Cost Reduction Plan Implemented
Fourth Quarter 2023
- Revenues amounted to
SEK 621 (130) thousand, of whichSEK 204 (0) thousand were net sales. - Net loss amounted to
SEK -17,863 (-26,857) thousand. - Loss per share amounted to
SEK -0.03 (-0.22). - Cash and cash equivalents amounted to
SEK 2,301 (20,067 prior year) thousand.
Full Year 2023
- Revenues amounted to
SEK 1,851 (902) thousand, of whichSEK 321 (135) thousand were net sales. - Net loss amounted to
SEK -91,938 (-74,516) thousand. - Loss per share amounted to
SEK -0.30 (-0.73). - Cash and cash equivalents amounted to
SEK 2,301 (20,067 prior year) thousand.
Significant events during the quarter
NeoDynamics received a new order from large hospital inGermany ,Western Rhineland-Palatinate Hospital .NeoDynamics presented NeoNavia® at theBritish Society of Breast Radiology meeting in Belfast on5-7 November 2023 .- The Board of Directors of
NeoDynamics had assessed the current financial situation of the company as critical and were in discussions to secure short and long-term financing. A result of this has been that the Board of Directors and Managemnet Team have decided to streamline the companies operations, through a cost reduction plan. NeoDynamics received approximatelySEK 0.5 million through the exercise of warrants of series T02.NeoDynamics secured short-term financing by means of aSEK 10 million loan.NeoDynamics launched a device registry inGermany , a cost-effective collection of real-world data.- It was announced that as a consequence of the cost reduction plan announced in November,
Aaron Wong , CFO will be leavingNeoDynamics by end ofMay 2024 .
Significant events after the end of the quarter
- In
January 2024 ,NeoDynamics announced that subject to the EGM, it intended to carry out a Rights Issue of shares in an amount of up to approximatelySEK 25 million to finance commercialization and marketing activities and also intends to carry out a reverse split. NeoDynamics AB (publ) held an Extraordinary General Meeting on2 February 2024 , and resolved on the Rights Issue and a reverse share split.NeoDynamics secured short-term financing by means of a second loan forSEK 15 million .
CEO Comment
Cost reduction plan implemented, short-term financing secured
As announced in November, we have implemented a cost reduction plan which means that we are now operating with a reduced headcount and cost structure. We have matched staffing levels to our current situation, while maintaining an appropriate presence in our target markets.
We firmly believe we are close to a commercial breakthrough and final proof of concept in the US based on positive customer feedback and ongoing dialogue with leading hospitals and cancer centres. However, the process has been more time consuming than anticipated in the procurement area, and we have therefore had to balance our cash, costs, and commercial activities in the short term.
The cost savings will be visible from
All needles available for sale and delivery in target markets
Our full suite of needles; VacuPulse, CorePulse and FlexiPulse are now available for sale and delivery in all our targeted markets in
The CorePulse needles are high in demand in
The VacuPulse needle is anticipated to be the most used in the US, and it comes with both advanced features, and we can offer these needles with a different price structure. Due to implemented product improvements, the delivery of the VacuPulse needle was delayed until the end
We are currently working with 18 medical centres in
In the US, we are in negotiations with “Tier One Hospitals”, and we are confident that this will result in a commercial break-through soon. However, getting through procurement and compliance at these hospitals is extremely time consuming for a first order.
The most important imminent milestone for us is to get a commercial breakthrough in the US, which means that we will have demonstrated a commercial proof of concept.
The next milestone is to develop and adapt our product offering to other indications such as prostate, liver head and neck precision biopsy.
Financing
To secure funding for operations in
In the short-term, we have approval from the EGM to press ahead with the Rights Issue, which is fully guaranteed to 100%. With this raise of approximately
CEO
All reports are available at the company ́s website: https://www.neodynamics.com/en-gb/reports
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