US hurricanes hit med tech Osprey’s September quarter sales
Health & Biotech
Health & Biotech
Link copied to
US hurricanes Harvey and Irma impacted sales for a number of ASX-listed companies last quarter, including x-ray device maker Osprey Medical.
Osprey (ASX:OSP) recorded its 12th consecutive quarter of growth but noted the disruption of hurricanes in the southern states, where the company generates up to two-thirds of its sales.
Osprey burned through $US3.3 million ($4.2 million) in the September quarter, compared to $3.1 million last quarter.
“Hospital operations in Southern Texas, Florida and Georgia were severely affected by Hurricanes Harvey and Irma for a period of several weeks leading to the postponement or cancellation of routine heart imaging procedures involving Osprey’s products,” chief executive Mike McCormick told investors.
“With the affected areas now largely returned to normal operations, we have seen a strong start to the current quarter and look forward to resuming our strong growth trajectory.”
The dual hurricanes hit two of America’s most economically important states, Texas and Florida, with close to 100 US fatalities and a damage bill that continues to grow into the billions.
Osprey was not the only ASX stock hit by the hurricanes.
Oil and gas explorer Sundance Energy (ASX:SEA) was forced to shut 75 per cent of its production for a period during Harvey.
Biotech Factor Therapeutics (ASX:FTT) noted the disasters as a factor in their declining trial recruitment figures.
Osprey ’s DyeVert and DyeVert Plus products protect patients from the harmful effects of X-ray dye used commonly in heart imaging procedures.
The systems are used in more than 80 hospitals across the country, with another 50 in the pipeline.
Osprey had $36 million in the bank at the end of September and planned to spend $3.6 million this quarter.
Osprey shares closed up slightly at 40.5c on Monday. They have traded between 34c and 51c over the past year.