Dextera Surgical Inc (NASDAQ:DXTR) issued financial report for its fiscal first quarter closed September 30, 2017. Julian Nikolchev, the CEO and President, expressed that they are achieving progress toward resolving their raw material and component supply challenges and anticipate to start shipping reloads in December and to addressing current backorder of $225,000 and going back to production.
Intuitive Surgical informed company that it intends to pursue advancement of robotic staplers depending on conventional staple know-how and will not continue advancement of the MicroCutter technology at this time. In light of the state of company’s business, the management continue to pursue strategic alternatives including the sale of certain or all of company’s assets, cost containment initiatives, a prospective filing for bankruptcy and raising adequate additional funds.
In Q1 2018, Dextera posted total product sales of around $0.6 million versus $0.4 million for the comparable quarter of FY2017. MicroCutter sales were around $203,000 in Q1 2018 with around $180,000 in backorders versus $359,000 of sales and backorders of $75,000 in the fourth quarter of FY2017.
The sequential drop in MicroCutter product sales can be accredited to production constraints for the white and blue reloads from both unexpected variabilities in raw materials and application of better design changes taking longer than expected. Total revenue came at around $0.7 million for Q1 2018 versus around $0.5 million for Q1 2017.
Dextera posted total operating costs and expenses of $4.5 million for Q1 2018, compared with $4.3 million in Q1 2017. Cost of product sales came at approximately $1 million for Q1 2018 versus $0.5 million for the comparable quarter of 2017. R&D expenses came at $1.7 million for the reported period as against $1.8 million for the same period of fiscal 2017. For Q1 2018, S,G&A expenses came at $1.8 million compared with $2 million for the same period of fiscal 2017.