Australia's Leading Ophthalmic Magazine Since 1975

     Free Sign Up     

Australia's Leading Ophthalmic Magazine Since 1975

     Free Sign Up     
News

Aussie company doubles production of glaucoma devices

05/09/2017By Matthew Woodley
Share:
Australian-based company Ellex Medical Lasers will increase production capacity for its iTrack microcatheters to 50,000 units per year, in response to strong global demand for the minimally invasive glaucoma surgery (MIGS) device.

Australian-based company Ellex Medical Lasers will increase production capacity for its iTrack microcatheters to 50,000 units per year, in response to strong global demand for the minimally invasive glaucoma surgery (MIGS) device.



"We are committed to being ahead of the game to have manufacturing that can keep pace with demand from our customers"
Tom Spurling, Ellex Medical Lasers CEO

Approximately 10,000 iTrack catheters were sold in the FY17, however, demand has increased to the extent where the company is already planning a further expansion to 100,000 per annum to keep pace with forecast sales.

Ellex CEO Mr Tom Spurling said the production expansion would be funded from existing cash resources and earnings, which should see it meet projected demand for at least the next 12 months.

“We are seeing material sales growth in the USA from our significant increase in marketing and sales spend as announced on 28 July 2017. We are committed to being ahead of the game to have manufacturing that can keep pace with demand from our customers,” Spurling said.

The ASX listed business’ announcement came one week after its full year FY17 audited results were released, which showed iTrack had achieved sales of $8.2 million – a 41% increase compared to the prior comparable period. However, despite the gains in its iTrack sales, overall revenue fell 1.8% to $71.6 million, resulting in a before tax loss of $2 million.

According to the report the results were impacted by the decision to invest $2.5 million in sales and marketing of the iTrack and also its 2RT lasers, which are used for the treatment of AMD. Ellex received a European patent for the lasers last week, which Spurling said underpinned the value of the technology.

“The IP pathway for Ellex 2RT is now unencumbered in all key markets, including Europe. This is of significant importance to our business as we ramp up efforts to commercialise this breakthrough technology,” he said.

“Ellex 2RT is targeting a very significant unmet need. The seminal LEAD clinical trial we will read-out in mid-2018 after nearly six years of work and follow up. The results of this trial could have a transformational impact on revenues in 2019 and beyond.”

However, despite the recent string of positive announcements, 2017 has not all been smooth sailing for the company. The share price for Ellex crashed by 22% in February from a peak of $1.30 to $1.09 on the back of flat sales projections, and while it recovered, it again dropped by 8% in July upon the release of its FY17 sales report to sit at $0.99. ELX shares bottomed out at $0.90 last week, but were trading at AU$0.97 at the time of publication.

large leaderboard
advertisement





AFT Pharmaceuticals
advertisement
Editor's Suggestion
Hot Stories

Eyecare Plus
advertisement


OR
 

Subscribe for Insight in your Inbox

Get Insight with the latest in industry news, trends, new products, services and equipment!