NXS 7.55% 24.5¢ next science limited

I think the MF comment about forecast revenue for the 2nd half...

  1. 142 Posts.
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    I think the MF comment about forecast revenue for the 2nd half is incorrect by my recollections. I recall NXS providing guidance for the first two quarters but I don't recall them making statements/revenue forecasts for the second half. I think we've all taken that as implied (it's a normal thing to do when you get a revenue forecast for a couple of quarters, to then extrapolate for the rest of the year) based on the confidence NXS has in it's own products and based on the FDA approval of Xperience in April, the return of BlastX to NXS from 1 April 21 and the CE Mark for BlastX on 28 Jan 21 and to a lesser extent the approval of BlastX by the TGA in Australia recently.

    Having said that I recall NXS stating at some stage in the last year that revenue can be lumpy, so I imagine forecasting same can be a bit tricky. Also, I wonder whether the training of a 300 strong sales force for Xperience could be given additional training to market NXS's other products in the US; BlastX and SurgX, with Bactisure already being distributed by Zimmer Biomet. So for me, there's been a lot happening this year for NXS (including the impact of COVID last year) and it may take a while for all the changes to start to deliver results, just have to wait and see.

    The NXS share price could take a hit in the short term, no stock ever goes up in a straight line, and whilst I am a bit disappointed by Friday's announcement because I had certain expectations about revenue for this quarter too the forecast result is still projected to be 230% higher than pcp and based on the forecast midpoint of US3.75 million for first half of 2021, it's 60% higher than the first half result for 2019 of US2.34 million, which itself was a 222% increase on the pcp. Rereading Judith's comment from Friday she stated "We expect...our growth rate will be at least 230% on the prior corresponding period", Judith didn't make a non commital statement about earnings she said they "...will be..." and a 230% increase is US3.5million. So that's as of Friday the 11 of June, they have 19 days to go to get their sales figure to the upper end of the range of US4million.

    .11 June is the 161st day of the year, US3,500,000 is the forecast minimum and there' were 19 days left in the month of June. You do the maths. Obviously this is purely an simple mathematical calculation but the point is there's 19 days left in the month so its stll possible for NXS to get their sales above the US3.5 mark and you can imagine that NXS's sales team will be doing everthing they can to achieve the best results they can. IMO DYOR
 
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