The Next Science Ltd (ASX: NXS) share price has fallen today as the company released its quarterly report. On a day where the All Ordinaries Index (ASX: XAO) has dropped 1.9%, the Next Science share price has also fallen in afternoon trading, down 0.85% at $1.16 at the time of writing.
What Next Science does
Next Science is a medical technology company headquartered in Sydney, Australia. The company, established in 2012, is focused on the development and continued commercialisation of its Xbio platform. The technology aims to reduce the impact of biofilm-based infections in human health.
The 100% patented product attacks biofilm structures by breaking metallic bonds that hold the extracellular polymeric substance together.
Quarterly report
Unfortunately for the Next Science share price, the resumption of clinic based treatments has been slower than the resumption of surgical activity. Consequentially, this has impacted BlastX sales.
As a result, cash receipts from customers in Q3 2020 were US$134,000, declining from the prior quarter. Furthermore, operating expenses rose to US$3.9 million, the increase mainly relating to increased R&D expenditure on XPerience surgical rinse.
Next Science also announced the launch of a capital raising during the quarter. The company successfully raised $15 million and holds cash of US$13.6 million as of 30 September as a result.
In some good news for the company, it announced that Bactisure sales had started in Australia and were expected to commence in Europe by the end of 2020.
What now for the Next Science share price
Despite the drop in the Next Science share price, good news may be on the horizon. This comes in the form of an increase of elective surgeries. Surgery levels in the US have continued to improve in Q3 compared to Q2 levels.
Furthermore, Brian Hanson, CEO of Zimmer Biomet, Next Science's distribution partner for Bactisure, addressed the Wells Fargo Healthcare Congress on 3 September. He advised that "Zimmer expects Q4 2020 to be equivalent in surgical volume to Q4 2019."
Looking forward the main focus for the business in Q4 is continuing to drive market adoption of SurgX (Next Science's sterile wound gel to reduce surgical site infection). The company also aims to build market awareness of its XbioTM technology in preparation for its launch in the first half of next year.
The Next Science share price has fallen 0.85% lower at the time of writing.
