Sofwave Medical Reports First Quarter Fiscal 2023 Financial Results and Recent Business Highlights
- First Quarter Revenue of $10.4M, +86% Year-Over-Year Growth
- Over 125,000 Treatments Performed Since Initial Approval; Global Market Conditions Remain Favorable and Demand Continues to Grow in the Noninvasive Skin Tightening Segment
- First Quarter Recurring Revenue Up 74%, to $2.2M; Representing 21% of Total Revenue
SAN CLEMENTE, Calif., May 10, 2023 (GLOBE NEWSWIRE) — Sofwave Medical Ltd (TASE: SOFW), an emerging leader in energy-based non-invasive, aesthetic medical devices for practitioners worldwide, reported first quarter fiscal 2023 financial results for the period ended March 31, 2023, and recent business highlights.
First Quarter Fiscal 2023 Financial Highlights
- Record Revenues of $10.4M; representing 86% year-over-year growth
- Recurring Revenue of $2.2M, a year-over- year increase of 74%, representing 21% of total revenue
- Gross Profit was $7.6M, a year-over-year increase of 87%
- IFRS Gross Margin: 73.7%; *Non-IFRS 74.1%
- IFRS Operating Loss: $3.7M; *Non-IFRS: $3.0M
- Cash as of March 31, 2023: $29M
Management Commentary
Mr. Louis Scafuri, Sofwave CEO commented, “We are delighted with our strong first quarter financial results, driven by robust sales in North America and Asia. Looking ahead to the remainder of the year, we expect several key trends, including patients requesting multiple treatments, procedure pricing increases in certain key markets, and our growing brand awareness across social media channels to continue driving strong growth. Encouragingly, as industry adoption ramps, providers have now conducted over 125,000 treatments since our commercial launch.”
“Operationally, we expanded our commercial footprint in the quarter, gaining market approval for SUPERB™ non-invasive wrinkle reduction and lifting technology in Mexico — the second largest aesthetic medical market in Latin America. Moreover, we continue our track record of superior innovation and were recently granted FDA clearance for the “Precise” SUPERB™ Applicator. The new, modular applicator delivers the same SUPERB™ technology in a compact applicator for more convenient and precise treatment and is a direct add-on feature requiring no modification to current console systems. We are also delighted to have received FDA approval for our recent product innovation, Sofwave Smart™. Our Sofwave Smart™ device is a wireless enabled module and software which offers seamless connectivity for all SUPERB™ devices,” concluded Mr. Scafuri.
Dr. Shimon Eckhouse, Chairman of the Board added: “We continue to expect 2023 to be a significant year of growth for Sofwave™ as global demand further expands in the medical aesthetics’ non-invasive skin tightening segment despite macro concerns. We were also happy to have received FDA clearance for the treatment of cellulite, further extending our broad portfolio of approved indications. Sofwave’s product continues to achieve a high level of creditability and brand awareness amongst the global community of aesthetic medicine key opinion leaders. To this end, we have received overwhelmingly positive feedback from a substantial number of influential physicians at major industry events, such as IMCAS (Paris), AAD (U.S.), and AmSpa (U.S.).”
Recent Business and Operational Highlights
- FDA approval received for the Sofwave Smart™ device, an enabled wireless module and software which offers seamless connectivity for all SUPERB™ devices
- Conducted over 125,000 treatments since initial approval
- Granted FDA clearance for latest innovation: the “Precise” SUPERB™ applicator
- Granted additional regulatory approval in Mexico, a key Latin American market
- Awarded NewBeauty’s 2023 award for “Best Non-Invasive Cellulite Treatment”
Financial Summary (Q1FY’23)
| IFRS Results (U.S. dollars in thousands) | ||||||
| Q1 2023 | Q1 2022 | |||||
| Revenues | $10,407 | $5,586 | ||||
| Gross Profit | $7,671 | $4,099 | ||||
| Gross Margin | 73.7% | 73.4% | ||||
| Operating Loss | ($3,740) | ($4,265) | ||||
| *Non-IFRS Results (U.S. dollars in thousands) | ||||||
| Q1 2023 | Q1 2022 | |||||
| Gross Profit | $7,715 | $4,180 | ||||
| Gross Margin | 74.1% | 74.8% | ||||
| Operating (Loss)/Profit | ($3,008) | ($2,891) | ||||
| (*) Excluding stock-based compensation | ||||||
About
Sofwave Medical Ltd. has implemented an innovative approach to wrinkle reduction lifting and cellulite using proprietary breakthrough technology. SUPERB™, Synchronous Ultrasound Parallel Beam technology is FDA-cleared to improve facial lines and wrinkles, lifting the eyebrow and lifting lax submental tissue (beneath the chin) and neck tissue and the short-term improvement in the appearance of cellulite providing physicians with smart yet simple, effective, and safe aesthetic solutions for their patients. Contact: Info@sofwave.com.
Investor Contact:
Brian Ritchie
LifeSci Advisors LLC
(212) 915-2578
britchie@lifesciadvisors.com
