Amedica Reports 2Q16 Revenue
Amedica (AMDA) reported 2Q16 revenue of US $4.0MM, -16.3% vs. 2Q15, as reported.
ORTHOWORLD estimates 2Q16 segment revenue and as-reported growth as follows.
- Spine $3.8MM, -16.3%
- Orthobiologics $0.2MM, -16.7%
Revenue was impacted by lower private label sales and weaker-than-expected commercial sales in a key geographic region while AMDA implemented its sales expansion strategy, as well as continued price pressure and hospital vendor consolidation
Commercial expansion initiatives should complete in 3Q16, yielding benefits in 4Q16 and into next year
Added 18 distributors year-to-date, bringing in new sales management at all levels
Within past 18 months, had 34 peer-reviewed articles published worldwide
Submitted responses to FDA in relation to the CASCADE clinical trial to support its composite cervical interbody fusion device; was recently granted an extension to determine proper indications and labeling for the composite product that is already sold in Europe
Completing biomechanical testing of a spinal fusion implant for submission to China's FDA; also working with a "major orthopaedic company" in Japan, submitting clinical and scientific data to the Japan FDA
Plans to keep its primary focus on spine implant sales and development (though working with companies to test material in total hips, hemi-arthroplasty, bioactive coatings, etc., and recently signed a joint development agreement for dental applications)
Sold >30,000 silicon nitride spinal fusion implants to date
Next-generation silicon nitride material is ready for large animal testing
An upgraded pedicle screw system is slated to roll out in Fall 2016
Recently completed a $12.7MM public offering
Sources: Amedica Corporation, ORTHOWORLD Inc.