Milestone Scientific's financial results for the third quarter of 2012 (end-September 30) revealed significant increases in domestic instrument and handpiece sales by 60.8% and 53.4%, respectively. The company now expects to be cash flow positive in 2013.
Sales increased to $147,000 in the third quarter of 2012, compared with $91,000 in the same period last year. Domestic handpiece sales increased to $1.2 million in the third quarter of 2012, substantially higher than the $763,000 in handpiece sales in the third quarter of 2011. This was due in part to a dealer purchasing in advance of a price increase, the company explained.
Revenue for the quarter increased to $2.1 million versus $1.7 million for the third quarter of 2011. The increase in product sales of $383,000, or 22%, was primarily the result of increased domestic revenue.
The company's new strategic alliance with Aseptico also is expected to further drive both sales and cash flow, according to CEO Leonard Osser. Aseptico will take over responsibility for marketing directly to individual dentists and small offices, reducing Milestone's sales and marketing expenses.
Expansion in the domestic market was due in part to the addition of Dental American Group, a growing South Florida-based dental group, the second dental group in Florida that has adopted the company's instruments. Dental groups in Florida and other states are working to finish conducting beta tests of Milestone's Single Tooth Anesthesia (STA) system, the company noted.
The company is expanding within dental universities, Osser noted. Milestone has entered into an educational partnership with the University of Florida College of Dentistry, whereby Milestone will supply its STA system for use by the university faculty to train students.