partners in our team, products and technologies," said Louis Laflamme, President and CEO of OpSens. "During the first quarter, we made strong progress to increase the adoption of the OptoWire in the coronary artery stenosis measurement market, particularly in the United States where we executed our first group purchasing agreement. We are in discussions with others and believe this, coupled with the introduction of the OptoWire III, will be key to the expansion of the OptoWire going forward."
Financial Results - Quarter ended November 30, 2020
Total revenue was $8.3 million, an increase of 19% in the first quarter of 2021 compared with $7.0 million in the first quarter of 2020.
Sales of products for the measurement of coronary artery stenosis (Fractional Flow Reserve ("FFR") and diastolic pressure ratio ("dPR")) were $5.3 million in the first quarter of 2021 compared with $4.3 million in the same period in 2020, an increase of 23%. The increase in sales is primarily the result of growth in the Japanese, American, European, and Canadian markets despite several cardiology laboratories operating at reduced levels due to COVID-19.
Sales of optical medical systems, including the Company's 5-year supply agreement for ventricular assist device sensors, were $2.0 million in the first quarter of 2021 compared with $2.2 million in the first quarter of 2020.
Industrial sales increased 89% to $1.0 million during the first quarter of 2021 due to overall increase of activities in aeronautic and power electronics applications.
Operating expenses in the first quarter of fiscal 2021 were $4.4 million, down $1.2 million compared with $5.6 million in the first quarter of 2020. The improvement in operating expenses is attributable to a decrease in sales and marketing expenses.
Net income was $0.6 million in the first quarter of 2021 compared with a net loss of $1.9 million in the first quarter of 2020. The $2.5 million improvement is due to a $0.8 million increase in gross margin, a $1.2 million improvement in operating costs, and a $0.5 million subsidy from the Canadian government.
OpSens had a cash and cash equivalents of $12.2 million as of November 30, 2020 ($10.9 million as of August 31, 2020).
Table A
Consolidated statement of
results
For the quarter ended
For the quarter ended
November 30, 2020 November 30, 2019
(In thousands of Canadian
dollars, except for
information per share)
$
$
---
Revenues
Sales
Medical 7,336 6,461
Industrial 1,000 528
8,336 6,989
Cost of Sales 3,664 3,079
Gross margin 4,672 3,910
Gross margin (%) 56% 56%
Operating Expenses
Administration 1,469 1,475
Sales and marketing 1,588 2,850
R&D 1,295 1,296
4,352 5,621
Other income (490)
Financial expenses 216 160
Net earnings (loss) and
comprehensive income
(loss) 594 (1,871)
Net earnings (loss) per
share - Basic and
diluted 0.01 (0.02)
Table B
CONSOLIDATED BALANCE SHEET HIGHLIGHTS
As at As at
(in thousands of Canadian dollars)
November 30, 2020 August 31,
2020
---
$
$
---
Cash and cash equivalents 12,158 10,884
Trade and other receivables 3,777 4,041
Inventories 6,989 6,505
Total Current Assets 24,202 22,543
Property, plant, and equipment 3,048 3,230
Intangible assets 1,682 1,622
Right-of-use assets 4,368 4,513
Total Assets 33,300 31,908
Current liabilities 6,723 5,655
Long-term debt 6,348 6,608
Lease liabilities 4,213 4,298
Total Liabilities 17,284 16,561
Shareholders' equity 16,016 15,347
About OpSens Inc. (www.OpSens.com or www.OpSensmedical.com)
OpSens focuses mainly on coronary artery stenosis measurement in interventional cardiology. The Company 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 100,000 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.
SOURCE OPSENS Inc.
