Recent

% | $
Quotes you view appear here for quick access.

CryoLife Inc. Message Board

  • dlhild@ymail.com dlhild Feb 13, 2010 10:31 PM Flag

    Point #5 - CRY's Hemostase Sales

    CRY sold $6M Hemostase during 2009. When CRY signed the contract, Medafor gave them some hand-off sales. I'm going to estimate the number at $2.5M in annual sales. This means that CRY developed $3.5M in new sales during 2009. On first blush, this looks pretty good. let's look under the covers.

    Cry's 2009 revenues are going to be about $56M tissue, $48M BioGlue, and $6 Hemostase. If 80% of these sales were in the USA, and if we assume 50 USA people on the sales force, we get some interesting numbers.

    Tissue: Average sales of $900,000 per person on the sales force.
    $56M times 80% divided by 50.

    BioGlue: Average sales of $760,000 per person on the sales force.
    $48M times 80% divided by 50.

    Hemostase:Average sales of $100,000 per person on the sales force.
    $6M times 80% divided by 50.

    Ask yourself a question. On which products do you think someone on the sales force is going to focus their effort. Tissue and BioGlue make up 94% of total sales. So are you going to work that hard on selling Hemostase? I doubt it. This is another reason why CRY and Medafor are not a good fit.

 
CRY
11.13-0.01(-0.09%)May 22 4:02 PMEDT