Quebec City, Quebec, January 26, 2017 – Opsens Inc. (“Opsens” or the “Company”) (TSXV:OPS) (OTCQX:OPSSF) today reported its results for the first quarter ended November 30, 2016.
- Fractional Flow Reserve (“FFR”) revenues were $2,743,000 compared with $893,000 in the same quarter last year, an increase of $1,850,000 or 207%;
- Consolidated revenues for Q1 2017 amounted to $3,745,000 compared with $1,711,000 in Q1 2016, an increase of $2,034,000 or 119%.
EXeCUTION of the growth strategy
Opsens’ sales networks demonstrate success quarter over quarter. FFR revenues for the first quarter of 2017 represent more than 50% of Opsens’ FFR revenues for the 12-month period ended August 31, 2016. “We are convinced that the distinctive features of the OptoWire, widely recognized by key opinion leaders in the interventional cardiology field, will allow us to capitalize on the fast-growing FFR market,” said Louis Laflamme, President and Chief Executive Officer of Opsens.
“We are putting in place the necessary investment and infrastructure to become a major player in the industry. The improvements to our production processes over the past few months have enabled us to increase our competitiveness and our ability to start to meet the growing demand for our products,” added Mr. Laflamme.
Opsens closes $15 million financing to support marketing expansion of FFR products
Following the financing that closed on December 8, 2016, Opsens’ cash position is now approximately $17 million. This financial position provides the Company the flexibility necessary to execute its plan including the expansion of commercialization of its FFR products.
Financial results – First quarter ended November 30, 2016
Opsens’ product sales were $3,745,000 for the three-month period ended November 30, 2016 compared with $1,711,000 for the same period a year earlier. This significant growth is explained by an increase of $1,850,000 in FFR revenues.
Gross margin increased to $1,191,000 for the quarter ended November 30, 2016 from $483,000 for the same period last year.
Net loss amounted to $2,541,000 for the three-month period ended November 30, 2016 compared with a net loss of $1,658,000 in the corresponding period last year. Opsens’ breakthrough into new markets has generated increased sales and marketing expenses, which explains the difference.
|(in thousands of Canadian dollars, except for information per share)
November 30, 2016
November 30, 2015
|Cost of sales||2,554||1,228|
|Sales and marketing expenses||1,770||476|
|Change in fair value of embedded derivative||186||206|
|Net loss and comprehensive loss||(2,541)||(1,658)|
|Net loss per share – Basic||(0.03)||(0.03)|
|Net loss per share – Diluted||(0.03)||(0.03)|
GRANT OF STOCK OPTIONS
On January 25, 2017, the Board of Directors authorized the grant of 672,750 stock options including 200,000 to Directors, as provided by Opsens’ stock option plan adopted by shareholders on January 24, 2017.
Under the terms of the Stock Option Plan, each of the options granted entitles the holder to purchase one common share of Opsens no later than January 24, 2022 at a price equal to $1.68 per share. The stock options granted will vest over a period of four years at 25% per year, the first portion vesting at the end of the first year following the grant of options, with the exception of stock options granted to Directors that allows the holder to subscribe immediately for common stock of Opsens.
Opsens focuses mainly on the measure of 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, 418.781.0333
Louis Laflamme, CPA, CA, Chief Executive Officer, 418.781.0333