MiMedx is optimistic about next year, and already raised preliminary expectations for quarterly revenue and profit beginning in 2015.
The company originally released 2015 expectations in November, but a newly-approved 2015 Business Plan and Budget from the board of directors paints a rosier picture for next year.
"In 2015, we are planning for a large expansion of our direct sales force," said President and COO Bill Taylor. "We expect to finish 2014 with approximately 170 sales professionals in our direct sales force, and our 2015 forecast projects that number to grow to well over 200 by year-end 2015."
It takes around six months for new sales professionals to have a meaningful impact on sales results, according to Mr. Taylor, and the large number of sales professionals that joined the company over the past few months will likely begin having an impact on the company soon.
The updated 2015 guidance includes:
1. First quarter revenues to reach $40 million to $41 million.
2. The operating profit margin is expected to be in excess of 10 percent.
3. Full year revenue to reach $175 million to $190 million.
4. The full year operating margin is expected in excess of 15 percent.
5. The low end of the 2015 expectations for revenue is around a 50 percent increase; the high end is around 64 percent increase over forecasted 2014 revenue.
The company also released a peer-reviewed clinical study of its allograft in International Wound Journal in late November.
"We are fortunate to have the operating leverage that we have created and we are confident in our full year projection of an operating profit margin in excess of 15 percent," said Chairman and CEO Parker H. Petit. "We will continue our aggressive pace of generating clinical and scientific studies and securing their publication in leading peer-reviewed journals. Our operating leverage should provide the resources to continue to produce ongoing improvements in our profitability and strong positive cash flow."