Organogenesis Holdings Inc. Reports Preliminary Financial Results for Third Quarter 2020
Third Quarter 2020 Preliminary Financial Results Summary:
- Net revenue of between
$99.0 million and$100.0 million for the three months endedSeptember 30, 2020 , up 54% to 56% compared to net revenue of$64.3 million for the three months endedSeptember 30, 2019 . Net revenue is based upon:- Net revenue from Advanced Wound Care products of between
$88.5 million and$89.3 million , up 63% to 64% year-over-year. - Net revenue from Surgical & Sports Medicine products of between
$10.5 million and$10.7 million , up 5% to 7% year-over-year.
- Net revenue from Advanced Wound Care products of between
- Net revenue from the sale of PuraPly products of between
$39.0 million and$40.0 million for the three months endedSeptember 30, 2020 , up 23% to 26% year-over-year. - The Company expects to report positive GAAP net income and positive Adjusted EBITDA for the three months ended
September 30, 2020 .
Updated Fiscal Year 2020 Financial Guidance:
For the twelve months ending
- Net revenue of between
$311 million and$314 million , representing growth of approximately 19% to 20% year-over-year, as compared to net revenue of$261 million for the twelve months endedDecember 31, 2019 . - The 2020 net revenue guidance range assumes:
- Net revenue from Advanced Wound Care products of between
$273 million and$275 million , representing growth of approximately 24% to 25% year-over-year as compared to net revenue of$221 million for the twelve months endedDecember 31, 2019 . - Net revenue from Surgical & Sports Medicine products of between
$38 million and$39 million , representing a decrease of approximately 3% to 6% year-over-year as compared to net revenue of$40 million for the twelve months endedDecember 31, 2019 . - Net revenue from the sale of PuraPly products of between
$119 million and$121 million , representing a decrease of approximately 5% to 6% year-over-year, as compared to net revenue of$127 million for the twelve months endedDecember 31, 2019 .
- Net revenue from Advanced Wound Care products of between
- The Company expects to report positive GAAP net income and positive Adjusted EBITDA for the three months ended
December 31, 2020 . - The Company expects to report positive GAAP net income and positive Adjusted EBITDA for the full fiscal year 2020 period.
Acquisition of CPN Biosciences:
On
“This strategic acquisition significantly enhances our ability to drive growth in the office channel,” said
The acquisition of CPN Biosciences did not materially impact revenue for the three months ended
Third Quarter 2020 Earnings Conference Call:
Financial results for the third fiscal quarter of 2020 will be reported after the market closes on
For those unable to participate, a replay of the call will be available for two weeks at 855-859-2056 (404-537-3406 for international callers); access code 9668716. The webcast will be archived at investors.organogenesis.com.
Forward-Looking Statements
This release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements relate to expectations or forecasts of future events. Forward-looking statements may be identified by the use of words such as “forecast,” “intend,” “seek,” “target,” “anticipate,” “believe,” “expect,” “estimate,” “plan,” “outlook,” and “project” and other similar expressions that predict or indicate future events or trends or that are not statements of historical matters. Such forward-looking statements include statements relating to the Company’s expected revenue for fiscal 2020 and the breakdown of such revenue in both its Advanced Wound Care and Surgical & Sports Medicine categories as well as the estimated revenue contribution of its PuraPly products. Forward-looking statements with respect to the operations of the Company, strategies, prospects and other aspects of the business of the Company are based on current expectations that are subject to known and unknown risks and uncertainties, which could cause actual results or outcomes to differ materially from expectations expressed or implied by such forward-looking statements. These factors include, but are not limited to: (1) the Company has incurred significant losses since inception and anticipates that it will incur substantial losses for the foreseeable future; (2) the Company faces significant and continuing competition, which could adversely affect its business, results of operations and financial condition; (3) rapid technological change could cause the Company’s products to become obsolete and if the Company does not enhance its product offerings through its research and development efforts, it may be unable to effectively compete; (4) to be commercially successful, the Company must convince physicians that its products are safe and effective alternatives to existing treatments and that its products should be used in their procedures; (5) the Company’s ability to raise funds to expand its business; (6) the impact of any changes to the reimbursement levels for the Company’s products and the impact to the Company of the loss of preferred “pass through” status for PuraPly AM and PuraPly on
About
Investor Inquiries:Westwicke Partners Mike Piccinino , CFA OrganoIR@westwicke.com 443-213-0500 Press and Media Inquiries: OrganogenesisMarcus Girolamo MGirolamo@organo.com 817-688-4767
Source: Organogenesis Holdings Inc.