Amedica Reports Significant Q2 Uptick in Silicon Nitride Product Sales

Amedica Corp., a commercial biomaterial company focused on using its silicon nitride technology platform to develop and manufacture medical devices—particularly in the area of orthopedics—reported second-quarter results for fiscal 2014 (June 30).

“The first half of this year was marked by considerable progress against our strategy,” said Eric Olson, CEO and president of Amedica. “The positive market acceptance of our second-generation silicon nitride products, along with the successful refinance of our credit facility, and the strong improvement in our manufacturing volumes and efficiencies have enabled us to further leverage our innovative silicon nitride technology platform.”

Revenue for the company’s proprietary silicon nitride ceramic products during the second quarter of 2014 increased by 51 percent as compared with the second quarter of 2013, to $2.7 million. The increase was primarily due to increased market adoption of the second-generation Valeo spinal interbody devices and the company’s focus on its core silicon nitride technology, officials reported. Overall revenue for the second quarter was $5.84 million, down slightly from the same period in 2013 of $6.05 million.

For the six months ended June 30, total product revenue increased by 3 percent, compared to the same period in 2013, to $11.6 million. The increase primarily was attributable to a 46 percent rise in silicon nitride ceramic product revenue over the prior-year period. Silicon nitride ceramic product revenue grew $1.6 million during the first half of 2014 to $5.2 million.

Primarily as a result of a non-cash stock compensation expense of approximately $7.4 million, overall net loss for the second quarter of 2014 was $13.2 million, compared to $3.1 million in the prior-year second quarter.

“Our recent refinance activities marked a significant milestone for Amedica,” added Jay Moyes, chief financial officer of Salt Lake City, Utah-based Amedica. “The repayment of the GE credit facility will eliminate required principal payments in 2014, and enables us to enhance our focus on offering new and transformative products in the spine and other medical device markets.”