Blakes7:You have a valid point on the difference between revenue...

Blakes7:

You have a valid point on the difference between revenue and margin.

However - the cash burn that is used in the calculation INCLUDES the cost of goods sold. Therefore the revenue number is the appropriate comparison.

I think that analyst was basing his calculations on the quite high expenditure levels that VCR was running at a while back. With R&D, and employee expenses, not to mention executive salaries all running on highs, 600 implants/year for profitability sounds about right.

At the moment, they've cut most expenses (with the exception of executive salaries), and if we talk cash flow positive rather than profit, the required implant rate is significantly lower than what that analyst worked out.

Cheers,

BridgeBaron.