PolyNovo (ASX: PNV) shares are on watch this morning after releasing an FY20 trading update.
What is PolyNovo?
PolyNovo is an Australian medical device company that designs, develops, and manufactures dermal regeneration solutions using its patented NovoSorb BTM biodegradable polymer technology.
Trading update
The company said that June 2020 was a new sales record month in the US. Over the past three months the company has opened seven new hospital accounts. In FY20 there has been a 67% increase in the hospital account in the US.
PolyNovo has achieved its first sale in the UK. There have been six operations in England and Scotland. Management are now expecting additional new term sales.
In the EU there have been “numerous” applications of BTM in Germany, Austria and Switzerland. Sales are growing as it expands in the region.
Some numbers from PolyNovo
Management reaffirmed earlier guidance that product sales for FY20 are likely to at least double FY19’s total.
Sales for the June quarter were 33% higher than the March quarter. This includes the record US result.
Management comments
PolyNovo Managing Director Paul Brennan said: “These sales results for NovoSorb BTM are very strong given the difficulties faced with COVID-19. Our teams have maintained their engagement with customers and we continue to see sales growth.”
PolyNovo Chairman David Williams said: “Sales are still lumpy but there is a strong upward trajectory as surgeons embrace our product and the patient results it gives. While FY20 sales will show impressive growth over FY19, the sales run-rate is more impressive and should be a better indicator of the near-term future.”
Summary
This is clearly good business growth and points to a promising next 12 months. I like to see ASX companies grow well internationally. I don’t know enough about the share yet to know if today’s PolyNovo share price is a buy, but it’s a business I’m going to follow with interest. One ASX share I like for international growth is Bubs (ASX: BUB).
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