BIOLASE(US:BIOL)2022-05-11 16:00Revenue Growth and Forecast - BIOLASE experienced a revenue growth of 25% for the three months ended March 31, 2022, compared to the same period in 2021, primarily due to high demand from new users for the Company's dental lasers [131]. - The Company forecasts revenue for fiscal year 2022 to be significantly above fiscal year 2021, driven by its strategy to generate sales to new customers [131]. - Net revenue for the three months ended March 31, 2022, was $10,166,000, a 25.3% increase from $8,116,000 in the same period of 2021 [143]. - The U.S. market contributed $6,978,000, or 68.6% of total net revenue, a 33.7% increase from $5,221,000 in 2021 [144]. - International revenue was $3,188,000, or 31.4% of total net revenue, reflecting a 10.1% increase from $2,895,000 in 2021 [144]. Profitability and Expenses - Gross profit for the same period was $4,729,000, representing 46.5% of net revenue, up from $2,741,000 or 33.8% in 2021, marking a 72.5% increase [146]. - Operating expenses totaled $8,935,000, which is 87.9% of net revenue, slightly up from $8,803,000 or 108.5% in 2021 [147]. - The company reported a net loss of $4,776,000 for the three months ended March 31, 2022, compared to a net loss of $6,901,000 in the same period of 2021, reflecting a 30.8% improvement [145]. - Adjusted EBITDA for the three months ended March 31, 2022, was $(3,916,000), an improvement from $(5,270,000) in the same period of 2021 [142]. Cash Flow and Financial Position - Cash and cash equivalents as of March 31, 2022, totaled approximately $21.6 million, with a working capital of approximately $30.7 million [159]. - Net cash used in operating activities for the three months ended March 31, 2022, was $8.0 million, primarily due to a net loss of $4.8 million and a net decrease in operating assets and liabilities of $3.8 million [154]. - Cash used in investing activities for the three months ended March 31, 2022, was $0.3 million, primarily for the purchase of property, plant, and equipment [156]. - The company may need to raise additional capital in the future, depending on business growth, working capital demands, and potential acquisitions [160]. - The company has historically experienced losses from operations and has utilized cash and cash equivalents in operating activities [161]. - The company aims to establish profitable operations to generate cash from operations or obtain additional funds when needed [161]. Product Development and Strategy - The Company launched several training programs over the past 18 months to educate dental practitioners about the benefits of its dental lasers, including the Waterlase Pediatric Dental Academy and the Epic Hygiene Academy [132]. - BIOLASE's Waterlase systems are FDA cleared for over 80 clinical indications, providing significant benefits for dental practitioners and patients [125]. - The Company plans to expand its product line and clinical applications by developing enhancements and innovations for both dental and adjacent medical applications [130]. - The Company aims to increase consumables revenue by selling more single-use accessories used by dental practitioners with its laser systems [129]. - BIOLASE's strategy includes optimizing engineering capabilities to develop innovative new products while striving for operating excellence through lean enterprise initiatives [129]. Stock and Market Activity - A reverse stock split of BIOLASE common stock was approved at a ratio of one-for-twenty-five (1:25) effective April 28, 2022 [134]. - In 2021, BIOLASE received FDA clearance for the EdgePro, a microfluidic irrigation device developed in partnership with EdgeEndo, marking its first exclusive OEM agreement [133]. Inventory and Accounts Receivable - The company experienced a $1.7 million increase in inventory to mitigate supply disruptions and a $1.1 million increase in accounts receivable during the same period [154]. Exchange Rate Impact - The effect of exchange rate changes on cash for the three months ended March 31, 2022, was a loss of $41 thousand, primarily due to fluctuations in the Euro [158].