Overview
US medical device maker's fiscal Q4 revenue fell 12% from prior quarter
Company completed restructuring, cutting operating expenses by 23% quarter-over-quarter
Encision expects next quarter to be profitable after operating loss narrowed in Q4
Outlook
Encision expects next qtr sales to return to more typical levels
Company expects next qtr to be profitable after restructuring
Encision says cash flow forecast shows no going-concern considerations for next 12 months
Result Drivers
FEWER SELLING DAYS - Co said Q4 sales were partly impacted by fewer selling days in January and February
PROCEDURE SHIFT - Co said sales have continued to decline in part because procedures performed by Intuitive’s surgical robots have replaced procedures that have historically used our instrumentation
RESTRUCTURING - Co completed restructuring and reduced targeted operating expenses by end of February
Company press release: ID:nACSwyttla
Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q4 Product Revenue
$1.24 mln
Q4 Gross Profit
$592,000
Q4 Operating Expenses
$652,000
Q4 Operating Income
-$60,000
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)