Boston, MA 03/07/2014 (wallstreetpr) –Baxano Surgical Inc (NASDAQ:BAXS) just released fourth quarter and full-year 2013 earnings data. There was very little to cheer up for in the results because they still ended up in loss and even the upcoming report is modeled below expectation.
If investors don’t see profits and the future looks bleak, champions are those who seek for the exit door. And when that happens, it all comes to something unattractive for the stock.
Shares of Baxano Surgical Inc (NASDAQ:BAXS) are already down 15.67 percent around 11 a.m. EST. The direction that the stock is taking is obviously the aftermath of the Thursday results.
So then, what exactly did the management say about the results?
Performance score card
Baxano Surgical Inc (NASDAQ:BAXS) is best known for its design, development and marketing of medical devices targeted at treatment of degenerative conditions. But in the latest financial reporting, the company itself needed care from degenerating results.
Among the fourth quarter and full-year 2013 earnings highlights was that the company was able to consummate its acquisition of Baxano Inc. And that meant that the consolidated operations statement reflected iO-Tome(R) and iO-Flex(R) from May 31, 2013.
Now the results came in. That revenue in the fourth quarter was at $6 million, reflecting 44.2 percent ahead of the same quarter of 2012. The revenue contribution of Baxano products in the fourth quarter was $2.9 million. But even with revenue hike, a loss was registered in the fourth quarter, only that the loss was much less than what was reported over the same quarter in 2012. Net loss came in at $8.4 million, compared with net loss of $12 million in 2012. The loss per share was 19 cents, against 44 cents a year ago.
In the full-year 2013, revenue hiked 27.5 percent to $18.6 million. That compared with $14.6 million in 2012. Baxano Surgical Inc (NASDAQ:BAXS) attributed the increase in revenue to products line inherited from Baxano Inc. Just as the fourth quarter, the full-year was all losses, with net loss coming in at $32 million compared with $29.9 million in 2012. The net loss per share was 85 cents, compared with $1.1 in 2012.
Performance outlook
Baxano Surgical Inc (NASDAQ:BAXS) management have modeled first quarter revenue in the range of $4.7 – $5.2 million. That will be lower than 6.6 million expected by analysts polled by Thomson Reuters.
Investor Takeaway
Reporting loss is never a big sin. But indicating that you might continue reporting losses for unknown duration can be catastrophic. That could be what is burning Baxano Surgical Inc (NASDAQ:BAXS).
