Radiation, Niche Positioning by surgeons, range of sizes, bulk...

Radiation, Niche Positioning by surgeons, range of sizes, bulk of device, the fact that you cannot remove CO2 and in some cases cost to the hospital or system to name a few. Doesn't take much diligence to figure this out with so many former employees on the street today.

One would think that the rate of adoption after about a year and a half would be greater than < $2M / Qtr or flat growth for several quarters when other companies are outpacing AX performance with newer forms of saline devices as per their K's and Q's in the US market. According to the company on their last roadshow, they stated that they were targeting being b/e from a COGs perspective in the US early this year. The margins only aren't an issue if you never expect the company to turn a profit. I am not sure that all of the instos would agree with you on that one. No, of course I do not know their COGs, but if they are just now reaching b/e on the costing side, then that too is a problem given the low rate of sales. One would think that they may have massive improvements to implement in order to get the product to a point where they can generate GP. There is no way that sheer volume can produce the GP and return necessary to get the company to b/e given the $110M or so that has already been invested. But of course as you say, if margins really arent an issue and dont matter then focusing on the top line only is the way forward.