Endologix, Inc (ELGX) saw its loss widen to $24.92 million, or $0.30 a share for the quarter ended Dec. 31, 2016. In the previous year period, the company reported a loss of $15.29 million, or $0.22 a share. On an adjusted basis, net loss for the quarter was $18.27 million, when compared with $5.35 million in the last year period. Revenue during the quarter grew 20.98 percent to $47.46 million from $39.23 million in the previous year period. Gross margin for the quarter expanded 162 basis points over the previous year period to 62.07 percent. Operating margin for the quarter stood at negative 46.79 percent as compared to a negative 55.48 percent for the previous year period.
Operating loss for the quarter was $22.21 million, compared with an operating loss of $21.77 million in the previous year period.
However, the adjusted EBITDA for the quarter stood at negative $13.23 million compared to negative $11.45 million in the prior year second quarter. At the same time, adjusted EBITDA margin stood at negative 27.88 percent for the quarter compared to negative 29.19 percent in the last year period.
John McDermott, Endologix Chief Executive Officer, said, “In 2016, we successfully completed the TriVascular integration, advanced our strategic initiatives, and remain well positioned to execute on our long-term growth strategy. Looking forward, we have several opportunities to build value and enhance our position in the global aortic market. We anticipate CE Mark approval for Ovation Alto and Nellix ChEVAS in 2017, further expanding the number of AAA patients that can be treated with our innovative technologies. We also have several clinical milestones anticipated over the coming year, including presentation of the LUCY data and initiation of U.S. IDE clinical trials for Ovation Alto and Nellix ChEVAS. We also remain on track to submit the Nellix two-year IDE results and updated IFU to the FDA in the second quarter, which will be a key milestone towards Nellix FDA approval.”
Endologix expects revenue to be in the range of $193 million to $200 million for financial year 2017. For financial year 2017, the company projects diluted loss per share to be in the range of negative $0.70 to $0.76.
Working capital drops significantly
Endologix, Inc has witnessed a decline in the working capital over the last year. It stood at $84.94 million as at Dec. 31, 2016, down 54.48 percent or $101.66 million from $186.61 million on Dec. 31, 2015. Current ratio was at 2.89 as on Dec. 31, 2016, down from 4.67 on Dec. 31, 2015. Cash conversion cycle (CCC) has increased to 106 days for the quarter from 64 days for the last year period. Days sales outstanding went up to 35 days for the quarter compared with 34 days for the same period last year.
Days inventory outstanding has increased to 105 days for the quarter compared with 83 days for the previous year period. At the same time, days payable outstanding went down to 34 days for the quarter from 52 for the same period last year.
Debt moves up
Endologix, Inc has witnessed an increase in total debt over the last one year. It stood at $177.18 million as on Dec. 31, 2016, up 5.62 percent or $9.43 million from $167.75 million on Dec. 31, 2015. Endologix has witnessed an increase in long-term debt over the last one year. It stood at $177.18 million as on Dec. 31, 2016, up 5.62 percent or $9.43 million from $167.75 million on Dec. 31, 2015. Total debt was 49.26 percent of total assets as on Dec. 31, 2016, compared with 49.95 percent on Dec. 31, 2015. Debt to equity ratio was at 1.57 as on Dec. 31, 2016, down from 1.62 as on Dec. 31, 2015. Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: editor@irisindia.net
