Thanks for taking the time to post a detailed response!
LOL, I did have a detailed response but internet dropped out when I posted it...generally the intent of my post was what is the cost and to who is the cost?
I personally see the fact that we now have cheaper products, in the Nexus and Finesse as the products that we now have contracts for...as not just a coincidence but confirmation that the pricing of the Unifill has been a hurdle. I see this as an evil of trying to commercialise technology not a failure of the company. Credit to the fact they have continued to labour away and we now have the Finesse and Nexus and if the company has hit the pricing window then should be easier sailing without a price obstacle.
With our pfs more price competitive then less thought need go into the value of any device differentiation and the deals will become far simpler to justify internally of big and small pharmas.
But it does also mean for the Unifill range will be under the 40% operating margin, and suspect people need to stop estimating cash flow on unit prices of $0.90-1.00. But hey, I am far happier selling 300million $0.40-0.60 syringes then no $1 syringes.
UNS Price at posting:
76.0¢ Sentiment: None Disclosure: Held
