JERUSALEM, Feb 24 (Reuters) – Israeli medical device maker Mazor Robotics (MZOR.TA) expects to double its sales each year for the next few years as it expands further into the United States and into Asia, its chief executive said on Thursday.
The company had sales of 10.1 million shekels, or $2.8 million, in the first nine months of 2010 and is projected to reach some $4 million for the full year, up from $1.5 million in 2009.
“In 2011, we plan to double it,” Ori Hadomi told Reuters. “We are expecting to see significant sales growth of doubling sales in the coming years.”
Hadomi declined to say when Mazor will turn a net profit but it could take a few years. It recorded a gross profit of $2.2 million for the first three quarters of 2010 but its bottom line was hurt by large sales and marketing expenses as it entered the U.S. hopsital market.
“We will continue to maintain very attractive gross profit profitability,” he said.
On Thursday, Mazor secured a $6.3 million investment from financial firm Phoenix (PHOE1.TA) to be used for a further expansion of sales and marketing efforts in the United States, which account for more than 60 percent of its sales.
The rest is mainly in Europe, although Mazor is also starting to sell in Asia.
Mazor’s main product is SpineAssist, a robotic guidance system that enables surgeons to accurately place implants with reduced radiation exposure during spinal surgery. It is believed to be the only such system used in spinal surgery.
More than 30 systems have been installed globally, while over 2,000 patients have been operated by the robots and another 10,000 have received implants, Hadomi said.
“It allows for a safe and minimally invasive surgery and without the need to expose the patient to extra radiation during surgery,” he said. “It precisely positions the surgical tooks and implants according to the surgeon’s plan.”