DALLAS, April 05, 2018 (GLOBE NEWSWIRE) — Nexeon MedSystems Inc (”Nexeon”) (OTCQB:NXNN) a neurostimulation medical device company, announced today financial results for the fourth quarter and full year ended December 31, 2017.
- Manufacturing business:
• Completed the acquisition of Medi-Line, (http://www.mediline.be/en/), a Belgian medical device manufacturer with expertise in active and non-active implants manufacturing.
• Completed Manufacturing Agreement with GlaxoSmithKline, delivered clinical grade neurostimulation devices for their use in a variety of research studies.
• Completed an animal study and acute clinical study to optimize the design of our go to market DBS recording software
• Completed pre-submission meetings with FDA; no additional clinical data needed to support PMA application
• Completed a regulatory pathway review with DEKRA.
- Bioelectronics business:
• Successfully completed an animal study to study auricular vagus nerve stimulation (“aVNS”) in a model of bronchoconstriction,
• Initiated 20 patient clinical study to explore aVNS to alleviate atrial fibrillation
• Completed FDA meeting and De Novo 510K pathway for first aVNS product.
Fourth Quarter and Full Year Financial Results
- Consolidated revenues for the 4th quarter 2017 were $2,263,096. This includes $2,116,339 in manufacturing revenues (three months of Medi-Line operations) and no neurostimulation device revenues for the quarter. Gross profit for the quarter was $571,395. Net income for the quarter was $1,413,160. Net income for the quarter reflects an adjustment in the Gain on bargain purchase from the 3rd quarter 2017 preliminary purchase price allocation to the final purchase price allocation in the amount of $3,687,343 for the Medi-Line acquisition.
- For the year ended December 31, 2017, consolidated revenues were $3,302,775. This includes $2,932,664 in manufacturing revenues (four months of Medi-Line operations) and neurostimulation device revenues of $291,750 primarily from sales of neuromodulation research units to Galvani Bioelectronics. Gross profit for the year was $981,019. The Net loss for the year was ($2,177,641).
- As of December 31, 2017, the Company has working capital of $796,321. Included in working capital is $833,962 of cash, $1,877,743 in A/R, and $804,152 in grants receivable.
- As of December 31, 2017, the Company has approximately $2,150,000 in awarded grants remaining to be funded and has pending subsidy and grants contracts of approximately $2,472,000.
The 10-K can be found at www.sec.gov
About Nexeon MedSystems, Inc.: Nexeon is a medical device development and manufacturing company focused on providing innovative neurostimulation products that improve the quality of life of patients suffering from debilitating neurological disease.
Forward-Looking Statements: Forward-looking statements in this press release and all other statements that are not historical facts are made under the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These statements involve factors, risks, and uncertainties that may cause actual results in future periods to differ materially from such statements. There are a number of factors that could cause actual events to differ materially from those indicated by such forward-looking statements. These factors include, but are not limited to, risks arising from prevailing market conditions and the impact of general economic industry or political conditions in the United States or globally. A list and description of these and other risk factors can be found in the Company’s most recent Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, and Current Reports on Form 8-K filed with the Securities and Exchange Commission which can be reviewed at www.sec.gov. We make no representation or warranty that the information contained herein is complete and accurate, and we have no duty to correct or update any information contained herein.
Investor Relations Contact
The Ruth Group for Nexeon MedSystems, Inc.