ENGLEWOOD, Colo., July 9, 2020 /PRNewswire/ -- Zynex, Inc. (NASDAQ:
ZYXI), an innovative medical technology company specializing in
manufacturing and selling non-invasive medical devices for pain
management, stroke rehabilitation, cardiac monitoring and
neurological diagnostics, today announced orders and an increased
revenue estimate for Q2 and the full-year 2020.
Orders in the second quarter were 37% above the number of orders
in the second quarter of 2019 and 23% sequentially below the first
quarter of 2020 due to COVID-19.
Thomas Sandgaard, CEO of Zynex
said: "Similar to most companies we have seen the impact of the
COVID-19 pandemic, not only on the availability of physicians to
prescribe our products but also on navigating employee and supply
chain issues. Our continued order growth during this pandemic shows
the strength of relationships our sales force has with many
prescribers and the need for them to prescribe non-opioid,
non-addictive prescription strength solutions for their patients in
pain.
In June, as many cities re-opened their doors for business, we
have seen consistent order growth and expect it to continue in the
third quarter. We aggressively hired sales and back office
employees during the second quarter which was aided by a surge in
applications from qualified individuals due to increased
unemployment rates related to COVID-19. These hires will provide
significant productivity increases in the second half 2020 and
beyond. We have eclipsed 300 sales reps as we continue our goal of
filling all of our territories in the U.S. We expect to have
approximately 500 sales reps in the U.S. by the end of 2020 and
over 600 by the end of 2021.
Due to the solid increase in orders and strong collections the
Company has updated its previous revenue estimate for the second
quarter of 2020 to between $18.9 and
$19.4 million compared to the
previous estimate of between $17.5
and $18.0 million. Second quarter
Adjusted EBITDA is now expected to come in between $4.4 and $4.9
million, up over one million from the previous estimate.
The Company is increasing its full year 2020 revenue estimate to
between $80 and $85 million. The Company previously provided
guidance for revenue in the full year 2020 of between $78 and $83
million.
The updated revenue estimate is now approximately 76% to 87%
above last year's full year revenue of $45.5
million.
2020 full year estimated adjusted EBITDA remains unchanged at
$15.0 to $18.0
million.
Our prescription-strength NexWave device is a healthy
alternative to prescribing opioids as the first line of defense
when treating pain. We continue to add additional sales reps in
territories throughout the US that we have not covered
previously.
We continue to advocate for pain patients, and for physicians to
prescribe our NexWave technology as the first line of defense in
treating chronic and acute pain without side effects. We are
dedicated to promoting our technology in an effort to remove
patient addiction and other side effects from prescription
opioids."
About Zynex
Zynex, founded in 1996, markets and sells its own design of
electrotherapy medical devices used for pain management and
rehabilitation; and the Company's proprietary NeuroMove device
designed to help recovery of stroke and spinal cord injury
patients. Zynex is also developing a new blood volume monitor for
use in hospitals and surgery centers. For additional
information, please visit: Zynex.com.
Safe Harbor Statement
This release contains forward-looking statements within the
meaning of the safe harbor provisions of the U.S. Private
Securities Litigation Reform Act of 1995.
Forward-looking statements are neither historical facts nor
assurances of future performance. Instead, they are based only on
our current beliefs, expectations and assumptions regarding the
future of our business, future plans and strategies, projections,
forecasts, anticipated events and trends, the economy and other
future conditions. Because forward-looking statements
relate to the future, they are subject to inherent uncertainties,
risks and changes in circumstances that are difficult to predict
and many of which are outside of our control. Our actual results
and financial condition may differ materially from those indicated
in the forward-looking statements. Therefore you should not rely on
any of these forward looking statements. The Company makes no
express or implied representation or warranty as to the
completeness of forward looking statements or, in the case of
projections, as to their attainability or the accuracy and
completeness of the assumptions from which they are derived.
Factors that could cause actual results to materially differ from
forward-looking statements include, but are not limited to, the
need to obtain CE marking of new products, the acceptance of new
products as well as existing products by doctors and hospitals,
larger competitors with greater financial resources, the need to
keep pace with technological changes, our dependence on the
reimbursement for our products from health insurance companies, our
dependence on third party manufacturers to produce our goods on
time and to our specifications, implementation of our sales
strategy including a strong direct sales force, the impact of
COVID-19 on the global economy and other risks described in our
filings with the Securities and Exchange Commission including our
Annual Report on Form 10-K for the year ended December 31,
2019 as well as our quarterly reports on Form 10-Q and current
reports on Form 8-K.
Any forward-looking statement made by us in this release is
based only on information currently available to us and speaks only
as of the date on which it is made. We undertake no obligation to
publicly update any forward-looking statement, whether written or
oral, that may be made from time to time, whether as a result of
new information, future developments or otherwise.
Contact:
Zynex, Inc.
(303) 703-4906
Investor Relations Contact:
Amato and Partners,
LLC
Investor Relations Counsel
admin@amatoandpartners.com
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SOURCE Zynex