In This Article:
Release Date: May 08, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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Elutia Inc (NASDAQ:ELUT) reported a 31% year-over-year growth in its bio envelope division, reaching $3.1 million in revenue.
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The company successfully launched its LEU Pro product, which now constitutes 52% of the bio envelope revenue, showing an 84% increase from the previous quarter.
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Elutia Inc (NASDAQ:ELUT) formed a strategic partnership with Boston Scientific, expanding its commercial footprint to over 900 sales professionals.
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The company opened a new facility in Gaithersburg, Maryland, to enhance manufacturing capacity and reduce production costs.
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Elutia Inc (NASDAQ:ELUT) received an Edison Award for innovation in post-surgical recovery, highlighting its commitment to advancing medical technology.
Negative Points
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Revenue from the Simple Derm division decreased from $3.6 million last year to $2.6 million this quarter.
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The cardiovascular products division reported only $300,000 in sales, as it was still transitioning from an outside distributor.
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Overall sales were down from the previous year, despite a sequential increase from the fourth quarter.
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The company faced production constraints due to the antibiotic component of LEU Pro, necessitating the opening of a new facility.
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Elutia Inc (NASDAQ:ELUT) had to manage cash flow carefully, including a registered direct offering and amendments to financial agreements to conserve cash.
Q & A Highlights
Q: How have the relationships with physicians gone in the cases where Boston Scientific reps are involved? Are they fully switching to LU Pro, or is it a gradual process? A: Randy Mills, CEO: The adoption pattern for LU Pro typically starts with one physician in a practice showing interest and using the product. Once they experience the benefits, particularly if they've used competitive products before, it tends to spread through the practice. The conversion is not limited to Boston Scientific cases; it often extends to other cases as well, making it a valuable partnership for both Elutia and Boston Scientific.
Q: What is the current manufacturing capacity for LU Pro, and how much revenue can it support before reaching constraints? A: Randy Mills, CEO: Our current manufacturing capacity can support about $140 million in LU Pro revenue annually. However, the production of the antibiotic disk component is a constraint, limiting capacity to $25-30 million annually. We are expanding to address this bottleneck.