Novadaq reports big jump in Q2 revenue
Novadaq Technologies (NASDAQ:NVDQ; TSX:NDQ) posted second quarter revenue of $5.4-million, up about 48%, compared with $3.6-million in the year earlier quarter, driven by continued adoption of SPY Elite and FIREFLY procedures and higher SPY Elite and FIREFLY system sales.
Recurring revenue for the second quarter for Novadaq’s SPY businesses rose 124% to $2.5-million from $1.1-million a year ago, and increased 18% sequentially from $2.1-million in the first quarter of 2012.
Novadaq shipped 130 imaging systems and about 4,000 SPY Elite and FIREFLY procedures kits during the second quarter of 2012. The combined installed base of SPY technology in the U.S. now exceeds 500 systems.
“We are seeing increased adoption in breast reconstruction and partial nephrectomy, our initial markets, as evidenced by the 18% sequential increase in recurring revenues,” CEO Dr. Arun Menawat said in a statement.
“At the same time, focus on our PINPOINT endoscopic fluorescence imaging system is increasing,” he added. Novadaq plans to market PINPOINT directly, and expects that the product will be familiar to surgeons and hospitals because they are already using SPY technology through the company’s existing installed base.
“With PINPOINT, the clinical and cost savings benefits of fluorescence imaging will be available to surgeons choosing to perform minimally invasive procedures, which is a large segment of the surgery market,” Dr. Menawat said.
“We have started the process of building our sales and marketing team for PINPOINT, and recruitment into the PILLAR multi-center clinical study has begun,” he added.