News & Events

Highlights for the year ended 31 December 2017

• Total net revenue increased to US$3.9 million, an increase from US$0.5 million in FY16 
• Worldwide AeroForm® units sold increased to 1,563 units, an increase from 311 units in FY16 
• Total revenue of US$3.0 million in the U.S. in the first year of commercialisation 
• AeroForm® available in more than 140 hospitals across the U.S. 
• Successfully completed manufacturing transfer to Costa Rica 
• Raised US$34 million (A$45 million) from placement of CHESS Depositary Interests 
• Closed US$15 million minimally-dilutive debt agreement with Oxford 
• Cash and short-term investments balance as of 31 December 2017 of US$22.6 million 

Palo Alto, CA, United States - AirXpanders, Inc. (ASX: AXP), a medical device company focused on the design, manufacture, sale and distribution of the AeroForm® Tissue Expander System, today released its Appendix 4E - Full Year Financial Results for the year ended 31 December 2017.

In the first full year following FDA de novo clearance of AeroForm, the Company reported worldwide net revenue of US$3.9 million, mainly driven by U.S. sales. U.S. unit sales for the year were 1,143, with sales in the final quarter of 2017 reaching 570 units, an increase of 56% from the third quarter.

Operating expenditure was US$23.1 million, up from US$15.2 million in the year ended 31 December 2016, reflecting costs related to the completion of the manufacturing transfer to Costa Rica, increased sales and marketing costs related to the initial U.S. commercial launch of AeroForm and increased costs associated with being a reporting company with the Australian Securities Exchange and the Securities and Exchange Commission in the U.S.

In 2017, AirXpanders raised US$34.1 million (A$45 million) from the placement of CHESS Depositary Interests, and entered into a minimally-dilutive debt funding agreement with Oxford Finance LLC for US$15 million, to assist with inventory build-up, accelerating U.S. sales and marketing, completing the Costa Rica manufacturing transfer, and other general working capital requirements.

The Company had cash and short-term investments of US$22.6 million as of 31 December 2017.

- ENDS -

Company
Scott Dodson
President & CEO
Tel: +1 (650)-390-9008 
Email: sdodson@airxpanders.com  

 

Investor relations
Kyahn Williamson
WE Buchan
Tel: +61 (3) 9866 4722 / + 61 (0)401018828
Email: kwilliamson@we-buchan.com

 

About AirXpanders

Founded in 2005, AirXpanders, Inc. (www.airxpanders.com) designs, manufactures and markets innovative medical devices to improve breast reconstruction. The Company's AeroForm Tissue Expander System, is used in patients undergoing two-stage breast reconstruction following mastectomy. Headquartered in Palo Alto, California, AirXpanders' vision is to be the global leader in reconstructive surgery products and to become the standard of care in two-stage breast reconstruction. AirXpanders is a publically listed Company on the Australian Securities Exchange under the symbol "AXP." AeroForm was granted U.S. FDA de novo marketing authorization in 2016, first CE mark in Europe in 2012 and is currently licensed for sale in Australia.

Forward-Looking Statements
This announcement contains or may contain forward-looking statements that are based on management's beliefs, assumptions and expectations and on information currently available to management.

All statements that address operating performance, events or developments that we expect or anticipate will occur in the future are forward-looking statements. These include, without limitation, prospects of continued growth and commercial success in 2018, commercial success of our U.S launch, the success of our sales personnel in on- boarding and training physicians, continued acceptance and increased utilization of AeroForm by physicians; the clinical benefits to physicians and patients, the ability of our third-party contract manufacturer to produce our product in greater capacity and at lower gross margins, and the prospects for continued growth in the near term.

Management believes that these forward-looking statements are reasonable when made. You should not place undue reliance on forward-looking statements because they speak only as of the date when made. AirXpanders may not actually achieve the plans, projections or expectations disclosed in forward-looking statements. Actual results, developments or events could differ materially from those disclosed in the forward-looking statements. For additional information and considerations regarding the risks faced by AirXpanders that could cause actual results to differ materially, see its most recent Annual Report on Form 10-K, as filed with the Securities and Exchange Commission on February 27, 2018, including under the caption "Risk Factors," as well as other periodic reports filed with the SEC from time to time. AirXpanders disclaims any obligation to update information contained in any forward-looking statement, except as required by law.

For more information, refer to the Company's website at www.airxpanders.com.