The Polynovo Ltd (ASX: PNV) share price has been on a disappointing run over the past few months. The medical device company’s shares have dropped 13% in the past month and by 50% in 2021 alone.
At the time of writing, Polynovo shares are adding on their losses, down 2.27% to $1.94 in early trading today.
What’s happened to Polynovo recently?
In late August, Polynovo released its full-year results for FY21, highlighting mostly strong numbers across the board.
Total group revenue increased by 32% to $29.3 million over the prior corresponding period, underpinned by growth in key markets. This included the United States and Europe, up 49% and 53% in sales, respectively.
However, on the bottom line, Polynovo achieved a net loss after tax of $4.6 million when factoring in non-cash items. This consisted of $2.6 million in share-based payments (expensing of share options).
The overall result fell short of market expectations, leading the company’s shares to fall 4% on the day. At the end of that week, its shares had sunk around 11%.
Further weighing down the Polynovo share price was a market update last Friday.
According to the announcement, the company’s chief operating officer, Dr Anthony Kaye, resigned from his position.
Polynovo managing director Paul Brennan commented:
Anthony joined Polynovo at a critical time to help complete our new manufacturing facility, oversee the commissioning of new machinery and put in place a team to deliver best practice production processes and costs.
We are disappointed to see him go. However, Polynovo is now in an excellent “business as usual” position thanks to the structural changes and team established by Anthony.
Dr Kaye joined Polynovo from CSL Limited (ASX: CSL) and is returning to CSL in a more senior position.
Polynovo share price summary
Over the last 12 months, Polynovo shares have treaded more than 13% lower, with their year-to-date performance down by 50%.
The company presides a market capitalisation of roughly $1.3 billion with approximately 661 million shares on its books.