Orthocell delivers second quarter of record revenue

Biotech company Orthocell has delivered a second consecutive quarter of record revenue, reporting $2.03m in Q1 FY25, up 7.82% on the $1.88m achieved in Q4 FY24.

Biotech company Orthocell continues its revenue-winning form. Pic: Getty Images

• Orthocell achieves a second consecutive quarter of record revenue, reporting $2.03m in Q1 FY25

• Revenue is up 7.82% on $1.88m achieved in Q4 FY24, showing traction with growing sales of Striate+ and Remplir

• Company said FDA approval of Remplir in the US would open up a US$1.6b nerve repair market opportunity

Special Report: Orthocell has delivered a second consecutive quarter of record revenue, reporting $2.03m in Q1 FY25, up 7.82% on the $1.88m achieved in Q4 FY24.

Perth-based Orthocell (ASX:OCC) has announced continued growth in sales of its two products on market – Striate+ and Remplir – with record revenue achieved in Q1 FY25, marking the second consecutive quarter of record revenue for the regenerative medicine company.

Striate+ is a trademarked, collagen membrane designed to support dental guided bone and tissue regeneration procedures.

It is designed to improve clinical outcomes by providing a strong barrier that aids in the regeneration of bone and soft tissue around the implant site.

Remplir is Orthocell’s trademarked collagen wrap used for peripheral nerve repair. The product has unique features such as reducing damaging sutures, creating an optimal healing environment and facilitating free gliding during the critical healing period.

OCC said the global market opportunity for the two products in nine key jurisdictions –including the US, Europe, UK, Australia/New Zealand, Singapore, Canada, Brazil, Japan and Thailand – is estimated to represent about US$4 billion.

Orthocell added that expansion into other markets would see an increase in these projections, demonstrating enormous growth potential for the company in the immediate future.

Striate+ is currently available for sale in the US, Europe, UK, Australia, New Zealand and Canada, while Remplir is available for sale in Australia and New Zealand.

The company continues to accelerate its program of regulatory approvals into new jurisdictions.

Strategic partnerships push product growth

Striate+ is distributed globally by one of the largest global dental implant companies  – BioHorizons Implant Systems Inc.

Remplir is distributed by Device Technologies (DVT), a respected name in the provision of medical devices and healthcare solutions across Australia, New Zealand and Asia.

The company said it had been working with its distributor partners to drive uptake of Striate+ and Remplir in key regulatory markets.

OCC said the strategic partnerships have resulted in the significant revenue growth, with increasing quarterly revenue of $2.03m in Q1 FY25, up 7.82% from $1.88m in Q4 FY24 and up 14.84% from $1.76m in Q1 FY24.

The company said quarterly revenue had grown by an average of 9%, compounded for the last eight quarters, following Striate+ US and Remplir Australia product launches in November 2022.

OCC said revenue growth was evidence that its products were achieving traction with new and existing surgeons, which was underpinned by their excellent performance in clinical practice.

OCC said revenue growth was set to further increase with additional approvals in other markets.

The company has a regulatory strategy in place for both products to expand access into other geographical regions.

Well funded for growth

OCC recently reported successful completion of all nerve repair surgeries in the Remplir US Market Authorisation Study.

Top-line results from this study were expected in Q4 CY24, and OCC said it remained on schedule to submit its US 510(K) market authorisation application in Q4 CY24 with progression into sales to follow.

OCC said the pivotal US product registration for Remplir was expected in Q1 CY25.

The company has a strong balance sheet with $18.4m in cash to support its growth strategy.

‘Increasing market traction’

OCC managing director Paul Anderson said the company was delighted with the continued growth in demand and record quarterly revenue for its market-leading products.

“These sales results demonstrate increasing market traction, which is driven by the consistent and predictable outcomes surgeons can achieve using our products,” he said.

“We are excited by the potential for exponential growth and believe we are on track to become a key player in a US$4bn global market.”

This article was developed in collaboration with Orthocell, a Stockhead advertiser at the time of publishing.

This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.