The sale, to Florida Hospital in Orlando, follows another sale in Taiwan made during the third quarter, president & CEO Todd Pope said during a conference call with analysts last week.
“We are pleased to announce our first US sale of the Senhance Surgical System,” Pope said in prepared remarks. “Florida Hospital is a global leader in the application of next generation technologies to care for patients. It’s fitting that Florida Hospital will be the first in the United States to adopt this technology for patient care.”
“The digital operating room of the future has arrived, and our surgeons will continue to be leaders in applying robotic technology, like the Senhance, to benefit our patients across a full range of procedures and specialties,” added Florida Hospital’s Dr. Steve Eubanks. “Our team of clinicians selected the Senhance Surgical System to further our minimally invasive offerings. We believe this robotic system will support our surgeons in maximizing their precision and control during procedures while minimizing costs.”
TransEnterix last week posted third-quarter earnings that met the consensus forecast on Wall Street. The Research Triangle Park, N.C.-based company reported losses of -$38.5 million, or -26¢ per share, on sales of $183,000 for the three months ended Sept. 30, moving 197.5% into the red on a -87.5% sales slide. Adjusted to exclude one-time items, earnings per share were -9¢, exactly in line with The Street’s forecast.
“We are very excited about the progress we made during the third quarter and the 510(k) clearance of the Senhance in October,” Pope said. “There is a significant opportunity for the Senhance in the U.S., with millions of laparoscopic procedures done each year using basic manual tools. As we look to 2018, we are focused on the clinical and commercial success of Senhance in the U.S. while continuing to build on our commercial momentum in Europe and Asia.”
Pope said the company is awaiting regulatory clearance for Senhance in Taiwan, where the system it sold to the National Taiwan University Hospital in Taipei will serve as a demonstration facility until the clearance expected next year comes through.
“The regulatory approval process is well underway in the region, and we expect the clearance will occur in 2018. Revenues associated with this sale will be deferred until clinical use of the system commences,” Pope said during the Nov. 9 conference call. “This is now the second sale we have made in Asia and speaks to the high level of interest in the system, even in regions where we do not yet have regulatory approvals. Asia is a substantial market for robotics, not only due to their significant populations, but their eagerness to pursue advanced technology. Japan is already the world’s second largest robotics market behind the United States, and other countries in the region continue to see significant growth in demand for robotics. Naturally, this is an appealing marketplace for TransEnterix, and we will continue to evaluate commercial opportunities in this region.”
Pope said TransEnterix also received an order for a Senhance system in Europe that it expects to deliver during the fourth quarter.
TRXC shares were up 8.9% to $3.14 apiece today in mid-afternoon trading.