SpineGuard Reports Third-quarter 2021 Revenue

• 9-months growth outside the US vs. last year 36%
• Q3 consolidated revenue at € 1M

PARIS & BOULDER, Colo.--(BUSINESS WIRE)--Regulatory News:

SpineGuard (Paris:ALSGD) (FR0011464452 – ALSGD), an innovative company that deploys its DSG® (Dynamic Surgical Guidance) sensing technology to secure and streamline the placement of bone implants, announced today that its revenue was € 1.0 M in the third quarter and € 3.25 M YTD.

Pierre JEROME, Chairman, CEO and Co-founder of SpineGuard, said: “The COVID-19 pandemic had a significant impact on the spinal device market in the third quarter due to both the emergence of the Delta variant and healthcare labor shortage. Despite this new transitory tension on surgical activity, we have been delivering very encouraging growth overseas since the beginning of the year and the strengthening of our US commercial organization is well on the way with two additional strong hires in September. In the last few weeks, we participated in four international congresses including the NASS (North American Spine Society) annual meeting in Boston at the end of September. The new DSG Connect platform, which has cleared in Europe, the United States and most recently in Brazil, has generated considerable interest at each of these important events from surgeons, agents, and distributors who see real value added for surgeons training, clinical data collection and medico-legal recording. These congresses also offered a valuable opportunity to exchange face to face with potential strategic partners particularly on our latest major advances in robotics.”

SpineGuard’s consolidated revenue decreased 23% as reported and in constant currency (cc) in Q3 compared to last year.

Outside the USA, the revenue increased by 6% compared to the third quarter of 2020 while in the USA, the decrease was 31% due to surgery postponements related to both the emergence of the Delta variant and healthcare labor shortage consecutive to vaccine mandates at hospitals according to the analysts covering our space*.

Over the first 9 months of the financial year, revenue increased 36% outside the Unites States while decreasing 21% in the USA (16% cc) and 10% globally (6% cc) to € 3,250 K compared to € 3,603 K for the same period in 2020. 3,898 DSG equipped units were sold in the first nine months of 2021 (1,838 in the USA, 47% of total units sold) compared with 3,846 in the first nine months of 2020.

2021 Perspectives

The cash position as of September 30, 2021 of € 5.9 M plus the secured equity line facility for € 5.0 M means that the total cash available to the Company is € 10.9 M. Considering the current cash position, the secured convertible bond facility and the recurring expected business, the Company estimates that it can fund its needs through 2023.

For 2021 SpineGuard focuses on the following priorities while striving to remain close to breakeven:

1. Boost commercial activities with the launch of the DSG-Connect visual interface.
2. Implement DSG technology in ortho-robotics through the deployment of AI algorithms, new scientific evidence, and additional patents.
3. Intensify the collaboration with ConfiDent ABC for the dental application and co-develop a new generation of products embedding the DSG technology.
4. Affirm the company’s technological shift and sign strategic partnerships, in particular for the use of DSG technology in the robotic field.

About SpineGuard®
Founded in 2009 in France and the USA by Pierre Jérôme and Stéphane Bette, SpineGuard is an innovative company deploying its proprietary radiation-free real time sensing technology DSG® (Dynamic Surgical Guidance) to secure and streamline the placement of implants in the skeleton. SpineGuard designs, develops and markets medical devices that have been used in over 85,000 surgical procedures worldwide. Seventeen studies published in peer-reviewed scientific journals have demonstrated the multiple benefits DSG® offers to patients, surgeons, surgical staff and hospitals. Building on these solid fundamentals and several strategic partnerships, SpineGuard has expanded its technology platform in a disruptive innovation: the « smart » pedicle screw launched late 2017 and is broadening the scope of applications in dental implantology and surgical robotics. DSG® was co-invented by Maurice Bourlion, Ph.D., Ciaran Bolger, M.D., Ph.D., and Alain Vanquaethem, Biomedical Engineer.
For further information, visit www.spineguard.com

Disclaimer
The SpineGuard securities may not be offered or sold in the United States as they have not been and will not be registered under the Securities Act or any United States state securities laws, and SpineGuard does not intend to make a public offer of its securities in the United States. This is an announcement and not a prospectus, and the information contained herein does and shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of the securities referred to herein in the United States in which such offer, solicitation or sale would be unlawful prior to registration or exemption from registration.

*: Ryan Zimmerman (BTIG), Kyle Rose (Canaccord Genuity), Mike Matson and David Saxon (Needham).

SpineGuard
Pierre Jérôme
CEO & Chairman
Tel: +33 1 45 18 45 19
p.jerome@spineguard.com

SpineGuard
Manuel Lanfossi
CFO
Tel: +33 1 45 18 45 19
m.lanfossi@spineguard.com

NewCap
Investor Relations & Financial Communication
Mathilde Bohin / Pierre Laurent
Tel.: +33 1 44 71 94 94
spineguard@newcap.eu