NxStage Medical Inc. (NSDQ:NXTM) remained in the red for its third quarter, but losses shrank as the company’s revenue continued its upward climb.
The Lawrence, Mass.-based home hemodialysis products maker recorded a loss of $8.2 million, or 17 cents per diluted share, on sales of $45.0 million during the three months ended Sept. 30. That compares with a loss of $10.0 million, or 22 cents per diluted share, on sales of $38.0 million during the same period last year.
NxStage has posted rising sales and decreasing losses in recent quarters, with second-quarter red ink narrowing 34 percent on a nearly 21 percent top-line spike.
NxStage‘s latest quarterly losses beat Wall Street’s expectations of 16 cents per share. The company’s 18 percent revenue increase was just ahead of the average prediction of $44.51 million.
“We continued to build good momentum across our business and set new records on a number of financial metrics. Our Q3 results are strong validation of our business model, particularly since we believe we are still in the early stages of growth and adoption of home hemodialysis with the System One,” CEO Jeffrey Burbank said in prepared remarks.
Revenue from all of the company’s businesses increased except its in-center segment, where Q3 sales were $15.9 million, compared with $16.0 million for the same period last year.
Those numbers could change, however, after a new service agreement comes on line. NxStage said it expanded its Medisystems in-center portfolio with Vasc-Alert‘s automated vascular access surveillance product, which helps care providers prevent stenosis and therefore thrombosis. NxStage is now the exclusively distributor of the service in the U.S.
“The Vasc-Alert service complements our innovative Medisystems product line in a timely fashion, as providers are tasked with implementing recent [Centers for Medicare and Medicaid Services] requirements for access surveillance,” NxStage senior vice president of commercial operations Joseph Turk said in a prepared statement.
