Opsens reports 2015 results
Quebec City, Quebec, November 24, 2015 – Opsens Inc. (“Opsens”) (TSXV:OPS) (OTCQX:OPSSF) today released results for the year ended August 31, 2015.
- Revenues rise 28% to $8.7 million in fiscal 2015 from $6.8 million a year earlier;
- Net loss at $2.9 million in fiscal 2015 reduced from $3.1 million a year earlier;
- OptoWire II receives CE marking approval – cleared to sell in Europe;
- OptoWire I cleared to sell in U.S., Japan, Europe and Canada;
- Opsens receives positive feedback on the OptoWire’s performance from renowned cardiologist;
- Opsens marks 1,000th procedure with the OptoWire, Opsens’ guidewire to measure Fractional Flow Reserve (“FFR”);
- OptoWire used for the first time in the U.S.;
- Opsens hires Tony Gibbons as Vice President, Sales and Marketing.
Setting Up for the Expansion of Opsens FFR Products Commercial Activities
Aiming to become a key player in the FFR guidewire market, Opsens has put together a plan to commercialize its FFR products. To respond to the expected uptick in demand, Opsens will move into an expanded state-of-the-art facility to accommodate the growing workforce and equipment needed to ramp up production at the beginning of 2016. Opsens has also hired a seasoned leader to extend Opsens’ sales activities.
OptoWire II chosen for the Expansion of Opsens FFR Products Commercial Activities
The OptoWire, Opsens’ first FFR product designed for the diagnostic of the functional severity of coronary stenoses and to guide their treatment, received positive comments from cardiologists in the limited market release phase. As part of its continuous improvement process and aiming to provide interventional cardiologists with the most efficient tools, Opsens has added a hydrophilic coating and increased the flexibility profile of its guidewire for easier navigation through the vascular system. This new version, the OptoWire II, is following the regulatory path at an accelerated pace in the jurisdictions Opsens targets in priority, the U.S., Japan, Europe and Canada. Opsens has recently announced clearance for Europe. The OptoWire II is the version Opsens will market on a large scale.
“Our actions and our progress will help us drive our sales activities. We are confident that the OptoWire’s distinctive features will allow Opsens to capitalize on the fast-growing FFR market,” said Louis Laflamme, President and CEO of Opsens.
In the Industrial sector, Opsens is extending the applications of its versatile technologies to increase its business in various highly profitable markets. Opsens’ products perform in the most demanding environments and provide benefits in terms of improved production, cost reduction and security of sites. For example, Opsens announced an order worth more than $1 million with one of the world’s largest mining companies at one of the world’s largest copper mining operations in South America.
Strong Financial Position for Successful Commercialization of its FFR Products
As of August 31, 2015, Opsens had $7.2 million in cash and, in addition, held milestone payments receivables from partners for a total of US$4.5 million, giving the Company the flexibility to implement a rational yet ambitious plan to launch its FFR products while supporting activities in other sectors adequately. Opsens’ solid financial position will be a strong asset for the successful penetration of the FFR market. This position has allowed the Company to work on the ramp up of production and on the distribution of its products.
Financial Results – Year Ended August 31, 2015
Opsens’ revenues were higher for the year ended August 31, 2015 at $8,665,000, compared with $6,788,000 for 2014. The increase in revenues is explained by revenues arising from a milestone payment of $1,115,500 (US$1,000,000) received when the Company obtained Shonin approval in October 2014 and by the CE mark approval obtained in November 2014 that allowed the Company to record in the results $2,002,000 (US$2,000,000) in deferred revenues. This was partly offset by lower revenues in the oil and gas sector, where major producers significantly reduced their investments because of the dramatic drop in crude oil prices.
Gross margin increased for the year ended August 31, 2015 when compared with last year, from $2,389,000 to $4,744,000. Higher revenues, as previously mentioned, explain the increase in gross margin. This was partly offset by costs incurred by the Company to increase its manufacturing capacity.
|(In thousands of Canadian dollars, except for information per share)||Year Ended
August 31, 2015
August 31, 2014
|Cost of sales||3,921||4,399|
|Sales and marketing expenses||1,501||1,131|
|Financial expenses (revenues)||(1)||114|
|Change in fair value of embedded derivative||73||102|
|Impairment of assets||796||–|
|Loss before income taxes||(2,544)||(3,099)|
|Current income tax expense||340||–|
|Net loss and comprehensive loss||(2,884)||(3,099)|
|Net loss per share – Basic||(0.05)||(0.06)|
|Net loss per share – Diluted||(0.05)||(0.06)|
About Opsens Inc. (www.opsens.com or www.opsensmedical.com)
Opsens focuses mainly on the measure of Fractional Flow Reserve (“FFR”) in interventional cardiology. Opsens offers an advanced optical-based pressure guidewire (OptoWire) that aims at improving the clinical outcome of patients with coronary artery disease. Opsens is also involved in industrial activities. The Company develops, manufactures and installs innovative fibre optic sensing solutions for critical applications, such as the monitoring of oil wells and other demanding industrial 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 Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
For further information, please contact:
Thierry Dumas, CPA, CA, Chief Financial Officer, 418.682.9996
Louis Laflamme, CPA, CA, Chief Executive Officer, 418.682.9996