Leading medical device company focused on dermal and skeletal health Business model generating superior returns • Seven consecutive quarters of record revenue • 80%+ recurring revenue growth • 75%+ gross margins • Q2-11 first EBITDA positive quarter • Expect cash flow positive in 3Q 2011 • 2012 Outlook: Revenues of $53M to $56M * High barriers to entry/first mover advantage Strong technical & scientific management team Industry consolidation underway
These were notes from the presentation yesterday:
Bacterin has had long standing relationships with distributors like AMC and continue to sign up more.
About half their sales move through distributors and they indicated they expect that to continue. As more sales move through directs, commission rates are expected to come down.
The company has increased processing throughout by 40% in recent months and is expecting to double capacity as early as July or August.
As with any company they need to keep executing their business plan. They have managed to continue to double every year while maintaining fantastic margins. The fact that the markets they serve are measured in billions and so far they only have a small piece tells me they have a very sustainable growth plan going forward.
Could very well be. Just looking at one of the billion dollar markets they address its easy to see where the growth is going to come from. By Q4 they will be in 25 hospitals compared to just 5.
OsteoSponge SC •$1.7 billion U.S. market •SC repair of knee, foot and ankle •FDA approved as subchondral bone void filler •Marketed outside U.S. as a cartilage scaffold •Currently being used in 5 facilities, and expected to expand to 25 facilities by 4Q ‘11 •Preliminary clinical results demonstrate repair of subchondral bone and cartilage •Publication of multiple site study expected