Tuesday, May 8, 2012

Zynex, Inc. (ZYXI) Posts Q1 Preliminary Results Lifted by Subsidiary Strength

Zynex, a provider and developer of non-invasive medical devices for electrotherapy and stroke rehabilitation, neurological diagnosis, and cardiac monitoring, today posted its first quarter 2012 unaudited financial results.

The company’s total first-quarter net revenue increased 35 percent to $8.9 million compared to $6.6 million reported for the first quarter of the year prior. The company attributes the increase in sales to its Zynex Medical subsidiary, in which strong demand continues from its products. A small amount of revenue was derived from its Zynex NeuroDiagnostics subsidiary.

First quarter 2012 net income was $320,000, or $0.01 per share, versus a net loss of $110,000, or less than $(0.01) per share in the first quarter of 2011.

Gross profit for the quarter was $7.1 million, or 80 percent of net revenue, compared to a gross profit of $5.1 million, or 78 percent of net revenue, for the comparable three months of 2011.

Zynex CEO Thomas Sandgaard said the first few months of the year are typically the slowest for the company as it represents a reset for most patient insurance deductibles, which lowers the amount of expected revenue the company can report. As such, Sandgaard said the increase in first-quarter revenues reflects solid demand.

“Achieving a 35% increase in net revenue is representative of the strong demand for our Zynex Medical electrotherapy products and volume of orders we continue to obtain quarter over quarter,” Sandgaard stated in the press release.

The company also confirmed its initial guidance of anticipated total net revenue of between $38 million and $40 million for 2012 and net income per diluted share of between $0.06 and $0.08 for 2012.

For more information visit: www.zynexmed.com

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