Encision Inc (OTCMKTS:ECIA), a medical device company owning patented surgical technology that prevents dangerous stray electrosurgical burns in minimally invasive surgery, today announced financial results for its fiscal 2017 second quarter that ended September 30, 2016.
The Company posted quarterly net revenue of $2.15 million for a quarterly net loss of $240 thousand, or $(0.02) per share. These results compare to net revenue of $2.30 million for a net loss of $184 thousand, or $(0.02) per share, in the year-ago quarter. Gross margin on net revenue in the fiscal 2017 and 2016 six month periods was 47 percent and 51 percent respectively. Gross margin included slow moving and obsolete inventories costs of $87 thousand, or 4 percent, that were recognized in the quarter. Gross margin on net revenue was lower in the fiscal 2017 second quarter principally as a result of slow moving and obsolete inventories costs.
The Company posted six months net revenue of $4.43 million for a six months net loss of $338 thousand, or $(0.03) per share. These results compare to net revenue of $4.75 million for a net loss of $398 thousand, or $(0.04) per share, in the year-ago quarter. Gross margin on net revenue was 50 percent in the fiscal 2017 and 2016 six months.
Encision continues to fine tune our operations as we roll out new products that promise to enhance market adoption of AEM® Technology and drive higher top and bottom line results. We have had good success to date with our AEM EndoShield®2 and are converting existing AEM® Monitor customers and new customers with the cost effective and easy to use EndoShield2. We are also looking forward to the release of our new AEM® Burn Protection Cable that will offer new user features and will enhance revenues and profitability. All of this, combined with a new durable monitor, will make AEM® Safety adoption even more attractive for our customers and drive new levels of performance and growth. We expect to release the AEM® Burn Protection Cable and the durable monitor during our fourth fiscal quarter that ends March 31, 2017.
Encision Inc. designs and markets a portfolio of high performance surgical instrumentation that delivers advances in patient safety with AEM technology, surgical performance, and value to hospitals across a broad range of minimally invasive surgical procedures. Based in Boulder, CO, the company pioneered the development and deployment of Active Electrode Monitoring, AEM technology, to eliminate dangerous stray energy burns during minimally invasive procedures.
