- PolyNovo (PNV) was down more than 16 per cent this morning, despite delivering an 80 per cent increase in half-year revenue
- The company delivered revenue of $10.18 million, compared to $5.67 million from the same time last year
- The revenue increase came from a 129 per cent increase in commercial sales of its NovoSorb BTM synthetic wound dressing
- Despite this, the company also reported a net loss after tax of $2.42 million
- During the half, PolyNovo expanded its U.S. sales team with the company currently having 24 salespeople compared to 11 in February 2019
- The company's share price has dropped even more with shares currently down 16.9 per cent and trading for $2.51
PolyNovo (PNV) was down more than 16 per cent this morning despite delivering an 80 per cent increase in half-year revenue.
The company delivered revenue of $10.18 million compared to $5.67 million from the prior corresponding period (pcp).
This revenue was made up of the commercial sales of NovoSorb BTM and BARDA clinical trial program which accounted for $8.57 million and $1.61 million respectively.
On January 22 the company announced it had received and shipped its first orders to Germany, Austria and Switzerland for the first surgery using NovoSorb BTM.
NovoSorb BTM is a synthetic wound dressing that is used to treat severe wounds and burns where the patient has suffered a significant loss of flesh.
PolyNovo is a Class III Medical device and is registered for use in South Africa, India, Malaysia, Singapore and Israel.
It has also received approval from the U.S. FDA, CE Certification in Europe, the U.K., and Ireland, and NZ MedSafe.
Approvals are currently in process in South Korea, Taiwan, Mexico, Sri Lanka and Kuwait.
"The past half-year has been exciting for all of us because many areas of our business are experiencing rapid and dynamic growth," CEO Paul Brennan commented.
However, the company reported a net loss after income tax of $2.42 million, compared to the pcp of $1.92 million.
The increased loss comes from $880,000 in expenses after share-based payments were issued to a PolyNovo senior executive and CEO Paul Brennan.
Excluding this expense, PolyNovo's underlying loss has decreased on the previous year which reflects the significant growth in sales of NovoSorb BTM locally and overseas.
During the half PolyNovo also expanded its U.S. sales team. The company currently has 24 salespeople compared to 11 people in February 2019.
The company stated that it will continue to recruit salespeople each month in response to customer demand and increasing revenue opportunities.
"It is obvious that our customers and our staff are growing quickly," Chairman David Williams commented.
"We don't want to lose momentum, but we want to step up our sales force, our new product development and the infrastructure needed to support them in a controlled way," he added.
PolyNovo's share price has dropped even more with the company currently down 16.9 per cent and trading for $2.51 at 3:28 pm AEDT.