Stereotaxis (NYSE: STXS) today reported second-quarter revenue that missed Wall Street projections, with the surgical robotics company unable to say how quickly revenue will pick up.
Investors reacted by sending STXS shares down more than 18% to $2.10 apiece by late afternoon trading today.
The St. Louis–based company lost $5.1 million, or 7¢ per share, off $6.2 million in revenue for the quarter ended June 30, 2022 — versus a loss of $1.2 million, or 2¢ per share, off $9.1 million in revenue for the same quarter a year ago.
Losses during the second quarter a year ago were less because Stereotaxis received $2.2 million in Paycheck Protection Loan forgiveness. Adjusted net loss for Q2 2022 and 2022 was the same: $2.5 million.
The $6.2 million in revenue during Stereotaxis’ most recent quarter missed The Street, where analysts predicted $7.08 million in revenue. As of June 30, the company had $35.1 million in cash and cash equivalents — and no debt.
“Despite macro pressures and the poor optics of our financial results, Stereotaxis is making significant progress commercially and technologically,” CEO David Fischel said in a news release. “I am pleased with our progress and confident in where we stand and the path ahead of us. We see continued demand for our technology, are advancing a transformative innovation pipeline, and are assembling an all-star commercial team, all while maintaining financial stability and strength.”
Stereotaxis is the creator of surgical robotics for minimally invasive endovascular intervention. Its technology has treated more than 100,000 patients worldwide. In March, it held a grand opening for its new 45,000-ft² headquarters facility in the renovated historic Globe Building in St. Louis’s growing Downtown North Urban Insight District.
“We received three orders for Genesis systems during the second quarter, two since our last call and one of which will become a second active robot at a prestigious U.S. hospital,” Fischel said. “The recent CE mark submission for the MAGiC ablation catheter is reflective of the methodical progress being made across multiple fronts on our strategic innovation plan. We continue to anticipate multiple highly impactful technologies to be launched throughout 2023 and beyond.”
Stereotaxis also recently added experienced Intuitive and Acutus Medical veterans to its commercial team.
The company’s leadership stuck to its previous guidance of overall revenue growth in 2022, pointing to its present system backlog of over $12 million.
But the company also added in its Q2 earnings release: “While this guidance remains achievable, significant variability in hospital construction timelines suggests that a sufficient portion of backlog may be recognized as revenue in the following year, introducing caution to this guidance.”
Stereotaxis expects to end 2022 with approximately $32 million in cash and cash equivalents, with a robust balance sheet that will enable it to reach profitability without additional financings.