Zynex is a maker of medical devices for the electrotherapy, stroke and spinal cord injury rehabilitation markets. The company primarily sells its products in the United States. Zynex products are useful for patients suffering from limited mobility resulting from strokes or spinal cord injuries. Zynex products can also be used to treat patients with chronic pain symptoms. The company focuses its sales efforts in two markets: standard digital electrotherapy products for pain relief and pain management.
Last month, the Colorado-based company said orders more than doubled, rising 121 percent, compared to August 2007. Zynex received 2,252 orders in August 2008 versus 1,021 orders twelve months ago and 2,041 orders in July 2008. The company has not yet released third quarter earnings results. In July, the company said orders rose 185 percent compared to July 2007. Zynex markets its products through commissioned, independent sales representatives, as well as directly to end-users through advertisements and articles in relevant publications and on the Internet.
For 2007, the company had nearly $14 million in sales with net income of $4.59 million. Zynex had a profit margin of 32.8 percent and an operating margin of 47 percent. The company has 29.28 million shares outstanding and almost $190,000 in cash on hand. Currently, no Wall Street analysts follow the company. Zynex has 45 full-time employees, according to recent company data. Founded in 1998, the company used to be known as Zynex Medical Holdings, Inc.
Zynex shares closed at $5.48 on Tuesday on volume of about 202,500 shares. The company has a market value of $160.5 million and price-to-earnings ratio of 35.6. For the second quarter of 2008, Zynex said sales rose 235 percent to just over $5 million and net income rose to $1.85 million. Sales income for the quarter ended June 30, 2008 increased 235% to $5,047,635 compared with $1,505,207 during the same quarter of 2007. Gross profit for the three months ended June 30, 2008 was $4,769,423 or 94.5% of net revenue compared to 86.7% a year ago.
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