iCAD posts Q1 loss, despite strong sales
iCAD, a provider of advanced image analysis and workflow solutions for the early identification of cancer, has released its financial results for the fiscal 2009 first quarter, ending on March 31, reflecting a net loss, despite an increase in sales.
For the period, the Nashua, N.H.-based company posted a net loss, including stock-based compensation expense of $500,000, of $999,000, compared with a net loss, including stock-based compensation expense of $392,000, of $446,000 in the first quarter of 2008.
Total revenue for the first quarter of 2009 was $7.2 million, an 11.4 percent increase compared with total revenue of $6.4 million for the first quarter of 2008, iCAD said. The increase reflects an 11.5 percent increase in revenue from its digital CAD and MRI products, to $4.8 million in 2009 from $4.3 million in the prior year period. Also, the company posted higher international revenue, which grew 62.6 percent compared with the first quarter of 2008, largely the result of the addition of international partnerships, as well as from other OEM partners.
iCAD said its total film-based revenue in the first quarter of 2009 increased 14.1 percent, to $1.6 million in 2009 from $1.4 million in the prior year period, due to strong demand for its comparative reading product, TotalLook MammoAdvantage. Increases in service and supply revenue of 6.2 percent, to $825,000 in 2009 compared with $777,000 in the first quarter of 2008, are the result of growth in service-contract revenue as digital CAD and TotalLook systems transition from warranty to service contracts.
The company attributed its losses to an increase in operating expenses, which for the first quarter of 2009, increased to $6.9 million from $5.6 million in the first quarter of 2008, largely due to costs associated with its new MRI products, expenses related to the clinical reader study for the Colon CAD product, stock based compensation expense and investments in sales and marketing.
"Due to the challenging economic environment and associated uncertainty in the healthcare markets," iCAD decided to defer providing guidance on the first half of 2009. However, the company said the decision will be reviewed mid-year.
For the period, the Nashua, N.H.-based company posted a net loss, including stock-based compensation expense of $500,000, of $999,000, compared with a net loss, including stock-based compensation expense of $392,000, of $446,000 in the first quarter of 2008.
Total revenue for the first quarter of 2009 was $7.2 million, an 11.4 percent increase compared with total revenue of $6.4 million for the first quarter of 2008, iCAD said. The increase reflects an 11.5 percent increase in revenue from its digital CAD and MRI products, to $4.8 million in 2009 from $4.3 million in the prior year period. Also, the company posted higher international revenue, which grew 62.6 percent compared with the first quarter of 2008, largely the result of the addition of international partnerships, as well as from other OEM partners.
iCAD said its total film-based revenue in the first quarter of 2009 increased 14.1 percent, to $1.6 million in 2009 from $1.4 million in the prior year period, due to strong demand for its comparative reading product, TotalLook MammoAdvantage. Increases in service and supply revenue of 6.2 percent, to $825,000 in 2009 compared with $777,000 in the first quarter of 2008, are the result of growth in service-contract revenue as digital CAD and TotalLook systems transition from warranty to service contracts.
The company attributed its losses to an increase in operating expenses, which for the first quarter of 2009, increased to $6.9 million from $5.6 million in the first quarter of 2008, largely due to costs associated with its new MRI products, expenses related to the clinical reader study for the Colon CAD product, stock based compensation expense and investments in sales and marketing.
"Due to the challenging economic environment and associated uncertainty in the healthcare markets," iCAD decided to defer providing guidance on the first half of 2009. However, the company said the decision will be reviewed mid-year.