SNWV - Earnings call 4 2022 | SANUWAVE Health, Inc.

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Operator

Greetings. Welcome to SANUWAVE Health Business Update. [Operator Instructions] Please note, the conference is being recorded.

I will now turn the conference over to Kevin Richardson, CEO. Thank you.

begin. may You

Kevin Richardson

Welcome XXXX Sherry. the Fourth and Quarter Friday Thank Call. to The Year Earnings with XX-K Full night. you, Sanuwave's was SEC filed

presentation morning, Our the in during this Please our issued this release well. section available this as to earnings updated our was Investors investor refer was morning website presentation. made on and that

will Joining CFO. After our Chairman; Toni me Rinow, Q&A. on the to presentation, call open we are call Morgan Frank, our the the

may development with contain relating begin forward-looking the as and This call statements me statements forward-looking Let to plans statement. such for activities. results financial future business

Investors may are risks update guarantees and such materially in projected differ to beyond statements. statements involve of of many are ability which are from company to those cautioned not obligations that forward-looking undertakes any no uncertainties, the any the and results future The statements. Actual performance forward-looking company's forward-looking control.

me successful was that way, XXXX a out begin. but let challenging the of With year.

at highlight XXXX, As well. we we as those look some successes discuss challenges will back the and of

also these discuss overcome or already doing have what are we to will implemented challenges. we Importantly,

Where for products, and helps which it are have is SANUWAVE support, both and clinical the reimbursement UltraMIST ENERGY strong evidence FIRST support dermaPACE, have to positive all which at fortunate starts great we platform.

this boxes to as in $XX SANUWAVE price the benefiting where the success of well. care mentioned accepted are to chronic course, wound patients, a and products heal staff success positive those all payers have in reimbursement in company products superior generate clinical the market. the in setting billion returns at for customer we the past, and, but the for that As clinically wound checks care are for needs space, by a work

Eden adoption all projects mid-double-digit me importantly, continued to levels, efficiency. Let Units lower our records our some UltraMIST achieved improved pricing to history number shipped and highlights. products record of costs grows. automation in record highest chain, levels. higher the on company our to as Prarie, of margins the internally of and supply the continued of focused tight of achieved improving host level Gross move growth in due treatments to Revenue XXXX in driving management review a and

profitable executive lower year-over-year gain count the and many to processes, outside allowing existing get expenses operating caught many infrastructure Operating we team up achieve fees continue to elimination last of plans decreased Management automated needed as head year. our for grow focus growth. expense the professional filings and to leveraging on as the to leverage

a meaningfully until occur few and We supply These to year-end environment successes to March discuss were expected ramp of bring We'll XXXX. took our this by overcoming challenging later. chain where more a this did XXXX, fully. despite operating months production longer had on not

Morgan Frank. Board major X with in value the quarter added had In this member on milestones. and our recapitalized XXXX, more successful company we During new also brought X adding tremendous great offering. second a with we members the to new Chairman, This in Board equity We August, summer, experience a already. in

to the the accounting the on XX with able OTCQB all Lastly, we efforts year. were this on front, of January relist

Looking many proud back, are be of see there despite in to challenges, you successes can XXXX. the

the profitable enter year-end items unable are growth. anticipated begin XXXX, onetime many achieve in due we focused achieving prepare to to for XXXX. we on we're to quarter in but sustainable, cleanup As in QX, We this to had this

EBITDA a of revenue $X.X breakeven. The basis, would, million achieve of normalized level QX to similar on

wound over and Hendricks ramping years medtech joins sales key us XX sales. team, on the support. We the fashion. experience of and training, also drive care help will operations to depth have in which a of disciplined knowledge brought additions VP experience the along growth with leadership and Gilmore management Ops Commercial adding profitable Nanci and with trading with as joins start-ups, Tim

Ops Igtanloc continue the Matt help to resolve employees efficiencies of as we add many year. profitably which more drive the and We'll joins supply grow our the VP and have will as throughout growth. challenged a near-term Lastly, chain issues,

Let to to me to outlook. more the turn back we'll it update conclude will the over with Q&A then of Toni the and She Rinow to near-term call the walk through pass me numbers. review Toni? slides, and

Toni Rinow

Thank you, Kevin.

sale determined will during the annual These transactions and not the accounted unaudited appropriately of fiscal this included XXXX. the were services The restatement start Also and vendor on interest agreement. of debt and calculated senior was quarters with an on report, inventory and it the under periods certain financing posted certain recorded comments We was shares properly has in issued of of year GAAP. prior preparation assets for invoices improperly. adjustment under transactions for properly company not not

in concluded The and the material QX QX errors evaluated company materiality the the XXXX. to statements. financial the restated aggregate, QX, Management that of impacted and errors, the consolidated in were

of recognition share-based were changes Some direct fees recognition some recognition PIK effect. cash Only agreement and around versus interest. dates, the of a services a had these of invoice on for lease of of professional some timing compensation financing

year the profit basis. a or noneffective For a as operating whole, on revenues cash

the is future. goal to making such Our avoid any in adjustments

million, over XXXX revenue, $X.X With the year. XX, QX revenues same regards to period increase last amounted to an XX% ending of December

an of XXXX, improved last versus gross XXXX XX, The December to XXXX, revenue. for reached the ending for of XX% points. of reached an increase XX% so quarter XX, total XX% quarter improvement X XX% revenue Gross percentage reaching amounted months year-over-year, the million, for margins for XXXX, $XX.X revenues XXXX. year-over-year. December XX of XX.X% ending of the margins They For

the is expenses The Operating prior strategy despite XXXX. was expense to prior year manage growth on for company's its SANUWAVE loss. for financial profitability in operating and and to the down million year. expenses expenses. operating up X% XXXX the in from Operating $X.X X% versus execute improve continues operating QX

December versus $X.X December as to as XX, of and XXXX, million assets Total December XX, XXXX, current $X.X amount cash of totaled of assets, cash million XX, current XXXX. Total as million and liquidity. $X.X

We continued I'm to and Kevin. for support your Kevin? thank of now you back SANUWAVE, transferring

Kevin Richardson

Toni. Thanks,

it into now let presentation, over Morgan almost back observations, turn comments me and the been dive for Morgan? for we Before quarters. X Chairman full having to

Morgan Frank

Thanks, Yes, flies. times Kevin.

but working breakout in we've set So hard a And strategy think have XXXX. questions. a here understandably been year company's of Relations there fair strategy And our people number marketing for general I some Investor the have up to perhaps SANUWAVE going forward. perhaps about pointed asked been and

bit So that. let's talk a about

relations so engaged announce a to As intra-quarter the interviewing stay the share company now on that We both us, active is a to QX the more investor firms. From housekeeping hope is there adopt of progress we've been more of investor sort something the posture fronts. to strategy behind able as in a planning be one. to on near future, on more basis tuned information please regular and side,

been this and stance, our some and positioning marketing about market has conclusions and interesting also our overall us about market led We've diligence to customers. assessing both our

a year, on call, is down a skin cut this there billion and of and XX% mentioned substitute and been to cut be sort see to fair next XX% of reimbursement comes if total by salespeople biological doctors last reduction I bit $X to to in of a a space what scrambling the lot continue they've next. this looks has left it bit As the turmoil year, fair concerns of around

don't favorably Apart which users, this. recent one many we've which SANUWAVE, know rise is in a positions the the UltraMIST settings, great people that And here. from of in issue, hospital in very a especially own including reimbursement number unfortunately, discovered, industry, our

be don't raise more that this guess, sales implementing a sell and know high-class end, obviously, affairs Head drive to So customer we adoption could is like use. and development -- Commercial state marketing of awareness your drive from Hendricks, and Tim product. our and these outreach new that and that Head much of things they a on Nanci Sales; you the I side our fairly very and problem, remedy, programs exploring your don't of themselves. inside are to Gilmore, and that benefiting Ops, to But It's customers new

shows to SAWC Conference, education [ our Milan. Spring To EWMA ] I a Leaders in in in do company industry (sic) at that the trade market. be coming including Healing And end have will number and in of well, as we think SWAC the Wound some months,

believe fruit spread what that we low-hanging field and in out in industry put to both the to there's aim and breakout we year beginning contact SANUWAVE now a to experience for the here position lot the knowledge the of be call are and new So the word points XXXX. the salespeople have a who and and

call give who the to more back bit guidance. I'll a on can speak Kevin, now

Kevin Richardson

Thanks, Morgan.

products XXXX shipped on slide deck, For on the records those treated. along set patients for in Page following X. we're

longer than months taken As longer components some restart had or our production has as mentioned lead ramp lines a their suppliers few than and lead earlier, our originally expected. long expected even to

product end the new of our anticipate March, receiving at began QX, near supply the continued in term. We and

our books quarter between so the currently with supply show the accounting to mentioning not know, I the demand. ever-growing On revenue numbers chain, are on we have and been should it's make what our but past X, mentioned focus closed, XX% change, XX% growth Given Page year-over-year. meet first to and top we the to experience have supply sure based subject -- am

believe is breakeven. per million continue to month We $X.X EBITDA our

week until of see and the expect on in the not end QX slowest we to March, was are growth and pleased team seasonally this actually accomplish. we to meaningfully quarters last what team with of And receive March, with are First the accelerate type did the board. the from given of supply growth able coming extremely literally also products we

team products; have far demand We supply. exceeding and wonderful members; dedicated passionate,

saving our us which to chain products XXXX. to the working are success profitability allow should order, saving As employees want that about and we we to the to achieve can more, I wounds. healing thank most we and in we record which who supply ramp shareholders that once our in be revenue meet our XXX% and so lives for mission, is through able limbs address importantly, invested driving growth and

that, it With Q&A. open Sherry? I'll up to

Operator

to at I to like would There are management for back Instructions] questions [Operator comments. conference no closing time. over the hand this

Kevin Richardson

Great. people appreciate call there and thank We that. see you, are Thank you, Sherry, that really XX participants. on participating and over the

having can, things conversations is to a One here. aspect who out always have important point to open we're I an want when anyone questions does or and with of have we does that's shareholders follow-up, that the

please we question So have audience. the do a -- from

the after you conclude So take question, could great, that then and be Sherry, would that. we'll if

Operator

Our question Davis is Asset Founding with Christopher from Management.

Christopher Davis

I get in look next production of idea an quarters? like wanted couple the might what to peak of

Kevin Richardson

Sure.

pace a we lead long get of items some the XX said It that products took little That a production. scheduled again, end of even the Currently, ramp we're So to things -- at time is to and brought it to took back the needed as XXX of to before, I online. we've longer new month. a longer by year.

summer be as of production. to. we'll doing of new doubling to So where refurbishment clip help to a fill gaps in the need and XXX increasing a the then throughout activity lot We're at we also well

the system production ramp product. that's the So on for side

And of been our revenue, work side single-use has then -- XX% on expansion. demand. running currently applicator the group generate line of the applicators where and that are ahead they've with about we XX% where these great we They the are roughly been over

they another XX% end in building and increase we're the be So that should by year. inventory by to able the phase, of to XX% the

year. the track increase of full the on growth they're with So XXX% meeting production for

Christopher Davis

like what X What rate would the And the year? of run months? you another kind end would in look Okay. be that of imagine would at this

Kevin Richardson

Yes. year. from doubling it's the the of we're I -- mean beginning

of month-by-month side system overnight. and the system to the inventory the sure doesn't so and And basis. the new it down more -- side, and on side, a is -- goes employee happen kind that ramp comes it's available, on it they applicator about add making Both on

is be we mid-summer XX the the average of So XXs. to the in at selling by XX per the and high the in year, mark price end XXX month our then should and

in next to get track about for XXX the -- year devices on XXXX be which then we're plus. the year, would now, right full would to and So

an right inventories, And uses month. we building now, X of end about again, a with customer to applicators have applicators, and that any we're, of that cases don't But X single-use worry that. we between see the then so typically

we'll X,XXX somewhere on about so our installed around cases need And base, a X,XXX be week, a month. so based

Operator

further no are time. at questions There this

Kevin Richardson

during want glad or go Well, people management was -- time earlier, to please I through questions normal Great. We let as during some with But it, have will. we saying to know. periods, speak. won't. us periods, do blackout We'll spend we and be

how we'd really that's approach it. And so

Just set be we'll us shoot a us an e-mail or up. call, to give and that glad

we and we'll those everyone. again. updating out out support, them be forward May, look to and glad along and as to everyone's any you throughout we in results QX people to we'll be May, and share other go appreciate will We have updates April with

you that, With very thank and much, day. a great have

Operator

today's will conclude you. This conference. Thank

You thank participation. and may at you disconnect your for time, lines this your

SANUWAVE Health (SNWV) 3 Apr 232022 Q4 Earnings call transcript