Straumann upbeat despite drop in revenues

Apr 27, 2009

Despite a 2% drop in revenues for the first quarter of 2009 due to the strengthening of the Swiss franc versus other European currencies, Straumann is maintaining a favorable outlook.

Straumann reported revenues of 196 million Swiss francs ($171 million) for the quarter, compared to 200 million francs ($175 million) for the same quarter a year ago.

The 4% negative impact of the currency market obscured 2% growth in the company's sales in local currencies, which represents a better showing than most of its rivals as tough economic headwinds slow the implant market, according to the company.

Straumann attributed much of the growth to its new bone level implants, which it began rolling out in late 2007. The company said its prosthetics business was also strong. CAD/CAM crowns and bridges continued to expand, although dental labs are more hesitant about investing in scanning equipment, according to the company.

Straumann predicted it would continue to outperform the market. The company's stock price rose on the news.

The company also revealed that it is close to releasing two new products:

A polyethylene glycol membrane for guided bone regeneration has successfully completed preclinical and clinical trials including head-to-head comparisons with rival materials. The results demonstrate considerable handling improvements and reductions in application time, Straumann said, adding that the product has also demonstrated excellent barrier function. The company's regenerative team is working to bring the membrane to key customers later in 2009, with a full launch slated for 2010.
Roxolid implant material, a compound of zirconia and titanium, received marketing clearance from the U.S. FDA in February. Pending favorable outcomes of ongoing trials, the initial launch is expected later in the year, Straumann said.