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Orthocell shares jump on record revenues from sales of collagen bone repair devices globally

ASX News, Health Care
ASX:OCC      MCAP $97.45M
09 July 2024 13:04 (AEST)
Shoulder bones X ray.

Adobe Stock

Orthocell (ASX:OCC) shares jumped close to 5% heading into afternoon trade as the company flagged record yearly revenues.

The company sells two keystone products – Striate+ and Remplir respectively – both aimed at regenerating bones and tissue after surgery.

Orthocell clocked record revenues of $1.84M, up 14.4% vs Q3 of FY24.

However, yearly growth was the real boast – full year FY24 revenue clocked $6.72M; a +30.4% increase YoY.

Both products are effectively patches that contain collagen which can then be applied to bones post-surgery to aid healing. Orthocell’s Striate is designed specifically for dental applications whereas Remplir is aimed at healing nerve damage.

Striate+ is sold in the US, EU and UK, Australia and New Zealand. Remplir, meanwhile, is only sold in Australia and NZ – with Orthocell “accelerating approvals to expand into new markets.”

Orthocell stated on Tuesday the total potential market value when it comes to patients requiring such products could be US$3B. While that’s a long way off $6M in revenues, it was enough to partly boost optimism for the stock on Tuesday.

“These results show the Company is on track to being a key global player. I am very pleased with the performance of our distribution partners and the continued increase in product adoption,” Orthocell MD Paul Anderson said.

“With a highly respected and experienced Board in place, and with market-leading products, our Company is in a strong position to continue to gain commercial traction and drive Remplir, our breakthrough nerve repair device, into global markets.”

Orthocell had $20.6M in cash at the end of June according to its Tuesday release.

OCC last traded at 36.5cps.

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